Corcept Therapeutics (CORT): A Biotech Gem in Renaissance Technologies’ Portfolio with Oncology Breakthroughs

Institutional investor Renaissance Technologies LLC—managed by legendary quantitative trader Jim Simons—has long been a bellwether for contrarian stock picks. Among its recent small-cap holdings, Corcept Therapeutics (NASDAQ: CORT) stands out as a potential high-reward play. Despite trimming its position by 4.8% in Q4 2024, Renaissance remains the largest single holder of CORT, retaining a $312 million stake. This article explores why the firm’s continued commitment to Corcept signals upside potential in a niche but expanding therapeutic space.

Renaissance’s Strategic Adjustment: A Vote of Confidence

While Renaissance reduced its Corcept holdings from 6.5 million to 6.2 million shares in late 2024, the move reflects portfolio rebalancing rather than skepticism about the company’s prospects. At 5.92% of Corcept’s outstanding shares, the remaining position represents 0.5% of Renaissance’s total portfolio, ranking as its 28th-largest holding. This retention underscores faith in Corcept’s pipeline, particularly its lead asset relacorilant, an oral selective cortisol modulator (SCM) in Phase III trials for platinum-resistant ovarian cancer.

The stock’s valuation also appears compelling. With a market cap of $7.24 billion and a P/E ratio of 54.46—high for a biotech but justified by its growth trajectory—CORT trades at a discount to peers like Vertex Pharmaceuticals (VRTX) (P/E 62) and United Therapeutics (UTHR) (P/E 84).

Clinical Catalysts Driving Growth

Corcept’s two-pronged strategy—expanding its approved drug Korlym (for Cushing’s syndrome) and advancing relacorilant—anchors its value. Korlym’s sales grew 39% in 2024 to $675 million, driven by rising prescriptions for hypercortisolism, a rare disorder affecting ~10,000 U.S. patients. Meanwhile, relacorilant’s Phase II data in ovarian cancer showed a 36% objective response rate when combined with chemotherapy, outperforming standard care.

Analysts at Piper Sandler and HC Wainwright have raised price targets to $131 and $150, respectively, citing relacorilant’s potential to address a $2 billion annual market in ovarian cancer alone. A planned FDA filing for relacorilant by Q3 2025 could trigger a valuation inflection, given its first-in-class status in cortisol-targeted oncology therapies.

Institutional Support and Technical Picture

Institutional ownership of CORT remains concentrated, with 29 hedge funds holding 93.6% of shares—a sign of stability. While Renaissance’s reduction may have pressured short-term sentiment, other funds like Federated Hermes and Wells Fargo have increased stakes, signaling a broader consensus on long-term value.

The stock’s technicals also favor bulls. With a beta of 0.15 (low volatility), CORT has outperformed the S&P 500 in downturns, offering downside protection. Its 52-week trading range ($20.84–$117.33) suggests a rebound to analyst targets would represent 100%+ upside from current levels (~$85 as of April 2025).

Risks and Considerations

The road to success is not without hurdles. Relacorilant’s Phase III trial results, expected in late 2025, could miss expectations, and competition from Novartis (NVS) and AstraZeneca (AZN) in ovarian cancer therapies looms. Additionally, regulatory scrutiny of SCM drugs—a class linked to side effects like adrenal insufficiency—could limit Korlym’s growth.

Conclusion: A High-Reward, High-Conviction Play

Despite risks, Corcept’s dual engine of growth—Korlym’s expanding label and relacorilant’s oncology potential—supports a bullish stance. With Renaissance’s $312 million stake representing ~4% of its portfolio, the firm’s continued confidence is a powerful endorsement. Analyst targets imply a 76% upside to $131, while a successful relacorilant approval could push shares to $150+, a 76% premium.

For investors seeking exposure to a niche, high-potential biotech, CORT’s combination of a proven drug, cutting-edge pipeline, and institutional backing makes it a compelling small-cap pick. As Renaissance’s history shows, its bets on misunderstood assets often pay off handsomely—and Corcept could be no exception.

Final Say: Hold for the long term, with a target price of $131–$150 and a stop-loss below $70.
Key Stats:
- Market Cap: $7.24B
- 2024 Revenue: $675M (+39% Y/Y)
- Institutional Ownership: 93.6%
- Analyst Buy/Raise Ratings: 8/10 (Bloomberg consensus)*