On June 20, the Food and Drug Administration (FDA) gave Sarepta Therapeutics (NASDAQ: SRPT) exactly what it wanted. The agency upgraded the status of its gene therapy for Duchenne muscular dystrophy (DMD), Elevidys, from an accelerated approval to a full approval. It also provisionally included a wider set of patients than it did originally.

The biotech will now have a larger market, and the risk of a regulatory blockade damaging its stock has been downgraded. Nonetheless, trouble could be brewing, and you need to consider the situation carefully before making an investment, or perhaps avoid buying the stock at all.

Here's why this recent win may not be as promising as it it might appear.

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Source Fool.com