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Relay Therapeutics reinstated with a Buy at Goldman Sachs

Goldman Sachs reinstated coverage of Relay Therapeutics with a Buy rating and $20 price target. The firm cites the company’s positive Phase 2 data of selective PI3Kalpha inhibitor RLY-2608 + fulvestrant in PI3Kalpha-mutated HR+/HER2- breast cancer and its planned Phase 3 study initiation in 2025, the analyst tells investors in a research note. Notwithstanding the stock move after the data, Relay Therapeutics is seen as “undervalued” in the context of RLY-2608’s commercial opportunity, and the firm sees upside on further data/execution, Goldman Sachs added.

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