Market Overview

Corcept Therapeutics Is 'Fairly Valued,' Stifel Says In Downgrade


Stifel's bullish case for Corcept Therapeutics Incorporated (NASDAQ: CORT), a pharmaceutical company that focuses on drugs to treat severe metabolic, oncologic and psychiatric disorders by modulating the effects of cortisol, no longer applies.

The Analyst

Stifel's Adam Walsh downgraded Corcept Therapeutics from Buy to Hold with an unchanged $20 price target.

The Thesis

There are three key reasons to now think Corcept's stock is "fairly valued" at current levels, Walsh said in a note.

First, Teva Pharmaceutical Industries Ltd (ADR) ADR (NYSE: TEVA) is expected to launch an ANDA for a generic version to Corcept's Korlym. While this may not happen until late 2020 as a lawsuit is underway, the likelihood of a competitive environment creates a "potential overhang" for Corcept.

Competitive read outs from rival pharmaceutical firms are due in the near-term, including Recorlev and osilodrostat, the analyst wrote. While there's no clear read through, the potential for positive outcomes from rival therapies adds another overhang as Corcept's current valuation is mostly derived from the Cushing's franchise.

Corcept is still expected to launch its relacorilant in fiscal 2023, but there exists the potential for the U.S. Food and Drug Administration to impose a placebo arm in pivotal trials, the analyst wrote. Nevertheless, further commentary on this topic is expected with Phase 2 high-dose cohort results in the bottom half of 2018.

Price Action

Shares of Corcept Therapeutics were trading lower by 5.5 percent to $18.60 at time of publication.

Related Links:

Benzinga's Daily Biotech Pulse: Clinical Hold For Crispr, Gilead Study Meets Endpoint, Akers Gets Grace Time

'Right To Try' Law Signed By Trump Increases Patient Access To Experimental Drugs

Latest Ratings for CORT

Sep 2019Initiates Coverage OnBuy
Sep 2019Initiates Coverage OnBuy
Feb 2019DowngradesOverweightNeutral

View More Analyst Ratings for CORT
View the Latest Analyst Ratings

Posted-In: Adam Walsh Generic Korlym Pharmaceutical RecorlevAnalyst Color Downgrades Analyst Ratings


Related Articles (CORT + TEVA)

View Comments and Join the Discussion!

Latest Ratings

SIVBMaxim GroupMaintains300.0
VIACMorgan StanleyReinstates42.0
APDBMO CapitalMaintains275.0
OIDeutsche BankMaintains15.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at