Shares of Sarepta Therapeutics, Inc. (SRPT) were sliding in premarket trading Thursday. The biotech company just dropped its fourth-quarter and full-year 2025 financial results, and investors didn't like what they saw: a wider-than-expected loss, a sharp decline in sales for its flagship gene therapy, and the news that its CEO is planning to step down.

It's been a brutal twelve months for Sarepta. The stock has cratered from over $106 to under $19. The descent has been fueled by a perfect storm of bad news: patient deaths, an FDA clinical hold, trial setbacks, and a pause in shipments for its key drug. Thursday's report added fresh fuel to the fire.

The Earnings Snapshot: A Mixed Bag That Leans Negative

Let's break down the numbers. For the fourth quarter, Sarepta reported an adjusted loss of $3.58 per share. That's a lot worse than the $1.31 per share loss Wall Street analysts were anticipating. On the revenue side, the company brought in $442.93 million, which actually beat the consensus estimate of $391.92 million.

But that revenue beat comes with a massive asterisk. Total sales were down 33% compared to the same period last year. The main culprit? A $273.8 million plunge in net product revenue from Elevidys, the company's gene therapy for Duchenne muscular dystrophy. That drop is a direct result of the company's decision last June to suspend shipments of Elevidys to non-ambulatory patients in the U.S.

In the earnings release, CEO Doug Ingram tried to strike an optimistic note about moving forward. "Following a tumultuous 2025, we entered 2026 from a position of strength… In 2025, we streamlined our operations, delivered strong revenue, and ended the year with nearly $1.0 billion in cash, as we anticipate remaining profitable and cash‑flow positive in 2026," Ingram said. He added that "ELEVIDYS has emerged from a challenging year with a clear label, traditional approval for ambulatory patients, and a plan intended to put us on a potential pathway back to serving the non‑ambulatory community."

The Captain is Leaving the Ship

Perhaps the most surprising news for investors came in a separate SEC filing on Wednesday. Ingram shared his plan to retire as CEO by the end of 2026, or whenever a successor is appointed. The company says it has already started the search for his replacement.

CEO transitions are always tricky, but this one comes at a particularly sensitive time. Ingram has been a polarizing figure for investors throughout the company's recent struggles. The announcement injects a fresh dose of uncertainty into the story just as Sarepta is trying to stabilize its business.

What the Analysts Are Saying

The analyst reaction to the report was cautious, to say the least. William Blair published a note on Thursday suggesting the weak fourth quarter for Elevidys wasn't a one-off blip but an "early signal of a materially weaker Elevidys trajectory in 2026." The firm believes Elevidys revenues are likely to dip "well below" the $500 million per year floor that management had reiterated as recently as January.

Analyst Sami Corwin at William Blair also expressed broader concerns. While Sarepta has guided for stable revenue from its other drugs (known as PMOs) in 2026, Corwin is hesitant. This caution stems from the recent failure of the ESSENCE trial and worries that Sarepta's other therapies, Vyondys 53 and Amondys 45, could potentially lose their marketing authorization.

On top of that, there's a new competitor on the horizon. The analyst note highlights that Dyne Therapeutics Inc. (DYN) plans to seek accelerated approval for its own Exon 51 skipping therapy in the second quarter, which could put further pressure on Sarepta's sales.

William Blair wrapped up its analysis by pointing to the CEO transition as a source of potential near-term stock volatility. Combining all these factors—weaker Elevidys sales, pipeline concerns, competitive threats, and leadership uncertainty—the firm sees limited upside for the stock in the near term and reiterated its Market Perform rating.

Checking the Stock's Vital Signs

For the technically minded traders, the chart isn't painting a pretty picture either. The stock is currently trading 3.5% below its 20-day simple moving average and 9.8% below its 100-day average, which signals a bearish trend over the short to medium term. Over the past year, shares have been hammered and are sitting much closer to their 52-week lows than their highs.

The momentum indicators are giving mixed signals. The Relative Strength Index (RSI) is right at 50, which is considered neutral—the stock isn't overbought or oversold. However, the Moving Average Convergence Divergence (MACD) is at -0.10, sitting below its signal line. That's typically interpreted as bearish pressure.

This combination suggests indecision in the market. Traders will be watching to see which way it breaks. Key technical levels to watch are resistance around $20.00 and support near $15.00.

Putting it all together, Sarepta shares were down 3.53% at $18.30 in premarket trading Thursday, according to market data. After a year of turmoil, investors now have to digest disappointing earnings, a shaky outlook for its main product, and a looming change at the top. It's a lot for one stock to handle.