Martin Shkreli's Biotech Short Bet Faces Major Loss as Stock Rises 440%: Momentum Score Surges
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 08 2025
0mins
Source: Benzinga
Martin Shkreli's Short Position: Martin Shkreli, known as "Pharma bro," has taken a short position against Capricor Therapeutics, betting against their HOPE-3 cell therapy for Duchenne Muscular Dystrophy, which he claims will fail.
Stock Rally After Positive Results: Following a major regulatory milestone and positive results from the HOPE-3 trial, Capricor's stock surged 440% in one day, significantly impacting Shkreli's short position.
Momentum Score Surge: The stock's Momentum score in Benzinga’s Edge Rankings skyrocketed from 3.83 to 96.4 within a week, indicating a substantial increase in trading volume and volatility.
Shkreli's Response: In response to the stock's performance, Shkreli has criticized the trial data and accused Capricor's CEO of misrepresenting the results, despite the stock's favorable price trends.
Get Free Real-Time Notifications for Any Stock
Monitor tickers like CAPR with instant alerts to capture every critical market movement.
Sign up for free to build your custom watchlist and receive professional-grade stock notifications.
Analyst Views on CAPR
Wall Street analysts forecast CAPR stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for CAPR is 51.57 USD with a low forecast of 45.00 USD and a high forecast of 60.00 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.
7 Analyst Rating
7 Buy
0 Hold
0 Sell
Strong Buy
Current: 21.570
Low
45.00
Averages
51.57
High
60.00
Current: 21.570
Low
45.00
Averages
51.57
High
60.00
About CAPR
Capricor Therapeutics, Inc. is a biotechnology company developing transformative cell and exosome-based therapeutics for the treatment and prevention of rare diseases. The Company's program is focused on the development and commercialization of a cell therapy technology comprised of cardiosphere-derived cells (CDCs) for the treatment of Duchenne muscular dystrophy (DMD). Its lead product candidate deramiocel (also referred to as CAP-1002), is an allogeneic cardiac-derived cell therapy. CAP-1002 is advancing through Phase III clinical development for the treatment of Duchenne muscular dystrophy (DMD). CAP-1002 demonstrates immunomodulatory, antifibrotic, and regenerative actions specifically tailored for dystrophinopathies and heart disease. It leverages its exosome technology, using its StealthX platform in preclinical development focused on the areas of vaccinology, targeted delivery of oligonucleotides, proteins, and small molecule therapeutics.
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.
Capricor (CAPR) Plans February FDA Data Submission After 2% Stock Drop
- FDA Data Request: Capricor Therapeutics announced that the FDA has requested the full HOPE-3 clinical study report without asking for additional clinical studies or new patient data, providing the company an opportunity to advance its application.
- Clinical Trial Progress: Although the FDA rejected the Deramiocel application in July due to insufficient evidence of effectiveness, the results from the December HOPE-3 study indicated significant improvements in muscle and heart function, which may help meet the FDA's requirements.
- Future Plans: Capricor plans to submit the requested data to the FDA in February, expecting that this will support the continued review of its application and address the concerns raised by the FDA in July, aiming to provide faster treatment options for late-stage DMD patients.
- Market Reaction: Despite a 2% drop in Capricor's stock on Tuesday morning, the stock has gained 69% over the past 12 months, reflecting some market optimism regarding the approval of Deramiocel, although overall retail sentiment remains bearish.
Continue Reading
Capricor Therapeutics Achieves Phase 3 Trial Success for DMD Therapy, Stock Soars 439.4%
- Phase 3 Trial Success: Capricor Therapeutics' Deramiocel met its primary and secondary endpoints in the Phase 3 HOPE-3 trial, significantly slowing upper limb functional decline by 54% and left ventricular ejection fraction decline by 91%, offering hope for DMD patients.
- Future Outlook: With FDA approval anticipated in 2026, Deramiocel could generate up to $1.5 billion in milestone payments, indicating the substantial market value of this therapy.
- Successful Financing: Following the announcement, the company raised $150 million in a public offering, providing crucial funding for further research and market launch, thereby boosting investor confidence.
- Market Potential: With approximately 200,000 global DMD patients, Capricor's commercialization agreement with Nippon Shinyaku highlights its strategic positioning in the U.S., Japan, and European markets.
Continue Reading