Sarepta Therapeutics, Inc. (SRPT): A Bull Case Theory

We came across a bullish thesis on Sarepta Therapeutics, Inc. on 24K Research’s Substack. In this article, we will summarize the bulls’ thesis on SRPT. Sarepta Therapeutics, Inc.'s share was trading at $18.88 as of February 20th. SRPT’s trailing and forward P/E were 169.47 and 8.67 respectively according to Yahoo Finance.

Sarepta Therapeutics (SRPT) has emerged as a resilient leader in genetic medicine, demonstrating steady performance even as broader biotech markets faltered. The company combines commercial traction, scientific depth, and a clear purpose, transitioning from a research-focused biotech to a functioning genetic medicine platform. Its flagship therapy, Elevidys, the first approved gene therapy for Duchenne muscular dystrophy (DMD), has reached over 1,100 patients and offers potential expansion into older and non-ambulatory populations.

Sarepta operates across three active platforms—gene therapy, siRNA therapeutics, and CRISPR-based gene editing—targeting some of the most challenging neuromuscular and neurodegenerative diseases. Financially, the company reported $1.76 billion in revenue for the first nine months of 2025, reflecting roughly 40% year-over-year growth, supported by strong institutional ownership of approximately 85% and a robust cash position of $865 million.

After years of investment and research, Sarepta achieved its first meaningful profitability in 2024, with operational leverage now emerging across revenue and margin growth. Near-term catalysts include FDA feedback on the limb girdle muscular dystrophy program, siRNA proof-of-concept data, Elevidys label expansion, and continued manufacturing scale-up, each capable of reshaping valuation and investor sentiment.

Sarepta also benefits from strategic partnerships with Roche, Arrowhead, and leading research institutions, enhancing pipeline development, delivery precision, and immune modulation. While some near-term risk remains, the company’s execution, diversified platform, and regulatory positioning reduce binary biotech risk and position Sarepta as a tangible, innovation-driven investment. With a foundation balancing immediate revenue generation and long-term scientific progress, Sarepta sits at an inflection point, offering measured upside potential in the genetic medicine space.

Previously, we covered a bullish thesis on Sarepta Therapeutics, Inc. (SRPT) by Magnus Ofstad in January 2025, which highlighted the company’s leadership in Duchenne muscular dystrophy, strong revenue growth, and acquisition potential. SRPT’s stock price has depreciated by approximately 84% since our coverage due to a cluster of regulatory, clinical, and financial risks. 24K Research shares a similar view but emphasizes Sarepta’s transition into a multi-platform genetic medicine company with commercial traction, emerging profitability, and near-term catalysts.

Sarepta Therapeutics, Inc. is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 42 hedge fund portfolios held SRPT at the end of the third quarter which was 41 in the previous quarter. While we acknowledge the risk and potential of SRPT as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than SRPT and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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Disclosure: None.