Corcept Therapeutics Shares Plunge Over 20% After Patent Ruling
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2 hours ago
0mins
Should l Buy CORT?
Source: seekingalpha
- Patent Dispute Loss: Corcept Therapeutics' shares plummeted over 20% following a federal appeals court ruling against the company in a patent dispute with Israeli drugmaker Teva, highlighting the company's vulnerability in market competition.
- FDA Approval of Generic: Teva received FDA approval in August 2020 to market a generic version of Korlym, a once-daily oral medication for Cushing's syndrome, which intensifies the market pressure on Corcept.
- Court Ruling Impact: The U.S. Court of Appeals upheld the New Jersey District Court's ruling that Teva did not infringe Corcept's U.S. patents, indicating significant challenges for Corcept in protecting its intellectual property.
- Market Reaction: The sharp decline in Corcept's stock price reflects investor concerns about the company's future profitability, particularly in light of generic competition and setbacks in patent protection.
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Analyst Views on CORT
Wall Street analysts forecast CORT stock price to rise
6 Analyst Rating
4 Buy
1 Hold
1 Sell
Moderate Buy
Current: 39.820
Low
50.00
Averages
91.00
High
121.00
Current: 39.820
Low
50.00
Averages
91.00
High
121.00
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.
Corcept Therapeutics Faces Significant Pressure as Shares Approach Lows
- Legal Ruling Impact: The appeals court upheld a ruling against Corcept, concluding that Teva's generic Korlym label would not lead doctors to follow patented dosing methods, weakening Corcept's patent protection and potentially exposing its flagship product to earlier competition, thereby increasing market uncertainty.
- Stock Price Decline: Corcept's shares are currently trading 24.4% below the 20-day simple moving average and 52.9% below the 100-day simple moving average, indicating a significant bearish trend, with a 57.55% decline over the past 12 months, positioning the stock closer to its 52-week lows, reflecting ongoing market weakness.
- Upcoming Earnings Report: Corcept is set to report earnings on February 24, with an estimated EPS of 31 cents (up from 26 cents) and revenue expected to reach $254.72 million (up from $181.89 million), indicating potential growth in revenue despite current challenges.
- Analyst Rating Changes: Despite facing challenges, Corcept's stock retains a Buy rating with an average price target of $100, with Canaccord Genuity and HC Wainwright & Co. raising their targets on January 23, reflecting analysts' confidence in the company's future performance.
See More
Corcept Therapeutics Shares Plunge Over 20% After Patent Ruling
- Patent Dispute Loss: Corcept Therapeutics' shares plummeted over 20% following a federal appeals court ruling against the company in a patent dispute with Israeli drugmaker Teva, highlighting the company's vulnerability in market competition.
- FDA Approval of Generic: Teva received FDA approval in August 2020 to market a generic version of Korlym, a once-daily oral medication for Cushing's syndrome, which intensifies the market pressure on Corcept.
- Court Ruling Impact: The U.S. Court of Appeals upheld the New Jersey District Court's ruling that Teva did not infringe Corcept's U.S. patents, indicating significant challenges for Corcept in protecting its intellectual property.
- Market Reaction: The sharp decline in Corcept's stock price reflects investor concerns about the company's future profitability, particularly in light of generic competition and setbacks in patent protection.
See More
Pomerantz LLP Investigates Securities Fraud Claims Against Corcept Therapeutics
- Investigation Launched: Pomerantz LLP is investigating claims of securities fraud against Corcept Therapeutics, focusing on whether the company and its executives engaged in unlawful business practices, which could undermine investor confidence and lead to stock price volatility.
- FDA Response: On December 31, 2025, Corcept announced that the FDA issued a Complete Response Letter for relacorilant's New Drug Application, stating that while the pivotal GRACE trial met its primary endpoint, additional evidence of effectiveness is required, indicating regulatory hurdles that may affect future drug approval.
- Stock Price Plunge: Following the FDA announcement, Corcept's stock price fell by $35.40, a 50.42% drop, closing at $34.80 per share, reflecting market pessimism regarding the company's prospects and potentially leading to significant investor losses.
- Legal Context: Pomerantz LLP, a prominent firm in securities class action litigation with over 85 years of experience, focuses on advocating for victims of securities fraud; if the investigation confirms fraudulent activities, it could trigger large-scale class action lawsuits, further impacting the company's reputation.
