Jefferies expects Sarepta weakness given uncertainty around Elevidys safety

Jefferies expects stock price weakness Sarepta (SRPT) following news of a Duchenne muscular dystrophy patient death caused by acute liver failure. Although liver toxicity is a known side effect, death caused by ALF “would represent a new safety signal for Elevidys,” notes the analyst, who believes uncertainty around safety will loom unless the company deems the death not to be drug-related. The bull case is the unmet need in DMD remains high, adds the analyst, who has a Buy rating and $165 price target on Sarepta shares, which are down about 23% to $78.11 near the open.