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JPMorgan downgrades Sarepta on unknown Elevidys timelines

JPMorgan analyst Anupam Rama downgraded Sarepta (SRPT) to Neutral from Overweight with a price target of $16, down from $20. The firm does not see the shares outperforming in the near-term after Sarepta paused shipments of Elevidys in the U.S. The company faces unknown timelines to a resolution and likely further reputation damage, the analyst tells investors in a research note. JPMorgan believes that if the situation is not resolved rapidly, there may be renewed concerns on Sarepta meeting its debt obligations. The stock in premarket trading is down 6% to $12.54.

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