Relay Therapeutics Inc. (RL) shares reached a 52-week high of $20.83 on Tuesday, extending a rally that has pushed the biotech up 496% over the past 12 months. The stock was trading at $20.87 at the time of reporting, valuing the company at approximately $4.52 billion.
Analysts cited progress in the company’s breast cancer treatment pipeline as the primary driver of the advance. Relay’s lead asset, zovegalisib, is being evaluated in multiple clinical trials, including the Phase 3 ReDiscover-2 study, which tests the drug in combination with fulvestrant for metastatic breast cancer. Initial positive results from the Phase 2 ReInspire trial have also contributed to the upbeat outlook.
Coverage updates from major firms reinforced the bullish sentiment. Citizens raised its price target to $26 from $21 and maintained a Market Outperform rating, while Guggenheim reiterated its Buy rating with a $26 target. Canaccord initiated coverage with a Buy rating and a $29 target, citing Relay’s precision oncology approach. JPMorgan also initiated coverage with an Overweight rating and a $28 target, highlighting zovegalisib’s potential across multiple indications.
H.C. Wainwright joined the positive revisions, lifting its price target to $28 from $25 following the ReInspire trial’s early data. The stock’s valuation remains elevated, with InvestingPro analysis indicating it is trading above fair value relative to peers in the sector.
