Corcept Therapeutics Stock Shines at New All-Time Highs Despite Its Valuation

• Corcept Therapeutics (CORT) demonstrates exceptional price momentum with shares up more than 50% over the past year.  
• CORT’s fundamentals are robust with revenue and earnings both projected to grow this year.
• Technical indicators remain bullish with a 100% “Buy” opinion from Barchart.
• Analyst sentiment is mixed —ratings range from “Strong Buy” to “Strong Sell” — and valuation concerns persist.

Today’s Featured Stock

Valued at $12.38 billion, Corcept Therapeutics (CORT) is focused on the discovery, development, and commercialization of drugs for the treatment of severe metabolic, psychiatric, and oncology disorders which are associated with the activity of the hormone cortisol, also known as the stress hormone. 

What I’m Watching

I found today’s Chart of the Day by using Barchart’s powerful screening functions to sort for stocks with the highest technical buy signals and superior current momentum. I then used Barchart’s Flipcharts feature to review the charts for consistent price appreciation. CORT checks those boxes. The Trend Seeker issued a new “Buy” signal on July 14. Since then, the stock has gained 22.2%. 

Barchart’s Technical Indicators for Corcept Therapeutics

Editor’s Note: The technical indicators below are updated live during the session every 20 minutes and can therefore change each day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report. These technical indicators form the Barchart Opinion on a particular stock.

Corcept Therapeutics scored an all-time high of $122.21 on July 30.

• Corcept has a Weighted Alpha of 217.96.
• CORT has a 100% “Buy” opinion from Barchart.
• The stock has gained 53.94% over the past 52 weeks.
• Corcept has its Trend Seeker “Buy” signal intact.
• The stock recently traded at $111.71 with a 50-day moving average of $85.86.
• CORT has made 7 new highs and gained 22.74% over the past month.
• 60-month beta of 0.47.
• Relative Strength Index (RSI) is at 67.56.
• There’s a technical support level around $109.53.

Don’t Forget the Fundamentals

• $12.38 billion market capitalization.
• 272.6x trailing price-earnings ratio.
• Revenue is predicted to grow 42.22% this year and another 41.05% next year.
• Earnings are estimated to increase 176.05% this year and an additional 87.28% next year

Analyst and Investor Sentiment on Corcept Therapeutics

• The Wall Street analysts followed by Barchart give the stock 4 “Strong Buy,” 1 “Hold,” and 1 “Strong Sell” opinion with price targets between $50 and $165.
• Value Line rates the stock “Average.”
• CFRA’s MarketScope rates the stock a “Hold.”
• Morningstar thinks the stock is 44% overvalued with a fair value of $79.
• 10,020 investors are following the stock on Seeking Alpha, which rates it a “Strong Buy” but has a problem with its valuation
• Short interest is 8.74% of the float with 8.69 days to cover the float.

The Bottom Line on Corcept Therapeutics

Corcept is on a roll and with properly placed stop losses should give you a nice return.

Additional disclosure: The Barchart Chart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculative. Should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance.