Street View: Analysts divided on Sarepta's sales outlook amid Elevidys safety concerns

** Drugmaker Sarepta Therapeutics SRPT said on Wednesday it will cut 500 jobs and add a serious warning on the label of its muscle-disorder gene therapy Elevidys, following recent deaths of two patients who were on the treatment

** 14 of 26 brokerages rate the stock "buy", 12 "hold", one "sell"; their median is $37.50 - LSEG

COST REDUCTIONS AND PIPELINE REFOCUS ENSURES PROFITABILITY

** William Blair ("market perform") believe investors have increased confidence that the company can pay off its long term debts and see it as highly unlikely that Elevidys will be pulled from the market

** Brokerage, however, believes that "there will be near-term headwinds for Elevidys’ revenue due to increased hesitancy among the patient and physician communities, and we think investors will remain cautious on Elevidys’s long-term outlook"

** H.C.Wainwright ("sell", PT:$10) says it does not expect Elevidys revenues to fall in the near team, but it is lowering 2025 Elevidys forecast to $1.1 billion to $1.2 billion

** Jefferies ("buy", PT:$54) says "the Street assumes sales to continue declining quarter-over-quarter in Q3 and Q4, so a reacceleration of sales is an upside surprise"