In a report released yesterday, Tazeen Ahmad from Bank of America Securities reiterated a Sell rating on Sarepta Therapeutics, with a price target of $17.00.
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Tazeen Ahmad’s rating is based on several factors that contribute to a cautious outlook on Sarepta Therapeutics. Despite a survey indicating that most neurologists plan to continue using Elevidys for ambulatory patients, there is an expectation of slower uptake due to concerns about its risk/benefit profile. This cautious sentiment is reflected in the Underperform rating, as the trajectory of Elevidys’ market launch remains uncertain and will require a few quarters to assess.
Additionally, there are risks associated with the PMO franchise, particularly with upcoming trial readouts that could impact the company’s liquidity and financial obligations. The early-stage development of other pipeline programs like SRP-1001 and SRP-1003, while potentially promising, are still in nascent stages and do not yet provide enough assurance to offset these risks. Therefore, the Sell rating is maintained, with a price objective set at $17, reflecting these uncertainties and challenges.
In another report released on August 17, Citi also maintained a Sell rating on the stock with a $14.00 price target.
SRPT’s price has also changed dramatically for the past six months – from $107.120 to $20.180, which is a -81.16% drop .