See More
Corcept's Treatment Faces FDA Warning, Shares Plummet
- FDA Warning Impact: On January 30, 2026, the FDA warned Corcept on several occasions against submitting its relacorilant drug application, resulting in a 17% drop in share price that day, equating to a $3.2 billion loss in market capitalization, indicating severe investor confidence issues stemming from regulatory scrutiny.
- Poor Clinical Trial Results: Despite Corcept's claims of relacorilant's significant efficacy in clinical trials, the FDA's complete response letter (CRL) highlighted a lack of evidence for effectiveness, with the CEO expressing surprise and disappointment, reflecting a major setback in the company's drug development efforts.
- Investor Confidence Shaken: Since December 31, 2025, Corcept's stock has plummeted by 50%, which not only affects the company's market performance but has also prompted shareholder rights law firms to investigate whether the company misled investors, potentially leading to further legal risks.
- Diminished Business Outlook: Corcept had projected its hypercortisolism business to grow from $3 billion to $5 billion in annual revenues over the next three to five years, but the FDA's warnings and the issuance of the CRL have cast significant doubt on this target, potentially impacting the company's long-term strategic planning.
See More
DJS Law Group Investigates Corcept for Securities Violations
- Investigation Background: DJS Law Group is investigating Corcept Therapeutics for potential violations of securities laws, particularly focusing on whether misleading statements were made or critical information was withheld from investors, indicating a significant threat to investor rights.
- FDA Response: On December 31, 2026, Corcept revealed that the FDA issued a Complete Response Letter regarding the New Drug Application for relacorilant, stating that while the pivotal GRACE trial met its primary endpoint, the FDA concluded that additional evidence of effectiveness was necessary, posing major challenges for the company.
- Stock Price Impact: Following the FDA's announcement, Corcept's shares plummeted by over 50%, reflecting not only the market's pessimistic outlook on the company's future prospects but also potentially leading to a severe erosion of investor confidence.
- Legal Consequences: DJS Law Group specializes in securities class actions and corporate governance litigation, indicating that if the investigation confirms violations, it could have profound implications for Corcept's legal liabilities and financial impact.
See More
Corcept Faces Investor Lawsuit Investigation
- Legal Investigation Launched: Bragar Eagel & Squire, P.C. is investigating Corcept Therapeutics for potential violations of federal securities laws, which may impact investor rights.
- Negative FDA Response: On December 31, 2025, Corcept announced that the FDA issued a Complete Response Letter for relacorilant's New Drug Application, requiring additional evidence of effectiveness, leading to a significant stock price drop.
- Stock Price Plummet: Following the FDA announcement, Corcept's stock price fell by $35.40, a decline of 50.42%, closing at $34.80 per share, indicating market concerns about the company's future prospects.
- Investor Rights Affected: Affected investors are encouraged to contact the law firm to discuss their legal rights and potential claims, highlighting the company's exposure to possible legal liabilities.
See More
Corcept Therapeutics Faces Significant Pressure as Shares Approach Lows
- Legal Ruling Impact: The appeals court upheld a ruling against Corcept, concluding that Teva's generic Korlym label would not lead doctors to follow patented dosing methods, weakening Corcept's patent protection and potentially exposing its flagship product to earlier competition, thereby increasing market uncertainty.
- Stock Price Decline: Corcept's shares are currently trading 24.4% below the 20-day simple moving average and 52.9% below the 100-day simple moving average, indicating a significant bearish trend, with a 57.55% decline over the past 12 months, positioning the stock closer to its 52-week lows, reflecting ongoing market weakness.
- Upcoming Earnings Report: Corcept is set to report earnings on February 24, with an estimated EPS of 31 cents (up from 26 cents) and revenue expected to reach $254.72 million (up from $181.89 million), indicating potential growth in revenue despite current challenges.
- Analyst Rating Changes: Despite facing challenges, Corcept's stock retains a Buy rating with an average price target of $100, with Canaccord Genuity and HC Wainwright & Co. raising their targets on January 23, reflecting analysts' confidence in the company's future performance.
See More
Corcept Therapeutics Shares Plunge Over 20% After Patent Ruling
- Patent Dispute Loss: Corcept Therapeutics' shares plummeted over 20% following a federal appeals court ruling against the company in a patent dispute with Israeli drugmaker Teva, highlighting the company's vulnerability in market competition.
- FDA Approval of Generic: Teva received FDA approval in August 2020 to market a generic version of Korlym, a once-daily oral medication for Cushing's syndrome, which intensifies the market pressure on Corcept.
