Esperion’s Market Challenges: Sell Rating Due to Limited Impact of Bempedoic Acid and Mixed Feedback on Combination Strategy

Analyst Jason Zemansky from Bank of America Securities maintained a Sell rating on Esperion and increased the price target to $1.72 from $1.60.

Jason Zemansky has given his Sell rating due to a combination of factors surrounding Esperion’s current market position and product offerings. Despite efforts to highlight the potential of bempedoic acid (BA) during a recent presentation, the feedback from key opinion leaders (KOLs) was largely non-committal, suggesting that BA may only serve a niche role in the rapidly expanding competitive landscape. This is compounded by the presence of next-generation lipid-lowering treatments, such as PCSK9 inhibitors, which overshadow BA’s impact on lowering LDL-c levels.
Furthermore, the prescriber feedback on Esperion’s triple fixed-dose combination (FDC) strategy was mixed. Concerns were raised about the practicality and necessity of combining BA with generic statins like atorvastatin and rosuvastatin, especially given the lack of synergistic LDL-c lowering effects. Additionally, psychological barriers to taking multiple pills were acknowledged, but the focus on ‘statin intolerance’ suggests that patients may resist this approach. These factors contribute to the maintained Underperform rating and a price objective of $1.72.

Based on the recent corporate insider activity of 31 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of ESPR in relation to earlier this year.