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Sarepta Therapeutics (SRPT)
NASDAQ:SRPT
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Sarepta Therapeutics
(NASDAQ:SRPT)
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Rating:51Neutral
Price Target:
$24.00
▲(26.52% Upside)
Action:ReiteratedDate:12/20/25
Sarepta Therapeutics' overall stock score reflects significant financial challenges, particularly in profitability and cash flow, despite some positive technical indicators and strategic debt management. The company's valuation remains a concern due to negative earnings, and while recent earnings call and corporate events provide some optimism, they are not enough to offset the financial weaknesses.
Positive Factors
Revenue Growth
Sarepta's strong revenue growth rate of 47.15% indicates robust demand for its products, suggesting a solid market position and potential for sustained financial performance.
Regulatory Approval
FDA approval for dosing in Cohort 8 of ENDEAVOR enhances Sarepta's product pipeline, potentially leading to new treatment options and revenue streams.
Debt Management
By extending debt maturities, Sarepta improves its financial stability and liquidity, providing more flexibility for long-term strategic investments.
Negative Factors
Profitability Challenges
Ongoing profitability issues, as indicated by negative margins, could limit Sarepta's ability to reinvest in growth and maintain competitive positioning.
Cash Flow Issues
Persistent negative cash flows highlight operational inefficiencies, potentially constraining Sarepta's capacity to fund R&D and other strategic initiatives.
Regulatory Risks
The FDA's addition of a Boxed Warning for Elevidys could affect its market acceptance and sales, posing a risk to Sarepta's revenue from this key product.
Sarepta Therapeutics (SRPT) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$1.97B
Dividend YieldN/A
Average Volume (3M)2.37M
Price to Earnings (P/E)―
Beta (1Y)1.40
Revenue Growth47.15%
EPS Growth-311.26%
CountryUS
Employees1,372
SectorHealthcare
Sector Strength45
IndustryBiotechnology
Share Statistics
EPS (TTM)-3.93
Shares Outstanding104,787,186
10 Day Avg. Volume1,434,494
30 Day Avg. Volume2,374,037
Financial Highlights & Ratios
PEG Ratio-0.34
Price to Book (P/B)7.57
Price to Sales (P/S)6.08
P/FCF Ratio-32.77
Enterprise Value/Market Cap0.70
Enterprise Value/Revenue0.57
Enterprise Value/Gross Profit0.75
Enterprise Value/Ebitda-7.67
Forecast
1Y Price Target
$21.81Price Target Upside14.98% Upside
Rating ConsensusHold
Number of Analyst Covering19
EPS Forecast (FY)1.93
Revenue Forecast (FY)$1.59B
Sarepta Therapeutics Business Overview & Revenue Model
Company DescriptionSarepta 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 MoneySarepta 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 Key Performance Indicators (KPIs)
Sarepta Therapeutics Earnings Call Summary
Earnings Call Date:Feb 25, 2026
(Q4-2025)
| Next Earnings Date:May 06, 2026
Earnings Call Sentiment Positive
The call balanced material near-term challenges (safety-related market uncertainty, substantial inventory/manufacturing charges and reported operating losses) with strong underlying positives: robust revenue growth in 2025, a solid cash position, compelling and durable three‑year ELEVIDYS efficacy data, a stable PMO franchise, a rapidly advancing siRNA pipeline with multiple clinical programs and clear 2026 financial guidance. Management emphasized plans to address information deficits, commercial expansion and pipeline milestones; timing risk for ELEVIDYS uptake and non-ambulatory resumption remains notable.Q4-2025 Updates
Positive Updates
Strong full-year revenue growth
Total revenues for FY2025 were $2.2 billion, up 16% year-over-year, including $1.86 billion in net product revenue (PMOs $966M; ELEVIDYS $899M) showing continued commercial traction.
Solid cash position and positive core cash generation
Ended 2025 with $954 million in cash and investments (up $89M in Q4); base business (ex-Arrowhead payments) generated more than $330 million of positive cash flow in 2025 and management expects to be cash-flow positive and non-GAAP profitable in 2026 under reasonable scenarios.
ELEVIDYS durable, disease-modifying data (EMBARK 3-year)
Three-year EMBARK Part 1 results show durable, statistically significant efficacy vs external control: 73% slowing in disease progression for time-to-rise, 70% for 10m walk/run, NSAA +4.39 point difference at year 3 (p=0.0002); no new safety signals reported through three years.
PMO franchise stability and compliance
PMO net product revenue totaled $966 million in 2025; Q4 PMO revenue $259 million (EXONDYS $148M, VYONDYS $34M, AMONDYS $77M) with year-after-year compliance rates consistently over 90%.
