PepGen (NASDAQ:PEPG) Issues Quarterly Earnings Results, Misses Expectations By $0.01 EPS

PepGen (NASDAQ:PEPG) announced its quarterly earnings results on Tuesday. The company reported ($0.28) earnings per share for the quarter, missing the consensus estimate of ($0.27) by ($0.01), FiscalAI reports.

Here are the key takeaways from PepGen’s conference call:

• PepGen reported a 46.5% mean improvement in splicing after four doses of PGN-EDODM1 at 10 mg/kg, with four of six treated participants exceeding 50% improvement. The company said this was the highest mean splicing correction reported to date in a multiple-dose DM1 study.
• The company also reported improvements across several functional measures: myotonia improved by 4.3 seconds at week 13, while hand grip strength improved 16% at week 16, alongside favorable changes in timed mobility tests. These results come from a small cohort and are early; patient-reported outcomes did not yet show a clear signal.
• Management described the treatment as generally well tolerated, with no serious adverse events, dose-limiting toxicities, or discontinuations. Four mild kidney-related events were reported; albuminuria was transient, and the company said it saw no meaningful changes in eGFR or serum creatinine.
• The U.S. multiple-ascending-dose study remains under a partial FDA clinical hold related to questions about prior mouse toxicology findings. PepGen said it is conducting additional mouse studies to address the agency’s concerns, although the hold has not stopped the ongoing study in other countries.
• PepGen expects to report longer-term safety data at 10 mg/kg and additional data from the open-label extension in January 2027, with results from the 12.5 mg/kg cohort expected in the first half of 2027. The company said these data will inform dose selection and discussions with regulators about a pivotal trial.

PepGen Stock Performance

NASDAQ:PEPG traded up $0.70 during midday trading on Wednesday, reaching $5.32. 11,927,176 shares of the stock traded hands, compared to its average volume of 1,567,216. The stock has a market capitalization of $368.12 million, a P/E ratio of -4.06 and a beta of 2.02. The company has a fifty day moving average of $2.69 and a 200 day moving average of $2.98. PepGen has a 12 month low of $1.31 and a 12 month high of $7.80.

Recent PepGen Headlines

Here are a few of the latest headlines about PEPG:

• Positive Sentiment: Wedbush raised its price target from $4 to $10 and maintained an “outperform” rating, signaling increased optimism about the drug’s prospects.
• Neutral Sentiment: PepGen reported $104.8 million in cash and announced a proposed $125 million public stock offering. The financing could support development, but issuing shares may dilute existing holders. PepGen Launches Proposed Public Offering
• Negative Sentiment: An FDA hold reportedly continues to prevent American patients from participating in the DM1 program, presenting a potential development and access hurdle. FDA Hold Still Bars American Patients

Wall Street Analyst Weigh In

Several equities analysts have recently issued reports on the company. HC Wainwright reaffirmed a “buy” rating on shares of PepGen in a report on Wednesday, September 9th. Bank of America raised shares of PepGen from an “underperform” rating to a “neutral” rating and raised their price objective for the stock from $2.50 to $6.00 in a report on Tuesday. Weiss Ratings raised PepGen from a “sell (e+)” rating to a “sell (d-)” rating in a report on Tuesday, September 22nd. Wedbush upped their price target on shares of PepGen from $4.00 to $10.00 and gave the stock an “outperform” rating in a report on Wednesday. Finally, Wall Street Zen raised shares of PepGen from a “sell” rating to a “hold” rating in a report on Saturday. Five research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, PepGen presently has a consensus rating of “Moderate Buy” and an average price target of $11.50.

About PepGen

PepGen Inc. is a clinical-stage biotechnology company developing genetic medicines for serious neuromuscular diseases. The company’s technology is designed to improve the delivery of oligonucleotide therapeutics into skeletal and cardiac muscle, with the goal of addressing diseases caused by genetic mutations or abnormal RNA processing. PepGen’s platform, known as Enhanced Delivery Oligonucleotides (EDO), combines therapeutic oligonucleotides with proprietary peptides intended to facilitate their distribution into muscle tissue.