Market Overview

Janney, Morgan Stanley Say Sarepta's Gene Therapy Remains On Track

Share:
Janney, Morgan Stanley Say Sarepta's Gene Therapy Remains On Track

Sarepta Therapeutics Inc (NASDAQ: SRPT) shares were under pressure this week following a regulatory update that analysts say may have been misunderstood by the market. 

Sarepta shares were down 5 percent at the start of the week against a biotech index that was up 3 percent after the company provided an update on its microdystrophin gene therapy program that investors perceived as being different from what had previously been expected.

The Analysts

Janney analyst Yun Zhong reiterated a Buy rating on Sarepta with a $200 fair value estimate. 

Morgan Stanley analyst Matthew Harrison reiterated an Overweight rating with a $161 price target. 

The Thesis 

In a follow-up discussion with Janney, Sarepta clarified that the pathway for regulatory approval of the new therapy remains the same as what the company had previously indicated and reiterated that a U.S. launch by the end of 2020 remains possible based on positive data from clinical studies, Zhong said in a Tuesday note. 

“Sarepta's active and ambitious pipeline building is on track,” the analyst said. “We continue to see significant upside potential in Sarepta's gene therapy pipeline.”

Janney also pointed out other positives for Sarepta, including that it continues to build manufacturing capacity.

Harrison said Morgan Stanley also didn’t see the announcement that the therapy would require an additional registration study as a significant d from previously announced timelines.

Price Action

Sarepta shares were up 0.22 percent at $110.26 at the time of publication. 

Related Links

Credit Suisse Joins Consensus To Prescribe Sarepta

Morgan Stanley Buys Into Sarepta Amid Sell-Off, Sees $600M Recurring Opportunity In DMD Candidate

Latest Ratings for SRPT

DateFirmActionFromTo
Apr 2020Morgan StanleyMaintainsOverweight
Mar 2020MizuhoInitiates Coverage OnBuy
Feb 2020JP MorganMaintainsOverweight

View More Analyst Ratings for SRPT
View the Latest Analyst Ratings

 

Related Articles (SRPT)

View Comments and Join the Discussion!

Posted-In: Janney Matthew HarrisonAnalyst Color Biotech Price Target Reiteration Analyst Ratings General Best of Benzinga

Latest Ratings

StockFirmActionPT
UBERRBC CapitalMaintains50.0
UBERMizuhoMaintains42.0
WIXJMP SecuritiesMaintains363.0
UBERBarclaysMaintains43.0
CVIJP MorganInitiates Coverage On22.0
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.
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 vipaccounts@benzinga.com