AbCellera Stock: Why We Love the Uncertainty

In numerous studies, psychologists have found that rewards of an uncertain magnitude and timing are more motivating than rewards that are certain and expected at fixed intervals. Think about how you might perceive that boring monthly salary vs. a stock options award at bonus time. This psychological phenomenon is what makes certain activities such as fishing and hunting so much fun, not to mention gambling. How much fun would a slot machine be if it paid out fixed amounts of money at fixed times?

In a similar manner, business models with uncertain payouts have a particular appeal to them. Our recent look at Recursion Pharmaceuticals (RXRX) noted more than 50 drugs in their pipeline that represent future payouts down the road. In that piece, we looked at how 4 AI drug discovery stocks are now trading at 50% off. One of those is AbCellera (ABCL).

About AbCellera

Last May we wrote a piece titled AbCellera Stock – Turning Antibodies Into Drugs which talked about