Solid Biosciences Inc (NASDAQ: SLDB) fell in sympathy, but the competitor could benefit from Sarepta’s delay.
Solid Biosciences could seize the lead as Sarepta develops a corrective action plan for the Food and Drug Administration, Amusa said in a Thursday note. (See the analyst's track record here.)
“Although Sarepta does not anticipate this hold materially delaying its plan to initiate a pivotal trial by year-end 2018, we note manufacturing issues in AAV-based gene therapy, though often addressable, also often take longer than expected to resolve, thus potentially advantaging Solid,” the analyst said.
Pfizer Inc. (NYSE: PFE) could benefit too, but Solid is seen to boast an edge with a trial design more consistent with new FDA guidelines. The biotech company already incorporates features the FDA proposed for a potential gene therapy registrational trial.
“We note, as well, that Solid has scalable manufacturing already in place,” Amusa said. “Manufacturing for GT is notoriously hard ... and dosing DMD patients requires large amounts of vectors relative to other indications.”
With a significantly smaller market cap than either Pfizer or Sarepta, Solid is positioned for the greatest upside, according to Chardan.
Solid shares were trading up 0.32 percent to $38.01 at the time of publication Thursday.
Analyst: Solid Biosciences A Solid Buy On Sarepta's Progress
Sarepta Hits Record High As Duchenne Muscular Dystrophy Gene Therapy Yields Positive Results In Early-Stage Study
Latest Ratings for SLDB
|Mar 2018||JP Morgan||Downgrades||Neutral||Underweight|
|Feb 2018||Chardan Capital||Initiates Coverage On||Buy|
View More Analyst Ratings for SLDB
View the Latest Analyst Ratings
See more from Benzinga
© 2018 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.