PacBio Deepens AI Drug-Discovery Push With TychoBio Deal — PACB Stock Takes A Breather After 103% Rally

PacBio will generate full-length RNA data from more than 10,000 samples, which TychoBio will use to train AI models to design treatments for rare diseases

• TychoBio will use the data to train AI models that predict which RNA therapies are most likely to work
• The deal builds on PacBio’s broader AI push, which also includes work with Basecamp Research and its DeepConsensus algorithm developed with Google.
• PacBio recently cut its full-year 2026 revenue forecast.

PacBio (PACB) was on investors’ radar on Tuesday after the biotech firm announced a partnership with TychoBio, pushing it deeper into AI-based drug discovery.

After an eight-session rally that more than doubled its value, PACB shares tumbled over 6% as of this writing.

PacBio To Generate Data From More Than 10,000 Samples

Under the agreement, PacBio will generate full-length RNA data from more than 10,000 samples, which TychoBio will use to train AI models to design treatments for rare diseases.

TychoBio will use the data to train AI models that predict which RNA therapies are most likely to work, how long their effects may last, and where unintended effects could occur.

The initial work focuses on rare-disease treatments called steric blocking antisense oligonucleotides, with plans to expand into siRNA and other RNA-targeting drugs.

AI Is Becoming A Bigger Part Of PacBio’s Story

TychoBio is not PacBio’s only AI project. Earlier this year, Basecamp Research chose PacBio’s HiFi sequencing for its Trillion Gene Atlas, which plans to sequence about 100,000 samples from more than 30 countries to help train AI models for drug development.

PacBio also rolled out DeepConsensus, an AI-powered consensus algorithm co-developed with Google, as part of its newer sequencing chemistry. Its product lineup centers on HiFi long-read sequencing technology, which reads much larger stretches of DNA and RNA than traditional short-read systems.

However, PacBio remains loss-making. In the second quarter (Q2), revenue fell marginally to $39 million, while it reported a loss of $0.14 per share, compared to a loss of $0.13 per share a year earlier. Both figures missed Wall Street estimates, according to Fiscal.ai. PacBio also cut its full-year 2026 revenue to $155 million to $165 million from $165 million to $175 million.

The company ended June with $236.9 million in cash, cash equivalents and investments, down from $279.5 million at year-end.

Retail’s Take On PACB

Despite the slide, retail sentiment surrounding PACB on Stocktwits remained ‘extremely bullish’ over the past 24 hours.

PACB shares have gained more than 41% so far in 2026.

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