Sarepta Therapeutics Inc (NASDAQ: SRPT)
Sarepta Therapeutics was having an incredibly rough day in the market today. In fact, just minutes ago, the stock was trading down nearly 9%. However, over the past few minutes, the CNA Finance team has noticed a spike, and we found what caused it. Below, we’ll talk about what we’re seeing from the stock, why it’s happening, and what we can expect to see from SRPT ahead.
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SRPT Is Coming Back From The Dead
As mentioned above, Sarepta Therapeutics was being punished in early trading hours, and, really, throughout the day. In fact, less than 15 minutes ago, the stock was nearing 9% losses. However, it seems to be coming back from the dead now on some relatively big news (we’ll talk about the news later). Currently (2:07), SRPT is trading at $41.05 per share after a loss of $3.49 per share (7.84%) thus far today. However, given the strength of the spike that’s happening right now, it may make it back to the green.
Why The Stock Is Climbing
When we saw the spike in value, we immediately started looking for the reason, and it didn’t take long to find it. The reason that SRPT is seeing the upward movement at the moment is an update from Aetna. The provider has added Exondys 51 to its coverage list. According to the release, coverage will become effective as of November 1st.
What We Can Expect To See Moving Forward
Moving forward, I have a relatively bullish opinion of what we can expect to see from Sarepta Therapeutics. At the end of the day, the company has done some great work with Exondys. As CNA Finance Chief Strategic Analyst Kenny Soulstring points out, there are some issues, and they are big. However, recently, we learned that Humana added the treatment to its coverage list and now Aetna follows. That’s a huge milestone when it comes to validating the idea of finalized approval of Exondys 51. All in all, I’m expecting to see gains ahead.
UPDATE: SRPT is heading back down as it was uncovered that the Aetna document was a pending document from 10/21/2016. We will continue to follow the story to bring you updates.
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