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Investing.com - Stifel has reiterated a Buy rating on Soleno Therapeutics Inc. (NASDAQ:SLNO) while raising its price target to $115 from $108, citing favorable physician survey results for the company’s Vykat medication. The $4.3 billion market cap company has seen its stock surge over 100% in the past year, currently trading near its 52-week high of $87.16. According to InvestingPro data, analysts maintain a Strong Buy consensus with price targets ranging from $97 to $145.
The investment firm’s survey of 20 physicians revealed significant demand for Vykat, with 70% of doctors prescribing the medication—most to multiple patients—and adult utilization matching pediatric usage, which could provide an unexpected tailwind for sales.
Doctors reported a favorable view of Vykat’s clinical profile regarding efficacy, safety, and monitoring requirements, while early reimbursement dynamics have proven better than anticipated, with physicians able to get the majority of prescriptions approved.
Physicians surveyed expect Vykat utilization to increase meaningfully throughout 2025, with sustained growth continuing into 2026, potentially reaching over 50% market penetration.
Based on these findings, Stifel has increased its peak sales estimate for Vykat to approximately $2.5 billion, comparing its trajectory to other successful rare disease drug launches like Daybue and Skyclarys, but with more durable and persistent growth potential.
In other recent news, Soleno Therapeutics has been in the spotlight due to several developments around its VYKAT XR treatment for Prader-Willi syndrome (PWS). The company presented new data at the 2025 United in Hope conference, showing that VYKAT XR significantly reduces hyperphagia symptoms in patients under strict food control. The treatment, approved by the FDA earlier this year, is also safe for patients with pre-diabetes or diabetes, though some hyperglycemia-related adverse events were noted. Piper Sandler has reiterated an Overweight rating for Soleno, citing strong early adoption of VYKAT XR and projecting sales that could exceed $2 billion, significantly higher than current market expectations. Stifel has increased its price target for Soleno to $115, highlighting significant demand for VYKAT from physicians and favorable reimbursement dynamics. Additionally, TD Cowen initiated coverage with a Buy rating and a $110 price target, emphasizing the drug’s approval as a significant milestone in addressing PWS. Soleno also plans to file a Marketing Authorization Application for VYKAT XR in Europe, with potential approval expected in early 2026. These developments indicate strong market interest and potential growth for Soleno’s VYKAT XR in the treatment of PWS.
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