Weiss Ratings Reiterates Sell Rating for Sarepta Therapeutics Shares

Weiss Ratings has reaffirmed its sell rating on shares of Sarepta Therapeutics (NASDAQ: SRPT) with a grade of D- in a report released on August 20, 2023. This decision follows a trend where multiple equity analysts have been reassessing their outlook on the company.

On the same day, Bank of America adjusted its target price for Sarepta shares to $17.00, designating an “underperform” rating. Earlier in the month, on August 7, 2023, both Wells Fargo & Company and Goldman Sachs Group also revised their target prices, with Wells Fargo increasing it from $48.00 to $50.00 and assigning an “overweight” rating, while Goldman Sachs set a target of $19.00 with a “neutral” stance. Additionally, HC Wainwright reiterated a sell rating on August 25, 2023, and William Blair maintained an “outperform” rating on July 29, 2023.

Currently, a total of eight analysts rate Sarepta’s stock as a Buy, while fourteen have assigned a Hold rating, and seven have issued a Sell rating. According to data from MarketBeat.com, the average rating for Sarepta Therapeutics stands at “Hold,” with a consensus target price of $34.42.

Recent Financial Performance

Sarepta Therapeutics released its latest earnings report on August 6, 2023, revealing earnings per share (EPS) of $2.02 for the quarter, significantly surpassing the consensus estimate of $0.89 by $1.13. The company reported a revenue of $611.09 million, exceeding analysts’ expectations of $530.66 million. This marks a remarkable 68.4% increase in revenue compared to the same period last year. The company’s net margin stood at -2.34%, with a return on equity of -1.03%. Analysts forecast that Sarepta will post an EPS of 2.67 for the current fiscal year.

Institutional Investor Activity

Several institutional investors have adjusted their stakes in Sarepta Therapeutics recently. Notably, CWM LLC increased its holdings by 4,033.3% in the third quarter, acquiring an additional 70,946 shares, bringing its total to 72,705 shares, valued at approximately $1.4 million. Generali Investments CEE investicni spolecnost a.s. also raised its holdings by 17.4%, now owning 123,649 shares, valued at around $2.38 million.

Other notable changes include GAMMA Investing LLC, which increased its shares by 285.6% to reach 3,089 shares, and Corient Private Wealth LLC, which raised its holdings by 73.8% during the second quarter. In total, institutional investors and hedge funds hold approximately 86.68% of Sarepta’s stock.

About Sarepta Therapeutics

Sarepta Therapeutics is a commercial-stage biopharmaceutical company dedicated to the discovery and development of RNA-targeted therapeutics and gene therapies aimed at treating rare diseases. The company’s product lineup includes EXONDYS 51, VYONDYS 53, AMONDYS 45, and ELEVIDYS, all targeting Duchenne muscular dystrophy in patients with specific mutations of the dystrophin gene.

As the market continues to react to these developments, the future performance of Sarepta Therapeutics remains a focal point for investors and analysts alike.