Relay Therapeutics (NASDAQ:RLAY) Shares Down 8.8% - What's Next?

Key Points

• Relay Therapeutics shares fell 8.8% to $17.65 in mid-day trading, with trading volume down 85% from its average session volume.
• Analysts remain broadly optimistic, with a consensus rating of “Moderate Buy” and an average price target of $25.92, despite one downgrade to “sell.”
• The company missed quarterly expectations, reporting an adjusted loss of $0.41 per share versus the $0.39 consensus estimate and revenue of $0.35 million versus $0.96 million expected; insiders have also sold substantial shares recently.

Relay Therapeutics, Inc. (NASDAQ:RLAY - Get Free Report)'s share price dropped 8.8% during mid-day trading on Wednesday . The company traded as low as $17.79 and last traded at $17.65. 479,057 shares traded hands during trading, a decline of 85% from the average session volume of 3,190,783 shares. The stock had previously closed at $19.35.

Analysts Set New Price Targets

RLAY has been the topic of a number of analyst reports. Citigroup restated a "market outperform" rating on shares of Relay Therapeutics in a report on Monday, August 10th. Canaccord Genuity Group began coverage on Relay Therapeutics in a research report on Thursday, July 16th. They set a "buy" rating and a $29.00 price objective for the company. Citizens Jmp lifted their target price on shares of Relay Therapeutics from $21.00 to $26.00 and gave the company a "market outperform" rating in a report on Monday, August 10th. Wall Street Zen lowered shares of Relay Therapeutics from a "hold" rating to a "sell" rating in a research report on Saturday, August 15th. Finally, Barclays raised their target price on Relay Therapeutics from $27.00 to $30.00 and gave the company an "overweight" rating in a report on Friday, August 7th. Two analysts have rated the stock with a Strong Buy rating, ten have issued a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average price target of $25.92.

Relay Therapeutics Trading Down 10.1%

The stock has a market cap of $3.81 billion, a P/E ratio of -11.07 and a beta of 1.69. The firm's 50-day simple moving average is $19.29 and its 200 day simple moving average is $15.94.

Relay Therapeutics (NASDAQ:RLAY - Get Free Report) last announced its earnings results on Thursday, August 6th. The company reported ($0.41) earnings per share for the quarter, missing the consensus estimate of ($0.39) by ($0.02). The business had revenue of $0.35 million during the quarter, compared to analysts' expectations of $0.96 million. On average, analysts anticipate that Relay Therapeutics, Inc. will post -1.61 EPS for the current year.

Insider Transactions at Relay Therapeutics

In other news, CFO Thomas Catinazzo sold 17,717 shares of Relay Therapeutics stock in a transaction that occurred on Tuesday, September 8th. The shares were sold at an average price of $18.94, for a total value of $335,559.98. Following the transaction, the chief financial officer owned 122,851 shares of the company's stock, valued at $2,326,797.94. The trade was a 12.60% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, insider Peter Rahmer sold 4,508 shares of the company's stock in a transaction on Wednesday, August 26th. The shares were sold at an average price of $20.03, for a total value of $90,295.24. Following the completion of the transaction, the insider directly owned 223,657 shares in the company, valued at $4,479,849.71. This represents a 1.98% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 6,207,974 shares of company stock valued at $120,374,657 over the last three months. 5.04% of the stock is owned by company insiders.

Institutional Trading of Relay Therapeutics

A number of hedge funds have recently bought and sold shares of the company. Sanctuary Advisors LLC raised its position in shares of Relay Therapeutics by 1.1% in the first quarter. Sanctuary Advisors LLC now owns 143,816 shares of the company's stock valued at $1,431,000 after buying an additional 1,588 shares in the last quarter. Allworth Financial LP bought a new stake in shares of Relay Therapeutics in the 2nd quarter valued at about $34,000. Meeder Asset Management Inc. bought a new position in Relay Therapeutics during the 2nd quarter worth approximately $62,000. KBC Group NV bought a new stake in Relay Therapeutics during the first quarter valued at $34,000. Finally, Quantinno Capital Management LP boosted its position in shares of Relay Therapeutics by 22.6% during the 1st quarter. Quantinno Capital Management LP now owns 21,188 shares of the company's stock valued at $211,000 after purchasing an additional 3,911 shares in the last quarter. 96.98% of the stock is owned by hedge funds and other institutional investors.

About Relay Therapeutics

Relay Therapeutics, Inc is a clinical-stage biotechnology company that develops medicines for patients with genetically defined diseases, including cancer. The company combines computational and experimental approaches to study how proteins move and change shape, with the goal of identifying druggable sites and designing more selective therapies.

Relay's research platform, known as Dynamo, integrates structural biology, computational modeling, biophysics and chemistry to support the discovery and development of small-molecule drug candidates.

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