Sarepta Therapeutics Inc (NASDAQ:SRPT) and Catabasis Pharmaceuticals, Inc. (NASDAQ:CATB) announced a joint research collaboration to explore a combination drug treatment approach for Duchenne muscular dystrophy (DMD). The two companies will contribute their respective expertise to study an exon skipping treatment developed by Sarepta, together with an oral NF-kB inhibition treatment developed by Catabasis in a mouse model of DMD.
“We are excited to work with Sarepta on this joint research collaboration, which to our knowledge is the first time two companies are testing a combination of investigational therapies to treat Duchenne. Although we believe edasalonexent (CAT-1004) has the potential to be a disease-modifying monotherapy, we think there is benefit to exploring innovative ways to make the most meaningful difference in this devastating disease”, said Jill C. Milne, Ph.D., chief executive officer of Catabasis. “In addition to our continued development of edasalonexent, we are pleased to take the first step via this collaboration to determine if edasalonexent may be complementary to an exon-skipping treatment strategy in the treatment of DMD using a preclinical model.”
“We recognize the extreme unmet medical need in DMD and are committed to determining the best treatment strategies for patients affected by Duchenne,” said Edward Kaye, M.D., Sarepta’s chief executive officer. “We believe exon skipping has the potential to target the underlying genetic cause of the disease by restoring the mRNA reading frame to produce dystrophin in skeletal muscle. We are pleased to initiate activities with Catabasis to evaluate a potential combination treatment approach of exon-skipping and NF-kB inhibition in DMD.”
NF-kB inhibition and exon-skipping represent two novel investigational treatment strategies in Duchenne, each with the potential for disease-modifying effects when used as monotherapy. The objective of the joint research is to study the safety and efficacy of combining these two treatment strategies using a mouse model of DMD, including evaluating the potential for additional or synergistic benefits. (Original Source)
Shares of Sarepta are currently trading at $62.92, up $0.68 or 1.09%. SRPT has a 1-year high of $63.73 and a 1-year low of $8.00. The stock’s 50-day moving average is $32.97 and its 200-day moving average is $22.96.
On the ratings front, Sarepta has been the subject of a number of recent research reports. In a report released today, Baird analyst Brian Skorney reiterated a Buy rating on SRPT, with a price target of $102, which represents a potential upside of 64% from where the stock is currently trading. Separately, yesterday, JMP’s Liisa Bayko maintained a Buy rating on the stock and has a price target of $90.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Brian Skorney and Liisa Bayko have a total average return of 20.5% and 10.4% respectively. Skorney has a success rate of 58% and is ranked #76 out of 4181 analysts, while Bayko has a success rate of 59% and is ranked #395.
The street is mostly Bullish on SRPT stock. Out of 14 analysts who cover the stock, 11 suggest a Buy rating and 3 recommend to Hold the stock. The 12-month average price target assigned to the stock is $72.50, which represents a potential upside of 16.5% from where the stock is currently trading.
Sarepta Therapeutics, Inc. is a biopharmaceutical company, which is engaged in the discovery and development of unique RNA-based therapeutics for the treatment of rare and infectious diseases. The company is primarily focused on rapidly advancing the development of its potentially disease modifying duchenne muscular dystrophy drug candidates.