Sarepta Therapeutics Inc (NASDAQ:SRPT) is trending after the company posted better-than-expected third quarter results and increased its full-year revenue guidance. For the full year, Sarepta expects a revenue of $150-155 million, versus the consensus of $139.45 million. Sarepta reported excellent results from its new drug Exondys 51, which is used to treat Duchenne muscular dystrophy (DMD). The market was skeptical about the success of this drug, but all these fears were crushed as Exondys brought in a revenue of $46 million. Duchenne muscular dystrophy is a growing market where there is a scarcity of efficient treatments. DMD generally affects pre-teen males, and results in complete paralysis and ultimately death. Sarepta Therapeutics Inc (NASDAQ:SRPT) is working on to expand the drug for the treatment of other muscle-related diseases.
The stock is already up over 74% since the start of this year. Several renowned investment firms are bullish on Sarepta Therapeutics Inc (NASDAQ:SRPT). Jefferies analyst Chad Messer reiterated a “Buy” rating for the stock on October 26. Piper Jaffray also increased its price target for Sarepta stock to $60 after the Q3 report.
Earlier this month, Morgan Stanley analyst Matthew Harrison increased his price target for Sarepta to $60 and recommended investors to buy the stock. Harrison is bullish on the company’s pipeline. The analyst also cited several surveys which show that more patients are now taking Exondys because of its efficient results.
Morgan Stanley is also bullish on Golodirsen, which is used to treat a different type of DMD. Sarepta Therapeutics Inc (NASDAQ:SRPT) recently posted positive results for Golodirsen in an early-stage clinical trial. Goldman Sachs thinks that there is a strong chance Golodirsen will get an FDA approval in the coming months.
Capital investment firm Leerink also increased its price target for Sarepta Therapeutics Inc (NASDAQ:SRPT) to $70 recently. The firm’s analyst Joseph P. Schwartz said in a report that Sarepta investors should not be concerned about the restrictive re-authorizations from payers. Schwartz is also bullish on Golodirsen’s approval in 2018. Some of the other promising growth catalysts for Sarepta stock in 2018 are phase 3 Essence trial, phosphorodiamidate morpholino oligomer (PMO), and multiple gene TRX candidates.