Wedbush Securities Reiterates Outperform Rating, $70 PT on Sarepta Therapeutics

In a report published Monday, Wedbush Securities reiterated its Outperform rating and $70 price target on Sarepta Therapeutics SRPT. Wedbush noted, “We reiterate our OUTPERFORM rating and 12-month price target of $70 per share. We arrive at our $70 per share 12-month price target by taking an average of two price targets, based upon a) early approval based on this data or b) or the requirement for another study. Scenario a. yields a $78 price target derived from a 3x multiple on our estimate of peak eteplirsen sales ($450M) plus peak sales of the two follow on compounds ($450M) discounted 50% for their early stage. Scenario b. yields a $62 price discounting our $78 price target back 1 year, to account for the potential need for an additional study.” Sarepta Therapeutics closed on Friday at $29.34.