Sarepta Therapeutics (SRPT) AI Stock Analysis

• Market Cap: $1.72B
• Dividend Yield: N/A
• Average Volume (3M): 2.38M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.39
• Revenue Growth: 47.15%
• EPS Growth: -311.26%
• Country: US
• Employees: 1,372
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -3.93
• Shares Outstanding: 104,989,770
• 10 Day Avg. Volume: 2,578,831
• 30 Day Avg. Volume: 2,381,012
• PEG Ratio: <0.01
• Price to Book (P/B): 1.98
• Price to Sales (P/S): 1.03
• P/FCF Ratio: -7.33
• Enterprise Value/Market Cap: 1.14
• Enterprise Value/Revenue: 0.89
• Enterprise Value/Gross Profit: 1.44
• Enterprise Value/Ebitda: -3.16
• 1Y Price Target: $21.29
• Price Target Upside: 29.82% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 20
• EPS Forecast (FY): 3.24
• Revenue Forecast (FY): $1.74B

• Rating: 48 Neutral
• Price Target: $16.50 ▲(0.61% Upside)
• Action: Reiterated Date: 03/02/26
• Date: Action: Reiterated 03/02/26

The score is primarily constrained by weak financial performance (earnings reversal and persistent cash burn) and bearish technicals (price below all major moving averages with negative MACD). Earnings-call guidance and liquidity are supportive—highlighting a potential 2026 profitability/cash-flow inflection—but near-term commercial and execution uncertainty keeps the overall score below average.

Positive Factors

Cash runway & core cash generation

Nearly $1.0B in cash combined with >$330M of positive base-business cash flow provides multi-quarter funding for R&D, commercialization and operating needs without immediate financing. This runway supports execution on 2026 profitability targets and buffers one-off program charges while management scales commercial efforts.

Durable ELEVIDYS clinical data

Randomized, controlled 3-year data demonstrating sustained, statistically significant functional benefit strengthens long-term clinical credibility and payer/physician confidence. Durable disease-modifying evidence underpins lasting market potential, supports reimbursement discussions and differentiates the therapy versus symptomatic care over multi-year horizons.

Advancing siRNA pipeline

A diversified, multi-program siRNA pipeline spreads clinical and commercial risk beyond DMD and adds multiple mid-term catalysts. Clinical-stage CNS and muscle-targeted assets (DM1, FSHD, Huntington's, SCA2, IPF) create potential new revenue streams and strategic optionality over several years if readouts are positive and facilitate long-term growth and franchise expansion.

Negative Factors

Persistent negative cash flow

Ongoing negative operating and free cash flow signals structural profitability pressure despite revenue gains. Continued cash burn forces reliance on reserves or external financing, risking dilution or higher-cost debt if the planned 2026 cash-flow inflection is delayed, and limits strategic flexibility for capex, launches or acquisitions.

Large inventory & manufacturing charges

Substantial production failures and inventory reserves reveal manufacturing and supply-chain weaknesses that materially depressed margins and earnings. These operational issues can persist, increase unit costs, create recurring period charges, and impair predictability of gross-to-net economics and long-term margin sustainability until production quality stabilizes.

Safety-related uncertainty and dosing pause

Safety incidents eroded prescriber and patient confidence, slowing uptake and complicating label and market restoration efforts. The pause and need for additional prophylaxis data (sirolimus) delays access for non-ambulatory patients, prolongs recovery of peak demand, and heightens regulatory and commercial timing risk across 2026.

Sarepta Therapeutics Business Overview & Revenue Model

Company Description

Sarepta Therapeutics, Inc., a commercial-stage biopharmaceutical company, focuses on the discovery and development of RNA-targeted therapeutics, gene therapies, and other genetic therapeutic modalities for the treatment of rare diseases. It offers EXONDYS 51 injection to treat duchenne muscular dystrophy (duchenne) in patients with confirmed mutation of the dystrophin gene that is amenable to exon 51 skipping; and VYONDYS 53 for the treatment of duchenne in patients with confirmed mutation of the dystrophin gene that is amenable to exon 53 skipping. The company is also developing AMONDYS 45, a product candidate that uses phosphorodiamidate morpholino oligomer chemistry and exon-skipping technology to skip exon 45 of the dystrophin gene; SRP-5051, a peptide conjugated PMO that binds exon 51 of dystrophin pre-mRNA; SRP-9001, a DMD micro-dystrophin gene therapy program; and SRP-9003, a limb-girdle muscular dystrophies gene therapy program. It has collaboration agreements with F. Hoffman-La Roche Ltd; Nationwide Children's Hospital; Lysogene; Duke University; Genethon; and StrideBio. The company was incorporated in 1980 and is headquartered in Cambridge, Massachusetts.

