Jefferies reiterates Sarepta Therapeutics stock rating on trial data outlook

Genmab and AbbVie's Epkinly showed promising results in a Phase 3 study, reducing disease progression or death risk by 51% in lymphoma patients. IntraBio was acquired by Shionogi for $2 billion, expanding Aqneursa's approvals. Novartis invested up to $7.8 billion in Abogen Biosciences. Eli Lilly and CSL also announced significant biopharma deals. Sarepta Therapeutics presented positive Elevidys data, with upcoming catalysts for its treatments.

Novartis' Phase 3 trial of del-desiran for myotonic dystrophy type 1 failed to meet its primary endpoint, video hand opening time. The company will review data and consult regulators. Del-desiran is not yet approved, and no treatment timeline is set. Novartis shares fell, along with those of Dyne and Sarepta, which are developing similar therapies.

Novartis (NVS) shares fell 14% after a late-stage trial for del-desiran in myotonic dystrophy type 1 failed its primary test, marking its second trial failure in a week. The drug showed activity on secondary measures, and the company will review data. Dyne Therapeutics (DYN) and Sarepta Therapeutics (SRPT) also declined in sympathy.

Sarepta Therapeutics (SRPT) stock fell 8.09% after Novartis (NVS) reported Phase 3 trial results for del-desiran in myotonic dystrophy type 1 (DM1) that did not meet primary endpoints. Sarepta is developing SRP-1003 for DM1, with Phase 1/2 data expected in late 2026. The company noted positive early data and potential for optimized dosing. SRPT is above short-term moving averages but below the 200-day SMA, indicating mixed signals.

Mizuho reiterated an Outperform rating and $31.00 price target on Sarepta Therapeutics (SRPT), stating the sell-off after Novartis' failed trial is excessive. The firm noted that Novartis' del-desiran showed clinical activity in secondary endpoints, which may aid Sarepta's SRP-1003 development. SRPT stock fell 10% following the news but remains up 35% over six months. The company recently reported Q2 2026 earnings of $0.64 per share, exceeding estimates, with revenue at $401.3 million.

Sarepta Therapeutics (SRPT) stock fell 7.6% in pre-market trading after Novartis' (NVS) Phase III trial failure for a neuromuscular disease treatment, impacting investor confidence in the therapeutic class. Several other pharmaceutical stocks, including AMGN, LLY, IONS, and DYN, also declined. Sarepta faces additional challenges with tightened 2026 revenue guidance and regulatory uncertainty. The broader market's risk-off tone amplified the sell-off, with SRPT trading at $20.80, below its 52-wee