Relay Therapeutics (NASDAQ:RLAY) Trading 10.9% Higher After Analyst Upgrade

Key Points

• Relay Therapeutics shares jumped 10.9% after Citizens JMP raised its price target from $19 to $21 and reiterated a market outperform rating. The stock traded as high as $13.40 on heavier-than-average volume.
• Other analysts also turned more bullish, with Wells Fargo, HC Wainwright, and Barclays all lifting their price targets, contributing to a consensus rating of Moderate Buy and an average target price of $22.60.
• The move came alongside positive clinical news on zovegalisib, which showed promising initial Phase 2 data for vascular anomalies, while the company also disclosed a planned $175 million stock offering that could raise capital but add dilution risk.

Relay Therapeutics, Inc. (NASDAQ:RLAY - Get Free Report)'s share price rose 10.9% on Wednesday after Citizens Jmp raised their price target on the stock from $19.00 to $21.00. Citizens Jmp currently has a market outperform rating on the stock. Relay Therapeutics traded as high as $13.40 and last traded at $13.38. Approximately 3,361,855 shares were traded during mid-day trading, an increase of 14% from the average daily volume of 2,936,981 shares. The stock had previously closed at $12.07.

A number of other equities research analysts have also weighed in on the company. Wells Fargo & Company boosted their price objective on Relay Therapeutics from $17.00 to $21.00 and gave the stock an "overweight" rating in a research report on Tuesday, April 28th. HC Wainwright upped their price objective on Relay Therapeutics from $19.00 to $25.00 and gave the company a "buy" rating in a research note on Wednesday, April 29th. Barclays raised their price objective on shares of Relay Therapeutics from $21.00 to $27.00 and gave the company an "overweight" rating in a report on Wednesday. JonesTrading initiated coverage on shares of Relay Therapeutics in a report on Tuesday, April 14th. They set a "hold" rating and a $18.00 target price on the stock. Finally, Citigroup reiterated an "outperform" rating on shares of Relay Therapeutics in a report on Wednesday. One investment analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus target price of $22.60.

Insider Activity

In other news, CFO Thomas Catinazzo sold 17,717 shares of Relay Therapeutics stock in a transaction on Thursday, May 14th. The shares were sold at an average price of $12.86, for a total transaction of $227,840.62. Following the completion of the sale, the chief financial officer directly owned 195,178 shares of the company's stock, valued at approximately $2,509,989.08. The trade was a 8.32% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. In the last ninety days, insiders sold 40,449 shares of company stock worth $532,889. Company insiders own 5.04% of the company's stock.

Relay Therapeutics News Roundup

Here are the key news stories impacting Relay Therapeutics this week:

• Positive Sentiment: Relay Therapeutics reported initial Phase 2 data for zovegalisib showing promising shrinkage of vascular lesions, symptom improvement, and tolerability that could support longer-term treatment. Article Title
• Positive Sentiment: Citizens JMP raised its price target on RLAY from $19 to $21 and reiterated a market outperform rating, citing upside from the current share price. Article Title
• Positive Sentiment: Raymond James lifted its price target on Relay Therapeutics from $23 to $26 and kept a strong-buy rating, reinforcing bullish sentiment after the clinical update. Article Title
• Neutral Sentiment: Analysts and market commentary highlighted the strength of the trial data, with several articles saying the stock jumped after the vascular-anomalies readout. Article Title
• Neutral Sentiment: Relay also announced a planned $175 million public offering of common stock, which adds funding but could weigh on the share price because of dilution concerns. Article Title
• Negative Sentiment: Unusually heavy put-option activity suggests some traders are hedging or betting against further upside in RLAY near term. Article Title

Institutional Trading of Relay Therapeutics

Hedge funds have recently modified their holdings of the business. Sanctuary Advisors LLC increased its holdings 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 worth $1,431,000 after purchasing an additional 1,588 shares during the last quarter. Mirae Asset Global Investments Co. Ltd. boosted its stake in shares of Relay Therapeutics by 26.4% during the 4th quarter. Mirae Asset Global Investments Co. Ltd. now owns 8,422 shares of the company's stock worth $71,000 after purchasing an additional 1,757 shares during the period. Abel Hall LLC grew its stake in shares of Relay Therapeutics by 16.2% during the fourth quarter. Abel Hall LLC now owns 12,984 shares of the company's stock valued at $110,000 after buying an additional 1,809 shares during the last quarter. Cresset Asset Management LLC lifted its position in shares of Relay Therapeutics by 5.0% during the third quarter. Cresset Asset Management LLC now owns 38,932 shares of the company's stock worth $203,000 after purchasing an additional 1,848 shares during the last quarter. Finally, Vanguard Personalized Indexing Management LLC boosted its position in Relay Therapeutics by 8.1% in the 3rd quarter. Vanguard Personalized Indexing Management LLC now owns 27,871 shares of the company's stock valued at $145,000 after buying an additional 2,079 shares during the period. Institutional investors own 96.98% of the company's stock.

Relay Therapeutics Stock Up 11.3%

The company has a market cap of $2.57 billion, a P/E ratio of -8.54 and a beta of 1.74. The firm has a 50 day moving average of $12.56 and a 200-day moving average of $9.62.

Relay Therapeutics (NASDAQ:RLAY - Get Free Report) last released its quarterly earnings results on Tuesday, May 5th. The company reported ($0.41) EPS for the quarter, missing the consensus estimate of ($0.35) by ($0.06). The firm had revenue of $3.00 million during the quarter, compared to analysts' expectations of $5.58 million. On average, research analysts predict that Relay Therapeutics, Inc. will post -1.6 EPS for the current fiscal year.

About Relay Therapeutics

Relay Therapeutics, Inc is a clinical-stage biotechnology company focused on the discovery and development of precision therapies for oncology. Headquartered in Cambridge, Massachusetts, the company was founded in 2016 with the goal of targeting dynamic protein motion using an integrated scientific platform. Relay Therapeutics leverages computational modeling, structural biology, and experimental validation to identify small-molecule drug candidates that modulate the behavior of disease-associated proteins.

The company's core business activity centers on its proprietary drug-discovery engine, which combines high-performance computing—including molecular dynamics simulations—with advanced experimental techniques such as cryo-electron microscopy and biophysical screening.

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