Pipeline advancement: multiple clinical-stage siRNA programs
Five clinical-stage siRNA programs advancing (DM1 SRP-1003, FSHD, IPF, SCA2, Huntington's SRP-1005 initiated), with additional preclinical programs (SCA1, SCA3) and planned readouts (preliminary DM1/FSHD data end of quarter; further PD/splice data later in 2026).
Regulatory and commercial milestones
ELEVIDYS received traditional approval for ambulatory patients and approval to run a sirolimus pretreatment study for non-ambulatory patients; meeting with FDA scheduled to discuss transitioning AMONDYS and VYONDYS to traditional approval following ESSENCE confirmatory data.
2026 revenue and collaboration visibility
Provided net product revenue guidance for 2026 of $1.2B–$1.4B (management advises modeling toward the low end given timing uncertainty) and expects collaboration, contract manufacturing, and royalty revenues of $450M–$550M in 2026 (including a $40M Roche milestone and ~$325M noncash collaboration revenue).
Negative Updates
Safety-related events and market uncertainty in 2025
Unanticipated tragic safety events in 2025 created short-lived FDA actions and patient/physician hesitation that reshaped perceptions of gene therapy and reduced near-term ELEVIDYS uptake; company views 2026 as a 'reset' year to address the information deficit.
Significant inventory and manufacturing charges
Q4 cost of sales included a $193 million charge ( $165M noncash excess inventory reserve + $28M purchase commitment cancellation fees) after a raw material and purchase-commitment review; full-year cost of sales were $840M with nearly half reflecting failed production batches, inventory reserves and related period charges.
Reported GAAP and non-GAAP operating losses
FY2025 GAAP operating loss was $700 million and non-GAAP operating loss was $492 million; after adjustments management stated the underlying business would have shown positive operating profit ($226M GAAP / $391M non‑GAAP) excluding restructuring and Arrowhead transaction expenses.
Near-term revenue timing uncertainty and Q1 softness
Management expects Q1 revenue to be about flat to down up to 15% versus prior quarter; six planned ELEVIDYS infusions were rescheduled into 2026 (Q4 ELEVIDYS revenue was $110M, impacted by a severe flu season and the reschedules), and long enrollment-to-infusion cycles mean commercial initiatives likely won’t materially lift revenue until H2 2026 or beyond.
Non-ambulatory dosing paused pending sirolimus results
Non-ambulatory commercial dosing was paused after 155 non-ambulatory patients were treated through July 2025; Cohort 8 (sirolimus prophylaxis) is enrolling ~25 participants with results expected by end of 2026 — resumption of routine non-ambulatory dosing depends on those outcomes and further FDA discussions.
Margins pressured but expected to normalize
Excluding inventory and batch-related charges, unit sales-driven gross margins were in the low-80% range for 2025; management expects 2026 unit margins to be in the high-70% range as production volumes decline and fewer period charges are expected.
Company Guidance
Sarepta gave broad 2026 financial guidance and key metrics: net product revenue of $1.2–$1.4 billion (Q1 expected about flat to down ~15% vs. prior quarter), 2026 non‑GAAP R&D+SG&A of $800–$900 million, and the company expects to be cash‑flow positive and non‑GAAP profitable in 2026 under reasonable scenarios. They closed 2025 with $954 million cash & investments (up $89 million in Q4) and base business positive cash flow >$330 million ex‑Arrowhead; full‑year 2025 results were $2.2 billion total revenue (+16% YoY) including $1.86 billion net product revenue ($966M PMO franchise, $899M ELEVIDYS) and $334 million collaboration/CM/royalty revenue. Q4 detail: PMO net product revenue $259M (EXONDYS $148M, VYONDYS $34M, AMONDYS $77M) and ELEVIDYS $110M (impacted by a severe flu season and six rescheduled infusions); Q4 cost of sales $399M (including a $193M charge — $165M noncash inventory reserve + $28M purchase‑commitment fees), FY COS $840M. For 2026 they expect collaboration/CM/royalty revenue of $450–$550M (including a $40M Roche Q1 milestone and ~$325M noncash collaboration revenue tied to Roche), project unit margins in the high‑70% range for 2026 (2025 unit margins were low‑80% excluding period charges), and note balance‑sheet actions that refinanced $291M of 2027 notes into 2030 leaving a $159M remaining stub.Sarepta Therapeutics Financial Statement Overview