How the Company Makes Money

Sarepta Therapeutics generates revenue primarily through the commercialization of its approved therapies, such as Eteplirsen, which provides a direct sales revenue stream. Additionally, the company engages in partnerships and collaborations with other pharmaceutical companies and research institutions to develop and commercialize its drug candidates. These partnerships often involve upfront payments, milestone payments as products advance through clinical trials, and royalties on future sales. Furthermore, Sarepta may receive funding from grants and research initiatives aimed at advancing its therapeutic pipeline, which contributes to its overall revenue model.

Sarepta Therapeutics Financial Statement Overview

Summary

Weighed down by deteriorating TTM profitability (net margin -38.3% with negative EBIT/EBITDA) and ongoing cash burn (negative operating and free cash flow, with TTM FCF down 18.4% YoY). Offsetting factors include strong gross margin (~61%) and an improved leverage profile (debt-to-equity ~0.17), but sustained losses and cash outflows remain the key risk.

Income Statement

TTM (Trailing-Twelve-Months) results show a sharp deterioration: revenue declined 8.9% and profitability swung to sizable losses (net margin -38.3%, with negative EBIT and EBITDA margins). This is a meaningful reversal from 2024, which delivered positive operating profit and a 12.4% net margin. A clear positive is consistently strong gross profitability (TTM gross margin ~61%), but the cost structure and/or charges below gross profit are pressuring earnings power and make near-term profitability less predictable.

Balance Sheet

Leverage looks manageable in TTM (Trailing-Twelve-Months), with debt-to-equity at ~0.17 and equity of ~$1.14B against ~$3.35B of assets—an improvement versus the more levered 2022–2024 period (debt-to-equity peaked above 4.2 in 2022). The key weakness is returns: TTM (Trailing-Twelve-Months) losses drive deeply negative return on equity, and equity can be vulnerable if losses persist. Overall, the balance sheet appears less debt-burdened than recent history, but profitability needs to stabilize to protect capital.

Cash Flow

Cash generation remains a concern: operating cash flow and free cash flow are negative in both TTM (Trailing-Twelve-Months) and 2024, with TTM free cash flow down 18.4% year over year. While free cash flow is mathematically higher than net income due to non-cash items (free cash flow to net income > 1), the underlying reality is ongoing cash burn, implying continued reliance on cash reserves or financing unless operating performance improves. The only clear bright spot in the history provided is 2020, when operating and free cash flow were positive, but that has not been sustained.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.20B	1.90B	1.24B	933.01M	701.89M
Gross Profit	1.32B	1.58B	1.09B	793.02M	604.84M
EBITDA	-647.97M	316.89M	-453.69M	-594.85M	-317.41M
Net Income	-713.41M	235.24M	-535.98M	-703.49M	-418.78M
Balance Sheet
Total Assets	3.35B	3.96B	3.26B	3.13B	3.15B
Cash, Cash Equivalents and Short-Term Investments	939.65M	1.35B	1.68B	1.99B	2.12B
Total Debt	1.04B	1.34B	1.40B	1.62B	1.15B
Total Liabilities	2.21B	2.44B	2.41B	2.74B	2.22B
Stockholders Equity	1.14B	1.53B	859.34M	384.95M	928.01M
Cash Flow
Free Cash Flow	-307.45M	-352.74M	-588.34M	-357.60M	-481.66M
Operating Cash Flow	-205.48M	-205.79M	-500.99M	-325.35M	-443.17M
Investing Cash Flow	69.64M	755.56M	-165.80M	-1.05B	495.41M
Financing Cash Flow	-168.34M	124.81M	125.00M	232.51M	561.57M

Sarepta Therapeutics Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 16.40
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SRPT, the sentiment is Negative. The current price of 16.4 is below the 20-day moving average (MA) of 17.46, below the 50-day MA of 19.50, and below the 200-day MA of 20.68, indicating a bearish trend. The MACD of -0.70 indicates Negative momentum. The RSI at 38.89 is Neutral, neither overbought nor oversold. The STOCH value of 55.39 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SRPT.

