Corcept Therapeutics: A Rocky Start, But a Golden Opportunity Ahead?

Corcept Therapeutics (NASDAQ: CORT) just delivered a mixed Q1 2025 earnings report—revenue missed expectations, but the company’s pipeline fireworks and long-term vision are worth more than the short-term stumble. Let’s break this down.

The Numbers: A Miss, But Not a Bust

Revenue of $157.2 million was 7% higher than last year but 11.7% below Wall Street’s $177.94 million target. The stock dropped 7.76% after hours, but here’s why I’m not panicking:
- EPS beat: Diluted earnings per share hit $0.17, 13.3% above the $0.15 forecast.
- Cash remains strong: $570.8 million on the books, enough to fuel growth and fund its ambitious pipeline.
- Guidance intact: Management stuck with its $900–$950 million revenue target for 2025, signaling confidence.

What Went Wrong—and How They’re Fixing It

The revenue miss was no mystery. A third-party pharmacy’s bottlenecks in January and February slowed tablet shipments. But by March, operations ramped up, and April set a new dispensing record. The bigger headwind? The shift to an authorized generic version of Korlym, which cut average tablet prices by 13% but now accounts for over 50% of sales.

The Silver Lining: A Pipeline on Fire

Here’s why this is a “buy the dip” moment:

1. Relacorilant’s FDA Date is Here

The star candidate, relacorilant, targets hypercortisolism—a rare disorder where high cortisol levels wreck health. The FDA’s PDUFA date is December 30, 2025, and the data is stellar:
- In Phase 3 trials (GRACE, GRADIENT), it slashed blood pressure and blood sugar while improving quality of life.
- CEO Joe Belanoff says it could become a $3–$5 billion annual drug—if approved.

2. Ovarian Cancer Breakthrough

Relacorilant also aced the ROSELLA trial in platinum-resistant ovarian cancer, hitting primary endpoints for progression-free and overall survival. An NDA is coming in Q3 2025.

3. ALS Hope in the Data

The DAZALS trial for amyotrophic lateral sclerosis (ALS) missed its main goal, but a 62% mortality risk reduction in high-dose patients (300 mg) is a game-changer. Corcept is now discussing regulatory paths with the FDA.

4. The Big Picture: Hypercortisolism is Underdiagnosed

A study (CATALYST) found 25% of patients with hard-to-control diabetes have hypercortisolism. Korlym reduced their HbA1c by 1.47 points vs. placebo—a stat that could expand the market.

Risks? Sure. But Manageable.

• Pharmacy issues: Fixed now, but could resurface.
• Generic competition: The authorized generic is here to stay, but higher volumes may offset price cuts.
• FDA approval risks: Relacorilant’s success hinges on December’s decision.

Why Now is the Time to Buy

At $68.20 post-earnings, Corcept is still up 196.78% year-to-date—a sign the market believes in the pipeline. With $570 million in cash and a sales team expanding to 175 specialists, they’re primed to capitalize if relacorilant gets the green light.

Final Verdict: Full Speed Ahead

This isn’t a “perfect” quarter, but Corcept’s long-term story is too compelling to ignore. The FDA deadline in December is a binary event that could send shares soaring. For investors willing to ride the volatility, this is a buy at current levels.

Bottom Line: The pharmacy hiccups are behind them, and the data on relacorilant is undeniable. With a $5 billion drug in reach and multiple trials hitting milestones, Corcept is a biotech to own—especially if you’ve got the stomach for a rollercoaster ride.