Cantor Fitzgerald maintains Overweight on Soleno Therapeutics stock

Published 22/05/2025, 13:22
Cantor Fitzgerald maintains Overweight on Soleno Therapeutics stock

On Thursday, Cantor Fitzgerald reaffirmed its Overweight rating on Soleno Therapeutics Inc. (NASDAQ:SLNO), maintaining a price target of $123.00. Currently trading at $73.30, InvestingPro analysis indicates the stock is slightly overvalued. The firm’s analysts expressed continued confidence in the potential of Soleno’s product, VYKAT XR, forecasting a robust market introduction contingent on securing reimbursement agreements.

The analyst’s recent statement highlighted the positive data released this week, suggesting VYKAT XR could be a long-term, well-tolerated, and effective treatment. This optimism is based on the potential for the drug to attract and retain patients, which could significantly boost the company’s revenues. The market appears to share this optimism, with the stock delivering an impressive 71% return over the past year and 63% year-to-date.

Soleno Therapeutics is focused on developing innovative therapies for rare diseases, and VYKAT XR is at the forefront of its pipeline. The treatment is designed to address the needs of patients with conditions that currently have limited therapeutic options.

The endorsement from Cantor Fitzgerald comes after the latest data was shared, emphasizing the treatment’s tolerability and efficacy. The analyst believes that these attributes will play a crucial role in the drug’s adoption and sustained use, which are critical factors for the company’s financial success.

Soleno’s management team has not yet issued a public response to the reiteration of the Overweight rating and the $123.00 price target. With a strong analyst consensus rating and price targets ranging from $97 to $145, the stock’s beta of -2.67 suggests it often moves counter to market trends. For deeper insights into Soleno’s valuation and growth prospects, InvestingPro subscribers can access the comprehensive Pro Research Report, featuring detailed analysis of the company’s financial health and market position.

In other recent news, Soleno Therapeutics reported a larger-than-expected loss for the first quarter of 2025, with earnings per share (EPS) of -$0.95, missing analysts’ forecast of -$0.89. The company did not generate revenue during this period, and its cash position decreased to $290 million from $318.6 million in the previous quarter. Despite these financial challenges, Soleno achieved a significant milestone with the FDA approval of VYKAT XR, a treatment for hyperphagia in Prader-Willi Syndrome, which began patient treatments in April. Piper Sandler maintained an Overweight rating on Soleno, with a $145 price target, expressing confidence in the commercial launch of VYKAT XR. Meanwhile, Oppenheimer also reiterated an Outperform rating with a $105 price target, noting the strong initial commercial performance of VYKAT XR and raising the 2025 sales estimate to $50 million. Soleno presented positive clinical data for VYKAT XR at the Pediatric Endocrine Society Annual Meeting, highlighting improvements in hyperphagia and behavioral symptoms in Prader-Willi syndrome patients. The company plans to submit an application for European approval of VYKAT XR in the current quarter, aligning with its broader commercialization strategy.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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