Nucor earnings beat by $0.08, revenue fell short of estimates
Investing.com - Barclays (LON:BARC) downgraded Sarepta Therapeutics (NASDAQ:SRPT) from Equalweight to Underweight and slashed its price target to $10.00 from $18.00 on Monday. The stock, currently trading at $11.93, has plummeted 90% year-to-date and is hovering near its 52-week low of $10.41. According to InvestingPro data, seven analysts have recently revised their earnings estimates downward.
The downgrade follows Sarepta’s voluntary suspension of Elevidys at the FDA’s request after a third AAVrh74-related death due to acute liver failure was reported on July 22, 2025.
Adding to the company’s challenges, Sarepta announced a negative opinion from the European Medicines Agency’s Committee for Human Medicinal Products (CHMP) for Elevidys in ambulatory Duchenne muscular dystrophy patients aged 3-7 years, with the EMA’s refusal letter focusing on Phase 3 trial failure.
Barclays cited comments from an unidentified FDA official suggesting additional studies may be required for Elevidys, raising concerns about the timeline and possibility of the treatment returning to market.
The investment bank expressed significant liquidity concerns for Sarepta, noting the company needs to meet requirements to maintain access to its $600 million credit revolver, make collaboration payments to Arrowhead Pharmaceuticals (NASDAQ:ARWR), and fulfill 2027 debt obligations.
In other recent news, Sarepta Therapeutics has faced significant developments impacting its stock and market perception. The company encountered a downgrade from JPMorgan, moving from a Neutral to an Underweight rating due to negative headlines surrounding its Elevidys therapy. Jefferies also adjusted its price target for Sarepta, lowering it from $40 to $35 while maintaining a Buy rating, following Roche’s reduced sales guidance for Elevidys outside the US. Citi reiterated its Sell rating with a $7 price target amid reports of regulatory challenges, including unanimous agreement from FDA reviewers that Elevidys should not return to the market. Sarepta’s stock experienced notable declines after reports suggested that new studies would be necessary for its Duchenne muscular dystrophy treatment to re-enter the market. Furthermore, Citi has placed a 90-day downside catalyst watch on the stock, expressing concerns over the marketing approval and safety issues related to Sarepta’s gene therapy programs. These recent developments highlight the ongoing challenges and scrutiny surrounding Sarepta’s therapeutic offerings.
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