In a report released yesterday, Salveen Richter from Goldman Sachs maintained a Hold rating on Sarepta Therapeutics, with a price target of $10.00.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 55% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Salveen Richter’s rating is based on several critical factors impacting Sarepta Therapeutics. The company has recently paused all US shipments of its Elevidys product following a request from the FDA, which was prompted by safety concerns after the deaths of non-ambulatory patients treated with similar gene therapy. This development has introduced renewed uncertainty around Sarepta’s profitability and revenue outlook, which had previously been stabilized by a restructuring plan projecting significant annual revenue through 2027.
Additionally, the future of Elevidys is uncertain, as the timeline for potentially restarting shipments is dependent on FDA feedback and Sarepta’s proposed new treatment regimen. Even if shipments resume, caregiver hesitancy could impact demand. Furthermore, the focus is shifting to Sarepta’s future pipeline, with upcoming data releases being crucial for the company’s prospects. These factors collectively contribute to the Hold rating, reflecting a cautious stance amid regulatory and market challenges.
In another report released yesterday, Morgan Stanley also reiterated a Hold rating on the stock with a $15.00 price target.