PepGen Stock Soars 93% on Positive Data From Phase 2 Myotonic Dystrophy Trial

PepGen Inc. (Nasdaq: PEPG) shares jumped 92.9% on Tuesday, Nov. 10, 2026, closing at $4.61 against a previous close of $2.39. The S&P 500 ETF (SPY) fell 0.37% over the same session, and volume ran about 97 times its usual level.

The move followed positive topline results from the 10 mg/kg multiple ascending dose cohort of the Phase 2 FREEDOM2-DM1 trial, which the company announced in an 8-K filed before the market open. The results were released alongside the company's third-quarter financial results.

Splicing correction drives the headline

The company said mean splicing correction reached 46.5% at Week 13, the highest it has reported in a multiple dose study for DM1. Five of six treated participants showed more than 20% splicing correction, and four exceeded 50%. Mean correction in the pooled placebo group was 6.8%.

The company also reported improvements in video Hand Opening Time, which improved 3.9 seconds at Week 16, and in hand grip strength, Timed Up and Go and the 10-Meter Walk/Run Test. Patient-reported outcomes were inconclusive, the company said.

Safety and next steps

PepGen said the drug was generally well tolerated at 10 mg/kg, with no serious adverse events, no dose-limiting toxicities and no treatment discontinuations. The most common adverse event was nausea.

The 12.5 mg/kg cohort is fully enrolled, with clinical results expected in the first half of 2027. Interim data from the open-label extension are expected in January 2027.

Cash and losses

PepGen reported a third-quarter net loss of $19.4 million, or $(0.28) per share, compared with a net loss of $18.0 million, or $(0.52) per share, a year earlier. Research and development expenses were $14.5 million. The company had $104.8 million in cash, cash equivalents and marketable securities as of Sept. 30, 2026, which it said would fund operations into 2028.

The partial clinical hold placed by the U.S. Food and Drug Administration on the FREEDOM2 study in March 2026 remains in place, according to the company's filings.