Corcept Therapeutics Faces Investigation After FDA Response Letter, Shares Plunge Over 50%
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
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Source: Businesswire
- Investigation Launched: DJS Law Group is investigating Corcept Therapeutics for potential violations of securities laws, focusing on whether the company issued misleading statements or failed to disclose critical information to investors, which could undermine investor confidence.
- FDA Response Letter: On December 31, 2026, Corcept revealed that the FDA issued a Complete Response Letter regarding its New Drug Application for relacorilant, indicating that the company must provide additional evidence of effectiveness, impacting the drug's market prospects.
- Clinical Trial Results: Although the FDA acknowledged that Corcept's pivotal GRACE trial met its primary endpoint and that data from the GRADIENT trial provided confirmatory evidence, the agency could not arrive at a favorable benefit-risk assessment for relacorilant, highlighting regulatory hurdles.
- Stock Price Plunge: Following the negative FDA news, Corcept's shares plummeted by over 50%, resulting in significant losses for investors and potentially triggering further legal actions.
Analyst Views on CORT
Wall Street analysts forecast CORT stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for CORT is 135.33 USD with a low forecast of 121.00 USD and a high forecast of 145.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
5 Analyst Rating
4 Buy
1 Hold
0 Sell
Strong Buy
Current: 36.350
Low
121.00
Averages
135.33
High
145.00
Current: 36.350
Low
121.00
Averages
135.33
High
145.00
About CORT
Corcept Therapeutics Incorporated is a commercial-stage company. The Company is engaged in the discovery and development of medications to treat severe endocrinologic, oncologic, metabolic and neurologic disorders by modulating the effects of the hormone cortisol. The Company operates through the discovery, development and commercialization of the pharmaceutical products segment. The Company has marketed Korlym (mifepristone) in the United States for the treatment of patients suffering from Cushings syndrome. The Company’s portfolio of selective cortisol modulators consists of four series totaling approximately 1,000 compounds. Its portfolio of selective cortisol modulators consists of relacorilant, dazucorilant and miricorilant. Korlyms active ingredient, mifepristone, reduces the binding of excess cortisol to the GR, it can modulate the effects of abnormal levels and release patterns of cortisol without compromising cortisols healthy functions and rhythms.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
