Raymond James Lowers Relay Therapeutics (RLAY) PT to $19 Following Q2 Results, Strategic Cost Cuts

Relay Therapeutics Inc. (NASDAQ:RLAY) is one of the most promising penny stocks under $5. On August 8, Raymond James lowered the firm’s price target on Relay Therapeutics to $19 from $29, while keeping a Strong Buy rating on the shares. This sentiment followed Relay Therapeutics’ Q2 2025 results, where OpEx was down 16% sequentially following strategic cost-cutting initiatives.

Relay Therapeutics reported a net loss of $70.4 million, or $0.41 per share, in Q2 2025, which was an improvement compared to the net loss of $92.2 million, or $0.69 per share, in Q2 2024. Revenue for the quarter was $0.7 million, which was an increase from zero revenue in the same period last year.

Raymond James Lowers Relay Therapeutics (RLAY) PT to $19 Following Q2 Results, Strategic Cost Cuts

A chemist arranging containers of compounds, ready for the commercialization process.

This quarter also featured the initiation of the Phase 3 ReDiscover-2 trial for RLY-2608 in Q2 2025. At the 2025 American Society for Clinical Oncology/ASCO Annual Meeting, updated interim data from the Phase 1b study for RLY-2608 were presented. In addition to oncology, Relay Therapeutics is continuing to execute its ongoing Phase 1 clinical trial for vascular malformations.

Relay Therapeutics Inc. (NASDAQ:RLAY) is a clinical-stage precision medicines company that transforms the drug discovery process with a focus on enhancing small molecule therapeutic discovery in targeted oncology and genetic disease indications.

While we acknowledge the potential of RLAY to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than RLAY and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.