Critical Survey: Relay Therapeutics (NASDAQ:RLAY) & Surrozen (NASDAQ:SRZN)

Relay Therapeutics (NASDAQ:RLAYGet Free Report) and Surrozen (NASDAQ:SRZNGet Free Report) are both medical companies, but which is the superior investment? We will contrast the two businesses based on the strength of their valuation, analyst recommendations, institutional ownership, earnings, dividends, profitability and risk.

Earnings & Valuation

This table compares Relay Therapeutics and Surrozen”s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Relay Therapeutics $15.35 million 168.87 -$276.48 million ($1.57) -8.62
Surrozen $3.48 million 87.98 -$242.03 million ($37.59) -0.70

Surrozen has lower revenue, but higher earnings than Relay Therapeutics. Relay Therapeutics is trading at a lower price-to-earnings ratio than Surrozen, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Relay Therapeutics has a beta of 1.74, suggesting that its share price is 74% more volatile than the S&P 500. Comparatively, Surrozen has a beta of 0.59, suggesting that its share price is 41% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current recommendations and price targets for Relay Therapeutics and Surrozen, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Relay Therapeutics 1 0 8 2 3.00
Surrozen 1 0 3 1 2.80

Relay Therapeutics presently has a consensus target price of $22.60, suggesting a potential upside of 67.04%. Surrozen has a consensus target price of $42.00, suggesting a potential upside of 59.27%. Given Relay Therapeutics’ stronger consensus rating and higher possible upside, equities analysts plainly believe Relay Therapeutics is more favorable than Surrozen.

Profitability

This table compares Relay Therapeutics and Surrozen’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Relay Therapeutics N/A -43.94% -40.11%
Surrozen -4,810.50% -4,055.04% -154.08%

Institutional & Insider Ownership

97.0% of Relay Therapeutics shares are held by institutional investors. Comparatively, 66.6% of Surrozen shares are held by institutional investors. 5.0% of Relay Therapeutics shares are held by insiders. Comparatively, 31.7% of Surrozen shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Summary

Relay Therapeutics beats Surrozen on 12 of the 15 factors compared between the two stocks.

About Relay Therapeutics

(Get Free Report)

Relay Therapeutics, Inc. operates as a clinical-stage precision medicines company. It engages in transforming the drug discovery process with an initial focus on enhancing small molecule therapeutic discovery in targeted oncology and genetic disease indications. The company’s lead product candidates include RLY-4008, an oral small molecule inhibitor of fibroblast growth factor receptor 2 (FGFR2), which is in a first-in-human clinical trial for patients with advanced or metastatic FGFR2-altered solid tumors; RLY-2608, a lead mutant-PI3Ka inhibitor program that targets phosphoinostide 3 kinase alpha; and Migoprotafib (GDC-1971), an oral, small molecule, potent and selective inhibitor of the protein tyrosine phosphatase SHP2 that binds and stabilizes Src homology region 2 domain-containing phosphatase-2 (SHP2) as a monotherapy in patients with advanced or metastatic solid tumors. In addition, it has collaboration and license agreements with D. E. Shaw Research, LLC to research certain biological targets through the use of D. E. Shaw Research computational modeling capabilities focused on analysis of protein motion to develop and commercialize compounds and products directed to such targets; and Genentech, Inc. for the development and commercialization of GDC-1971. The company was formerly known as Allostery, Inc. and changed its name to Relay Therapeutics, Inc. in December 2015. Relay Therapeutics, Inc. was incorporated in 2015 and is headquartered in Cambridge, Massachusetts.

About Surrozen

(Get Free Report)

Surrozen, Inc., a clinical stage biotechnology company, discovers and develops drug candidates to selectively modulate the Wnt pathway for tissue repair. The company is developing antibody-based therapeutics which targets various disease areas, including diseases of the intestine, liver, retina, cornea, lung, kidney, cochlea, skin, pancreas, and central nervous system. Its products in pipeline include SZN-043, a hepatocyte-specific R-spondin mimetic bispecific fusion protein, which is in Phase 1b clinical trial for the treatment of severe liver diseases, including alcohol-associated hepatitis. The company develops SZN-413, a Fzd4 targeted bi-specific antibody for the treatment of retinal vascular associated diseases. Surrozen, Inc. has collaboration and license agreement with Boehringer Ingelheim International GmbH to research, develop, and commercialize Fzd4 bi-specific antibodies. Surrozen, Inc. is based in South San Francisco, California.

Receive News & Ratings for Relay Therapeutics Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Relay Therapeutics and related companies with MarketBeat.com's FREE daily email newsletter.