Summary
Sarepta Therapeutics faces significant financial challenges, particularly in achieving consistent profitability and positive cash flows. Despite improvements in leverage and asset management, the company struggles with revenue growth and profitability.Income Statement
Sarepta Therapeutics has shown inconsistent revenue growth, with a recent decline in TTM. The company has struggled with profitability, as indicated by negative net profit margins and EBIT margins over the years. Despite a strong gross profit margin, the overall income statement reflects challenges in achieving sustainable profitability.45
Neutral
Balance Sheet
The balance sheet shows a moderate debt-to-equity ratio, which has improved over time, indicating better leverage management. However, the return on equity remains negative, highlighting ongoing profitability challenges. The equity ratio is stable, suggesting a balanced asset structure.50
Neutral
Cash Flow
Sarepta's cash flow statement reveals negative operating and free cash flows, with a declining trend in free cash flow growth. The company has a high free cash flow to net income ratio, indicating cash flow challenges despite net income improvements in some periods.40
Negative
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 2.41B | 1.90B | 1.24B | 933.01M | 701.89M | 540.10M |
| Gross Profit | 1.84B | 1.58B | 1.09B | 793.02M | 604.84M | 476.72M |
| EBITDA | -180.69M | 316.89M | -453.69M | -594.85M | -317.41M | -453.38M |
| Net Income | -271.51M | 235.24M | -535.98M | -703.49M | -418.78M | -554.13M |
Balance Sheet | ||||||
| Total Assets | 3.49B | 3.96B | 3.26B | 3.13B | 3.15B | 2.98B |
| Cash, Cash Equivalents and Short-Term Investments | 850.99M | 1.35B | 1.68B | 1.99B | 2.12B | 1.94B |
| Total Debt | 1.25B | 1.34B | 1.40B | 1.62B | 1.15B | 1.09B |
| Total Liabilities | 2.17B | 2.44B | 2.41B | 2.74B | 2.22B | 2.22B |
| Stockholders Equity | 1.32B | 1.53B | 859.34M | 384.95M | 928.01M | 761.76M |
Cash Flow | ||||||
| Free Cash Flow | -388.84M | -352.74M | -588.34M | -357.60M | -481.66M | 25.26M |
| Operating Cash Flow | -244.64M | -205.79M | -500.99M | -325.35M | -443.17M | 107.47M |
| Investing Cash Flow | 737.55M | 755.56M | -165.80M | -1.05B | 495.41M | -121.72M |
| Financing Cash Flow | -80.14M | 124.81M | 125.00M | 232.51M | 561.57M | 682.32M |
Sarepta Therapeutics Technical Analysis
Neutral
18.97
Price Trends
20.65
Negative
20.81
Negative
21.91
Negative
Market Momentum
-0.65
Negative
47.30
Neutral
73.48
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SRPT, the sentiment is Neutral. The current price of 18.97 is above the 20-day moving average (MA) of 18.93, below the 50-day MA of 20.65, and below the 200-day MA of 21.91, indicating a neutral trend. The MACD of -0.65 indicates Negative momentum. The RSI at 47.30 is Neutral, neither overbought nor oversold. The STOCH value of 73.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SRPT.
Sarepta Therapeutics Risk Analysis
Sarepta Therapeutics disclosed 63 risk factors in its most recent earnings report. Sarepta Therapeutics reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Sarepta Therapeutics Peers Comparison
UnderperformOutperform
Sector (51)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
64 Neutral | $3.30B | -76.19 | -28.17% | ― | 129.21% | 80.35% | |
53 Neutral | $2.11B | -19.99 | -18.96% | ― | 191.53% | 5.09% | |
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% | |
51 Neutral | $1.97B | -6.56 | -21.37% | ― | 47.15% | -311.26% | |
51 Neutral | $1.89B | -159.62 | ― | ― | 45.38% | 92.85% | |
50 Neutral | $2.51B | -4.40 | -60.66% | ― | ― | -2.75% | |
49 Neutral | $6.36B | -15.62 | -73.70% | ― | ― | 4.32% |
* Healthcare Sector Average
SRPT
Sarepta Therapeutics
18.97
-87.89
-82.25%
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Sarepta Therapeutics Corporate Events
Business Operations and StrategyPrivate Placements and Financing
Sarepta Therapeutics Extends Debt Maturities with New Notes
Positive
Dec 19, 2025
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.
Private Placements and Financing
Sarepta Therapeutics Refinances Convertible Senior Notes
Neutral
Dec 11, 2025
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.
Executive/Board Changes
Sarepta Grants CEO Equity Awards After Eight Years
Neutral
Dec 8, 2025
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.
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.