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- RBC Capital markets has upgraded Sarepta Therapeutics (NASDAQ:SRPT) to outperform ahead of the launch of its Duchenne muscular dystrophy drug Elevidys.
- The investment bank noted that Sarepta shares have underperformed “despite a very broad and favorable label” for Elevidys. The bank attributed the underperformance in part to concerns about treatment throughput, center capacity and manufacturing supply.
- “We believe many of those concerns are overdone and have increased conviction that once past the 2Q report, the significant near-term launch inflection we model is increasingly likely,” RBC wrote in its note.
- “We see an opportunity to buy the stock near pre-label expansion levels ahead of a likely major launch,” RBC added.
- The investment bank maintained its price target of $182 on the stock.
