Sarepta weakness ‘compelling’ buying opportunity, says Mizuho

Mizuho views the selloff in shares of Sarepta (SRPT) yesterday due to concerns about Elevidys adoption as a result of the fatal acute liver case as a “compelling buying opportunity.” The current stock price captures little value for Elevidys and incorporates largely the value for Sarepta’s exon-skipping business and limb-girdle, which together add up to $70 per share, the analyst tells investors in a research note. Mizuho also sees a “significant” increase in Sarepta interest at the current stock price, which it thinks should help mitigate concerns about where incremental buyers would come from.