Relay Therapeutics price target lowered to $28 from $38 at JMP Securities

JMP Securities analyst Silvan Tuerkcan lowered the firm’s price target on Relay Therapeutics to $28 from $38 but keeps an Outperform rating on the shares as part of a broader research note on select Biotechnology names updating his valuation models. SMID-cap companies, particularly with less cash runway, are finally urgently focusing their pipelines and operations on key assets, but while this is a positive longer-term, workforce reductions are "unfortunately accelerating", the analyst tells investors in a research note. Tuerkcan adds however that Relay’s RLY-4008 may become the most potent option in CCA and may find utility beyond FGFR2 fusions, including several other histologies, such as breast cancer. The analyst states that Relay’s PI3Kalpha opportunity is significant and he sees the stock as one of his "top picks for 2023".