RPT, despite a significant stock price decline following a patient's death.Sarepta Therapeutics Inc (NASDAQRPT) is a biotechnology company focused on developing precision genetic medicines to treat rare diseases. The company is known for its work on Duchenne muscular dystrophy (DMD), a severe type of muscular dystrophy. Sarepta's gene therapy, Elevidys, is the only approved treatment for DMD, making it a significant player in the biotech industry.
On March 18, 2025, RBC Capital maintained its "Outperform" rating for SRPT, with the stock trading at $79.85. However, the stock has since experienced a significant decline, dropping over 21% following the announcement of a patient's death after receiving Elevidys. This incident has raised concerns about the safety of the therapy, despite the company's assertion that the benefit-risk profile remains positive.
The patient who passed away suffered from acute liver failure, a known potential side effect of Elevidys and similar therapies. Sarepta acknowledged the severity of this case as unprecedented. The patient also had a recent cytomegalovirus (CMV) infection, which may have exacerbated the liver damage. Sarepta is actively investigating the incident and plans to update the prescribing information to reflect this event.
Analysts from Jefferies predict continued stock weakness due to the uncertainty surrounding the safety of Elevidys. They suggest that unless Sarepta can conclusively determine that the death was not related to the drug, the stock may continue to face pressure. The company has treated over 800 individuals with Elevidys, with this being the only reported case of liver failure.
Currently, SRPT is priced at $78.50, reflecting a decrease of 22.55% with a change of $22.85. The stock has fluctuated between a low of $75.06 and a high of $81.87 today. Over the past year, it reached a high of $173.25 and a low of $75.06. The company's market capitalization stands at approximately $7.62 billion, with a trading volume of 9,148,278 shares on the NASDAQ.
