Relay Therapeutics initiated with an Outperform at SVB Securities

SVB Securities analyst Christopher Liu initiated coverage of Relay Therapeutics with an Outperform rating and $18 price target. RLY-4008 demonstrates highly compelling data in FGFR2+ CCA, roughly doubling response rates of current FDA approved FGFR inhibitors, the firm notes. SVB believes this reads through to the larger FGFR2+ solid tumor setting, where there will be a catalyst in the second half of 2023 that could de-risk the asset even further. RLY-2608 is primarily upside optionality. The firm thinks the efficacy of RLY-4008, as well as the safety and selectivity of RLY-4008 and RLY-2608, validate the company’s proprietary Dynamo Platform.