Why PEPG, SGMO, PHR Are Among Top Premarket Losers Today

• PEPG fell after its Phase 2 Freedom 2 study showed no meaningful improvements in walking speed or hand strength at the starting dose of 5 mg/kg.
• SGMO slipped after reporting a Q4 loss per share of $0.11 versus the expected loss of $0.05, even as revenue rose to $14.23 million from $7.55 million a year earlier.
• PHR declined after cutting its FY27 revenue outlook to $510 million-$520 million from $545 million-$559 million, below analyst expectations of $552.1 million.

Shares of PepGen (PEPG), Sangamo Therapeutics (SGMO), and Phreesia (PHR) were among the top premarket losers on Tuesday as investors reacted to muted functional trial results, a wider-than-expected loss, and a revenue outlook cut, prompting analyst downgrades.

In early premarket trading on Tuesday, PEPG plunged 45%, SGMO fell 19%, and PHR slumped 27%.

PepGen Trial Shows No Functional Gains At Low Dose

PepGen reported results from the lowest-dose cohort in its Phase 2 Freedom 2 study of PGN-EDODM1 in patients with myotonic dystrophy type 1, with investors focusing on the lack of functional improvement at the starting dose.

The company said the therapy was generally well tolerated, with all adverse events mild or moderate and no serious adverse events reported. However, the company also said patients showed “no meaningful improvements” in walking speed or hand strength at the starting 5 mg/kg dose of PGN-EDODM1.

PepGen said patients receiving the treatment showed an average 7.3% improvement on a disease-related molecular metric, compared with 6.8% in placebo patients, rising to 22.9% after excluding one outlier. The company expects results from the higher 10 mg/kg cohort in the second half of 2026, with cash expected to support operations into the second half of 2027.

Sangamo Loss Widens As Funding Outlook Weighs

Sangamo Therapeutics reported a fourth-quarter (Q4) loss per share of $0.11, wider than analyst expectations for a loss of $0.05, even as revenue rose to $14.23 million from $7.55 million a year earlier.

The company highlighted progress in its Fabry disease gene therapy program, saying it is “well advanced in the rolling submission of the BLA to the FDA under the Accelerated Approval pathway” following positive topline results from the registrational STAAR study.

However, sentiment appeared pressured after the company said its 2026 expense outlook is “subject to our ability to secure adequate additional funding for our current operating plan.” Sangamo expects non-GAAP operating expenses of $110 million to $120 million in 2026.

Phreesia Guidance Cut Triggers Broker Downgrades

Phreesia reported Q4 revenue of $127.1 million, slightly above analyst expectations of $126.6 million, while adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) rose to $29.4 million from $16.4 million a year earlier.

Shares fell after the company lowered its fiscal 2027 revenue outlook to $510 million to $520 million, down from $545 million to $559 million, and below analyst expectations of $552.1 million. The company said, “Network solutions clients are committing lower spend levels for the second half of fiscal 2027 than we had anticipated last December.”

Following the guidance cut, Baird downgraded the stock to ‘Neutral’ from ‘Outperform’ and reduced its price target to $10 from $25, saying “the magnitude of the follow-on impact exceeded expectations.” Truist Securities also downgraded the stock to ‘Hold’ from ‘Buy’ and lowered its price target to $11 from $24, citing “the meaningful reduction to the revenue outlook.”

How Do Retail Traders Feel About PEPG, SGMO And PHR?

On Stocktwits, retail sentiment for PEPG, SGMO and PHR was ‘extremely bullish’ amid ‘extremely high’ message volume.

Over the past year, PEPG has risen 186%, while SGMO has fallen 63% and PHR has declined 56%.

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