Sarepta Therapeutics (NASDAQ:SRPT) Releases Quarterly Earnings Results, Beats Estimates By $0.42 EPS

Key Points

• Sarepta beat quarterly estimates, reporting $0.64 EPS versus the $0.22 consensus and revenue of $401.25 million versus $366.39 million expected. However, revenue declined 34.3% year over year, and the company posted a net margin of -2.94%.
• Management narrowed 2026 net product revenue guidance to $1.2 billion–$1.3 billion, citing weaker expected ELEVIDYS revenue in the third quarter. Cash and investments rose by approximately $197 million to $945 million, while collaboration and other revenue guidance increased to $550 million–$600 million.
• Shares fell 2.8% to $15.93 after the results, while analysts maintained an average “Hold” rating and a $24.72 target price. Sarepta highlighted regulatory and pipeline catalysts, including FDA applications for AMONDYS 45 and VYONDYS 53 and upcoming data from its FSHD, DM1, Huntington’s disease, and ELEVIDYS programs.

Sarepta Therapeutics (NASDAQ:SRPT - Get Free Report) issued its earnings results on Wednesday. The biotechnology company reported $0.64 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.22 by $0.42, FiscalAI reports. The business had revenue of $401.25 million during the quarter, compared to analysts' expectations of $366.39 million. Sarepta Therapeutics had a positive return on equity of 7.56% and a negative net margin of 2.94%.The company's revenue for the quarter was down 34.3% on a year-over-year basis. During the same quarter in the previous year, the business earned $2.02 EPS.

Here are the key takeaways from Sarepta Therapeutics' conference call:

• 2026 net product revenue guidance was narrowed to $1.2 billion–$1.3 billion, with second-half revenue expected to be modestly below the first half and ELEVIDYS revenue likely lower in the third quarter. Management said improving enrollment forms may contribute more meaningfully to revenue in 2027.
• Sarepta reported Q2 GAAP operating income of $13 million and non-GAAP operating income of $86 million, while cash and investments increased by approximately $197 million to $945 million. The company also raised collaboration and other revenue guidance to $550 million–$600 million, primarily due to higher Roche contract-manufacturing revenue.
• ELEVIDYS enrollment-form activity improved sequentially as the expanded commercial organization became fully operational, with increased engagement from returning sites and interest from new referral sites. However, management cautioned that the typical approximately six-month enrollment-to-infusion timeline delays the revenue impact.
• The FDA accepted supplemental applications for AMONDYS 45 and VYONDYS 53 seeking conversion from accelerated to traditional approval, with a target action date of February 28, 2027. Sarepta said the applications are supported by the ESSENCE confirmatory study and substantial real-world evidence.
• Key pipeline catalysts include second-half 2026 interim MAD-study data for the SRP-1001 FSHD and SRP-1003 DM1 programs, early Huntington’s disease proof-of-biology data expected in early 2027, and full 12-week data from ELEVIDYS ENDEAVOR cohort 8 expected in the first quarter of 2027.

Sarepta Therapeutics Stock Down 2.8%

Shares of NASDAQ SRPT traded down $0.46 during midday trading on Wednesday, reaching $15.93. 3,080,925 shares of the company's stock were exchanged, compared to its average volume of 3,160,738. The company has a debt-to-equity ratio of 0.56, a quick ratio of 2.62 and a current ratio of 4.63. Sarepta Therapeutics has a 52-week low of $14.68 and a 52-week high of $25.32. The business's fifty day moving average price is $16.95 and its two-hundred day moving average price is $18.55. The stock has a market capitalization of $1.68 billion, a PE ratio of -16.59, a price-to-earnings-growth ratio of 0.18 and a beta of 0.23.

Wall Street Analysts Forecast Growth

A number of research analysts have weighed in on the stock. Weiss Ratings raised shares of Sarepta Therapeutics from a "sell (d)" rating to a "sell (d+)" rating in a research report on Monday, July 20th. Wall Street Zen raised shares of Sarepta Therapeutics from a "hold" rating to a "buy" rating in a research report on Saturday, July 4th. Piper Sandler decreased their price target on shares of Sarepta Therapeutics from $23.00 to $20.00 and set a "neutral" rating for the company in a research report on Thursday, July 9th. HC Wainwright reiterated a "buy" rating on shares of Sarepta Therapeutics in a report on Tuesday, July 28th. Finally, Royal Bank Of Canada raised their price objective on Sarepta Therapeutics from $18.00 to $19.00 and gave the company a "sector perform" rating in a research report on Tuesday, April 7th. Nine investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and six have assigned a Sell rating to the stock. According to MarketBeat.com, Sarepta Therapeutics has an average rating of "Hold" and an average target price of $24.72.

Institutional Investors Weigh In On Sarepta Therapeutics

Several hedge funds and other institutional investors have recently bought and sold shares of SRPT. AQR Capital Management LLC grew its position in shares of Sarepta Therapeutics by 214.2% during the first quarter. AQR Capital Management LLC now owns 5,385 shares of the biotechnology company's stock worth $344,000 after buying an additional 3,671 shares in the last quarter. Great Lakes Advisors LLC bought a new stake in shares of Sarepta Therapeutics in the 1st quarter worth about $224,000. Guggenheim Capital LLC raised its stake in shares of Sarepta Therapeutics by 33.5% in the 2nd quarter. Guggenheim Capital LLC now owns 45,790 shares of the biotechnology company's stock valued at $783,000 after purchasing an additional 11,497 shares in the last quarter. First Trust Advisors LP raised its stake in shares of Sarepta Therapeutics by 59.2% in the 2nd quarter. First Trust Advisors LP now owns 627,561 shares of the biotechnology company's stock valued at $10,731,000 after purchasing an additional 233,391 shares in the last quarter. Finally, California Public Employees Retirement System lifted its position in shares of Sarepta Therapeutics by 7.1% during the second quarter. California Public Employees Retirement System now owns 115,340 shares of the biotechnology company's stock worth $1,972,000 after purchasing an additional 7,665 shares during the last quarter. 86.68% of the stock is currently owned by hedge funds and other institutional investors.

Sarepta Therapeutics Company Profile

Sarepta Therapeutics, Inc is a biopharmaceutical company focused on the discovery and development of precision genetic medicines for rare neuromuscular diseases. Headquartered in Cambridge, Massachusetts, Sarepta's core expertise lies in designing RNA-targeted therapies and gene therapies that address underlying genetic mutations. The company's mission is to transform the treatment paradigm for patients with Duchenne muscular dystrophy (DMD) and related disorders through innovative modalities.

Sarepta's commercial products include several exon-skipping therapies approved by the U.S.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source