Corcept Therapeutics (NasdaqCM:CORT) Dropped From Russell 2000 and Growth Index

Corcept Therapeutics (NasdaqCM:CORT) recently saw a decline in its share price by 1.43% over the last week. This price movement occurred against a backdrop of the company's removal from the Russell 2000 and Russell 2000 Growth indices, while simultaneously gaining inclusion in several other indices, like the Russell 1000 and Russell Midcap Growth Index. These index changes suggest shifts in investment positioning that could impact market sentiment. Amidst these developments, the overall market experienced gains, indicating a contrasting trend as major indexes like the S&P 500 and Nasdaq continued to rise, possibly tempering the impact of company-specific news on Corcept's performance.

We've spotted 1 possible red flag for Corcept Therapeutics you should be aware of.

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Corcept Therapeutics' recent inclusion in the Russell 1000 and Russell Midcap Growth Index could influence investor sentiment positively, contrasting the impact of its removal from the Russell 2000 indices. These changes may attract a different category of investors and potentially increase the stock's trading volume. Over the past five years, Corcept's total shareholder return of 337.92% highlights substantial growth, offering a broader context to recent week-to-week price fluctuations that may appear minor when viewed against its long-term performance.

In comparison to the broader market, Corcept's recent one-year performance outpaced the US Pharmaceuticals industry, which had a negative performance. This suggests resilience despite the company's ongoing challenges, including patent litigation and transitions to generics. Recent index changes may not drastically alter the revenue forecast or earnings, which have strong growth assumptions linked to the launch of relacorilant and other developments in oncology. The 44.5% discount to analyst price targets, with the share price at US$76.77 compared to the consensus target of US$138.25, indicates a potential upside based on projected earnings growth and market expansion. Investors should critically assess these factors in light of the broader investment landscape.

Click to explore a detailed breakdown of our findings in Corcept Therapeutics' financial health report.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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