Scholar Rock (SRRK) is well positioned for a durable, de-risked commercial ramp in the neuromuscular space, driven by Isembyld's first-in-class launch in spinal muscular atrophy and a broadening myostatin pipeline that can sustain long-term momentum, Wedbush Securities said in a note Friday.
The brokerage said the recent pullback in shares, likely due to a standard regulatory post-marketing safety commitment and a perceived lower-than-expected pricing, provides an attractive entry point.
Wedbush said Isembyld has blockbuster potential and is expected to deliver durable growth, with US revenue estimated at $5 million in 2026, $140 million in 2027, $349 million in 2028, and $634 million in 2029. Worldwide revenue could exceed $2 billion by 2031, the brokerage said.
Analysts noted multiple de-risked catalysts, with a phase 2 trial potentially expanding apitegromab into patients under 2 years old. The company is resubmitting for approval in Europe, with a launch expected to start in Germany, while a Japanese filing is seen by year-end, the brokerage said.
The company's balance sheet supports ongoing development of SRK-439, a next-generation subcutaneous myostatin inhibitor and a subcutaneous formulation of apitegromab, the brokerage added.
Wedbush Securities added the stock to its best ideas list, with an outperform rating and a price target of $70.
Price: 49.02, Change: +0.41, Percent Change: +0.83