- Court Ruling Impact: The U.S. Court of Appeals upheld the New Jersey District Court's ruling that Teva did not infringe Corcept's U.S. patents, indicating significant challenges for Corcept in protecting its intellectual property.
- Market Reaction: The sharp decline in Corcept's stock price reflects investor concerns about the company's future profitability, particularly in light of generic competition and setbacks in patent protection.
See More
Pomerantz LLP Investigates Securities Fraud Claims Against Corcept Therapeutics
- Investigation Launched: Pomerantz LLP is investigating claims of securities fraud against Corcept Therapeutics, focusing on whether the company and its executives engaged in unlawful business practices, which could undermine investor confidence and lead to stock price volatility.
- FDA Response: On December 31, 2025, Corcept announced that the FDA issued a Complete Response Letter for relacorilant's New Drug Application, stating that while the pivotal GRACE trial met its primary endpoint, additional evidence of effectiveness is required, indicating regulatory hurdles that may affect future drug approval.
- Stock Price Plunge: Following the FDA announcement, Corcept's stock price fell by $35.40, a 50.42% drop, closing at $34.80 per share, reflecting market pessimism regarding the company's prospects and potentially leading to significant investor losses.
- Legal Context: Pomerantz LLP, a prominent firm in securities class action litigation with over 85 years of experience, focuses on advocating for victims of securities fraud; if the investigation confirms fraudulent activities, it could trigger large-scale class action lawsuits, further impacting the company's reputation.
See More
Corcept's Treatment Faces FDA Warning, Shares Plummet
- FDA Warning Impact: On January 30, 2026, the FDA warned Corcept on several occasions against submitting its relacorilant drug application, resulting in a 17% drop in share price that day, equating to a $3.2 billion loss in market capitalization, indicating severe investor confidence issues stemming from regulatory scrutiny.
- Poor Clinical Trial Results: Despite Corcept's claims of relacorilant's significant efficacy in clinical trials, the FDA's complete response letter (CRL) highlighted a lack of evidence for effectiveness, with the CEO expressing surprise and disappointment, reflecting a major setback in the company's drug development efforts.
- Investor Confidence Shaken: Since December 31, 2025, Corcept's stock has plummeted by 50%, which not only affects the company's market performance but has also prompted shareholder rights law firms to investigate whether the company misled investors, potentially leading to further legal risks.
- Diminished Business Outlook: Corcept had projected its hypercortisolism business to grow from $3 billion to $5 billion in annual revenues over the next three to five years, but the FDA's warnings and the issuance of the CRL have cast significant doubt on this target, potentially impacting the company's long-term strategic planning.
See More
DJS Law Group Investigates Corcept for Securities Violations
- Investigation Background: DJS Law Group is investigating Corcept Therapeutics for potential violations of securities laws, particularly focusing on whether misleading statements were made or critical information was withheld from investors, indicating a significant threat to investor rights.
- FDA Response: On December 31, 2026, Corcept revealed that the FDA issued a Complete Response Letter regarding the New Drug Application for relacorilant, stating that while the pivotal GRACE trial met its primary endpoint, the FDA concluded that additional evidence of effectiveness was necessary, posing major challenges for the company.
- Stock Price Impact: Following the FDA's announcement, Corcept's shares plummeted by over 50%, reflecting not only the market's pessimistic outlook on the company's future prospects but also potentially leading to a severe erosion of investor confidence.
- Legal Consequences: DJS Law Group specializes in securities class actions and corporate governance litigation, indicating that if the investigation confirms violations, it could have profound implications for Corcept's legal liabilities and financial impact.
See More
Corcept Faces Investor Lawsuit Investigation
- Legal Investigation Launched: Bragar Eagel & Squire, P.C. is investigating Corcept Therapeutics for potential violations of federal securities laws, which may impact investor rights.
- Negative FDA Response: On December 31, 2025, Corcept announced that the FDA issued a Complete Response Letter for relacorilant's New Drug Application, requiring additional evidence of effectiveness, leading to a significant stock price drop.
- Stock Price Plummet: Following the FDA announcement, Corcept's stock price fell by $35.40, a decline of 50.42%, closing at $34.80 per share, indicating market concerns about the company's future prospects.
- Investor Rights Affected: Affected investors are encouraged to contact the law firm to discuss their legal rights and potential claims, highlighting the company's exposure to possible legal liabilities.
See More
