Leerink Partners analyst Joseph Schwartz has reiterated their bullish stance on SRPT stock, giving a Buy rating yesterday.
Joseph Schwartz has given his Buy rating due to a combination of factors surrounding Sarepta Therapeutics. Despite the temporary clinical hold requested by the EMA on several Elevidys studies following a patient death, Schwartz sees the current stock price as significantly undervalued. The ex-US market for Elevidys is not a major component of their valuation due to the existing partnership with Roche, which limits the impact of the EMA’s decision on the overall value.
Schwartz acknowledges the serious nature of the side effects associated with Elevidys but highlights the low incidence rate of such events. He maintains a positive outlook on the stock, emphasizing that the potential sales in the US market remain a core value driver. The analyst believes that the stock has been oversold and that the current price does not reflect the future revenue potential, particularly as the company is expected to generate significant sales by FY25. Therefore, he reiterates an Outperform rating on Sarepta Therapeutics.
In another report released yesterday, TD Cowen also maintained a Buy rating on the stock with a $203.00 price target.
SRPT’s price has also changed dramatically for the past six months – from $122.520 to $62.470, which is a -49.01% drop .