Yes, a handy person could chase the threads and replace the screw or drill out
Yes, a handy person could chase the threads and replace the screw or drill out and use a larger screw. The body is somewhat sacrificial because the cage and arms come off without drilling out rivets so that’s still useable. These bikes are simple, don’t over complicate it. Need a good set of tools and well stocked hardware store near by or old school bike shop.