Sarepta Therapeutics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BCRX	70 Outperform	$2.06B	6.20	-76.45%	―	45.38%	92.85%
ARQT	63 Neutral	$2.82B	-228.91	-10.26%	―	129.21%	80.35%
DYN	56 Neutral	$2.96B	-5.63	-61.45%	―	―	-2.75%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
MESO	49 Neutral	$1.90B	―	-18.31%	―	191.53%	5.09%
COGT	49 Neutral	$5.52B	-5.86	-100.22%	―	―	4.32%
SRPT	48 Neutral	$1.72B	-3.16	-57.52%	―	47.15%	-311.26%

Sarepta Therapeutics Corporate Events

Sarepta Therapeutics Announces Planned CEO Leadership Transition

On February 25, 2026, Sarepta Therapeutics said Chief Executive Officer Douglas Ingram notified the company of his decision to retire by the end of 2026 or when a successor is appointed. The board has begun searching both internal and external candidates, signaling a planned leadership transition that may shape Sarepta’s strategic direction and execution over the coming years.

The most recent analyst rating on (SRPT) stock is a Hold with a $17.00 price target. To see the full list of analyst forecasts on Sarepta Therapeutics stock, see the SRPT Stock Forecast page.

Sarepta Therapeutics Extends Debt Maturities with New Notes

On December 10, 2025, Sarepta Therapeutics, Inc. entered into privately negotiated exchange agreements with certain holders of its 1.25% Convertible Senior Notes due 2027, including an entity affiliated with board member Michael Chambers, to exchange approximately $291.4 million in principal of the existing notes for an equal principal amount of new 4.875% Convertible Senior Notes due 2030 plus about $31.6 million in cash. The new notes were issued on December 18, 2025, under an existing indenture and form part of the same series as the $602.0 million of 4.875% Convertible Senior Notes due 2030 issued in August 2025, bringing the total outstanding principal of that 2030 series to approximately $893.4 million and effectively extending the company’s debt maturity profile while modestly increasing its cash outlay to participating noteholders.

The most recent analyst rating on (SRPT) stock is a Hold with a $17.00 price target. To see the full list of analyst forecasts on Sarepta Therapeutics stock, see the SRPT Stock Forecast page.

Sarepta Therapeutics Refinances Convertible Senior Notes

On December 10, 2025, Sarepta Therapeutics entered into exchange agreements to refinance approximately $291.4 million of its 1.25% Convertible Senior Notes due 2027. These notes will be exchanged for new 4.875% Convertible Senior Notes due 2030 and approximately $31.6 million in cash. The exchange aims to enhance the company’s financial structure by consolidating its debt under a new series of notes, increasing the total principal amount of the 2030 notes to $893.4 million. This move could influence the market price of Sarepta’s common stock and notes, as the placement agent plans to purchase shares in privately negotiated transactions.

The most recent analyst rating on (SRPT) stock is a Buy with a $37.00 price target. To see the full list of analyst forecasts on Sarepta Therapeutics stock, see the SRPT Stock Forecast page.

Sarepta Grants CEO Equity Awards After Eight Years

On December 7, 2025, Sarepta Therapeutics‘ Board of Directors granted equity awards to CEO Douglas S. Ingram under the company’s 2018 Equity Incentive Plan. This marks the first equity grant for Mr. Ingram since 2017, with the award divided equally between time-based restricted stock units and performance-based awards, each valued at approximately $6 million. The performance-based portion is contingent on the company’s Incentive EBITDA performance over a two-year period, potentially doubling in value if targets are met, and is subject to Mr. Ingram’s continued service.

The most recent analyst rating on (SRPT) stock is a Hold with a $21.00 price target. To see the full list of analyst forecasts on Sarepta Therapeutics stock, see the SRPT Stock Forecast page.