Relay Therapeutics (NASDAQ:RLAY) Trading Up 8.2% - What's Next?

Key Points

• Relay Therapeutics shares rose 8.2% during Monday's trading, closing at $3.64 after hitting a high of $3.68.
• Despite the increase, several analysts have set mixed price targets, with Guggenheim reducing their target from $30.00 to $10.00, while Wells Fargo initiated coverage with a target of $4.00.
• The company reported a quarterly earnings per share of ($0.46), slightly beating the estimate, but revenues decreased by 23% year-over-year.

Relay Therapeutics, Inc. (NASDAQ:RLAY - Get Free Report) rose 8.2% during trading on Monday . The company traded as high as $3.68 and last traded at $3.64. Approximately 1,624,570 shares traded hands during trading, a decline of 30% from the average daily volume of 2,320,586 shares. The stock had previously closed at $3.36.

Analysts Set New Price Targets

Several research firms recently weighed in on RLAY. Guggenheim decreased their price objective on shares of Relay Therapeutics from $30.00 to $10.00 and set a "buy" rating on the stock in a research report on Wednesday, May 7th. Wells Fargo & Company began 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 analysts have rated the stock with a hold rating and ten have assigned a buy rating to the stock. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $17.09.

Relay Therapeutics Trading Down 8.4%

The stock has a market cap of $547.95 million, a PE ratio of -1.42 and a beta of 1.62. The company has a fifty day moving average of $3.47 and a 200-day moving average of $3.37.

Relay Therapeutics (NASDAQ:RLAY - Get Free Report) last posted its earnings results on Thursday, August 7th. The company reported ($0.41) earnings per share for the quarter, beating the consensus estimate of ($0.49) by $0.08. The firm had revenue of $0.70 million during the quarter, compared to analysts' expectations of $0.07 million. As a group, research analysts anticipate that Relay Therapeutics, Inc. will post -2.55 earnings per share for the current fiscal year.

Insider Activity

In related news, insider Peter Rahmer sold 15,724 shares of the stock in a transaction on Tuesday, July 29th. The stock was sold at an average price of $3.68, for a total value of $57,864.32. Following the transaction, the insider directly owned 377,998 shares of the company's stock, valued at approximately $1,391,032.64. This trade represents a 3.99% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CFO Thomas Catinazzo sold 18,380 shares of the firm's stock in a transaction dated Tuesday, July 29th. The shares were sold at an average price of $3.68, for a total value of $67,638.40. Following the completion of the transaction, the chief financial officer directly owned 335,295 shares in the company, valued at $1,233,885.60. This trade represents a 5.20% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 149,226 shares of company stock worth $542,926 in the last quarter. 4.87% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Relay Therapeutics

Hedge funds have recently bought and sold shares of the company. Vanguard Group Inc. raised its holdings in Relay Therapeutics by 3.9% during the fourth quarter. Vanguard Group Inc. now owns 15,030,209 shares of the company's stock worth $61,924,000 after purchasing an additional 566,595 shares in the last quarter. Tang Capital Management LLC raised its holdings in Relay Therapeutics by 126.1% during the fourth quarter. Tang Capital Management LLC now owns 8,068,058 shares of the company's stock worth $33,240,000 after purchasing an additional 4,500,000 shares in the last quarter. Geode Capital Management LLC raised its holdings in Relay Therapeutics by 5.2% during the second quarter. Geode Capital Management LLC now owns 3,229,666 shares of the company's stock worth $11,176,000 after purchasing an additional 159,548 shares in the last quarter. Dimensional Fund Advisors LP raised its holdings in Relay Therapeutics by 69.6% during the fourth quarter. Dimensional Fund Advisors LP now owns 2,964,997 shares of the company's stock worth $12,216,000 after purchasing an additional 1,216,334 shares in the last quarter. Finally, Millennium Management LLC grew its position in Relay Therapeutics by 14.6% in the first quarter. Millennium Management LLC now owns 2,942,875 shares of the company's stock worth $7,710,000 after buying an additional 374,491 shares during the last quarter. 96.98% of the stock is currently owned by institutional investors and hedge funds.

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.