Mizuho Securities has upgraded shares of Sarepta Therapeutics (NASDAQ: SRPT) from a neutral rating to an outperform rating, as detailed in a research note published on October 22, 2023. The firm has set a new price target of $26.00, an increase from the previous target of $19.00, reflecting a positive outlook on the biotechnology company’s potential.
Analysts have been active in reassessing Sarepta’s stock. UBS Group reaffirmed a neutral rating on the shares earlier this month, while Bank of America raised its target price from $16.00 to $18.00, although it maintained an underperform rating. On the same day, Morgan Stanley increased its price objective from $15.00 to $20.00, assigning an equal weight rating. Additionally, Barclays upgraded its rating from underweight to equal weight, setting a price objective of $22.00. BMO Capital Markets also elevated its rating to outperform with a significantly higher target price of $50.00.
As of now, eight analysts have rated Sarepta with a Buy rating, fifteen have provided Hold ratings, and six have issued Sell ratings. Data from MarketBeat indicates a consensus rating of Hold and an average price target of $33.75 for the stock.
Recent Earnings Report Highlights
Sarepta Therapeutics recently reported its quarterly earnings on November 3, 2023. The company posted a loss of $0.13 per share, missing the consensus estimate of $0.02 by $0.15. Despite this setback, Sarepta generated revenue of $399.36 million for the quarter, surpassing analysts’ expectations of $331.51 million. However, the company noted a negative return on equity of 1.03% and a net margin of -2.34%. Compared to the same quarter last year, revenue decreased by 14.5%, while the earnings per share in the prior year stood at $0.62. Analysts predict that Sarepta will achieve an average of 2.67 earnings per share for the current fiscal year.
Institutional Investments Shift
Recent activity among institutional investors reflects growing interest in Sarepta Therapeutics. Inspire Investing LLC acquired a new stake in the company valued at approximately $967,000 in the first quarter. UBS Asset Management increased its holdings by 54.8%, now owning 463,342 shares worth approximately $29.57 million after purchasing an additional 164,041 shares. Tempus Wealth Planning LLC significantly boosted its stake by 475.8%, acquiring 20,658 shares valued at $353,000.
Moreover, Assenagon Asset Management S.A. expanded its investment by 21.8%, now holding 867,939 shares valued at around $14.84 million. Another notable investment comes from Trexquant Investment LP, which acquired a new stake worth approximately $11.99 million.
Currently, institutional investors and hedge funds own 86.68% of Sarepta Therapeutics’ stock, showcasing the confidence these entities have in the company’s future prospects.
Sarepta Therapeutics is a commercial-stage biopharmaceutical company known for its focus on developing RNA-targeted therapeutics and gene therapies for rare diseases. Its portfolio includes treatments for Duchenne muscular dystrophy, such as EXONDYS 51, VYONDYS 53, AMONDYS 45, and ELEVIDYS, which are aimed at improving the lives of patients with specific genetic mutations.
As the market continues to respond to these developments, stakeholders will be closely monitoring Sarepta Therapeutics’ performance in the coming quarters.
