Relay Therapeutics (NASDAQ:RLAY) Shares Gap Down - Should You Sell?

Relay Therapeutics, Inc. (NASDAQ:RLAY - Get Free Report) shares gapped down prior to trading on Friday . The stock had previously closed at $3.45, but opened at $3.30. Relay Therapeutics shares last traded at $3.30, with a volume of 341,596 shares.

Analyst Upgrades and Downgrades

RLAY has been the subject of a number of analyst reports. The Goldman Sachs Group dropped their price target on Relay Therapeutics from $20.00 to $18.00 and set a "buy" rating for the company in a research report on Thursday, February 27th. Guggenheim dropped their target price on Relay Therapeutics from $30.00 to $10.00 and set a "buy" rating for the company in a report on Wednesday, May 7th. Stifel Nicolaus dropped their price objective on shares of Relay Therapeutics from $27.00 to $23.00 and set a "buy" rating for the company in a report on Thursday, February 27th. HC Wainwright reiterated a "buy" rating and issued a $16.00 target price on shares of Relay Therapeutics in a report on Friday, March 7th. Finally, Wells Fargo & Company started coverage on shares of Relay Therapeutics in a research report on Thursday, April 17th. They set an "equal weight" rating and a $4.00 price target on the stock. Two investment analysts have rated the stock with a hold rating and ten have assigned a buy rating to the company's stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus price target of $17.67.

Relay Therapeutics Price Performance

The business has a 50 day simple moving average of $2.96 and a 200 day simple moving average of $3.61. The company has a market capitalization of $560.63 million, a price-to-earnings ratio of -1.25 and a beta of 1.59.

Relay Therapeutics (NASDAQ:RLAY - Get Free Report) last posted its quarterly earnings data on Monday, May 5th. The company reported ($0.46) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.50) by $0.04. The firm had revenue of $7.68 million during the quarter, compared to analysts' expectations of $0.01 million. During the same quarter in the prior year, the firm posted ($0.62) EPS. Relay Therapeutics's quarterly revenue was down 23.0% compared to the same quarter last year. On average, equities research analysts predict that Relay Therapeutics, Inc. will post -2.55 EPS for the current year.

Insiders Place Their Bets

In other news, insider Peter Rahmer sold 10,739 shares of the company's stock in a transaction on Wednesday, April 30th. The stock was sold at an average price of $3.00, for a total transaction of $32,217.00. Following the sale, the insider now owns 390,081 shares of the company's stock, valued at approximately $1,170,243. This represents a 2.68% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO Thomas Catinazzo sold 12,943 shares of the firm's stock in a transaction that occurred on Wednesday, April 30th. The shares were sold at an average price of $3.00, for a total transaction of $38,829.00. Following the completion of the sale, the chief financial officer now directly owns 355,376 shares in the company, valued at approximately $1,066,128. This trade represents a 3.51% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 94,320 shares of company stock worth $280,981 over the last three months. Company insiders own 4.87% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in RLAY. Savant Capital LLC acquired a new position in Relay Therapeutics in the fourth quarter valued at approximately $120,000. Rhumbline Advisers raised its holdings in shares of Relay Therapeutics by 8.6% in the fourth quarter. Rhumbline Advisers now owns 171,444 shares of the company's stock valued at $706,000 after buying an additional 13,532 shares during the last quarter. Congress Asset Management Co. boosted its stake in shares of Relay Therapeutics by 7.6% during the fourth quarter. Congress Asset Management Co. now owns 157,485 shares of the company's stock worth $649,000 after buying an additional 11,061 shares during the period. Bank of New York Mellon Corp grew its holdings in shares of Relay Therapeutics by 18.0% during the fourth quarter. Bank of New York Mellon Corp now owns 328,897 shares of the company's stock worth $1,355,000 after buying an additional 50,190 shares during the last quarter. Finally, Los Angeles Capital Management LLC grew its holdings in shares of Relay Therapeutics by 65.5% during the fourth quarter. Los Angeles Capital Management LLC now owns 52,770 shares of the company's stock worth $217,000 after buying an additional 20,880 shares during the last quarter. Hedge funds and other institutional investors own 96.98% of the company's stock.

About Relay Therapeutics

Relay Therapeutics, Inc operates as a clinical-stage precision medicines company. It engages in transforming the drug discovery process with an initial focus on enhancing small molecule therapeutic discovery in targeted oncology and genetic disease indications. The company's lead product candidates include RLY-4008, an oral small molecule inhibitor of fibroblast growth factor receptor 2 (FGFR2), which is in a first-in-human clinical trial for patients with advanced or metastatic FGFR2-altered solid tumors; RLY-2608, a lead mutant-PI3Ka inhibitor program that targets phosphoinostide 3 kinase alpha; and Migoprotafib (GDC-1971), an oral, small molecule, potent and selective inhibitor of the protein tyrosine phosphatase SHP2 that binds and stabilizes Src homology region 2 domain-containing phosphatase-2 (SHP2) as a monotherapy in patients with advanced or metastatic solid tumors.