Soleno Therapeutics Inc. (SLNO) PT Raised to $110 at H.C. Wainwright

H.C. Wainwright analyst Raghuram Selvaraju raised the price target on Soleno Therapeutics Inc. (NASDAQ: SLNO) to $110.00 (from $100.00) while maintaining a Buy rating.

The analyst commented: "We note that late last week a report published by Scorpion Capital disclosed the filing of a Citizen Petition to the FDA calling for the withdrawal of Soleno's sole marketed product, VYKAT XR. We believe that this request will not be successful, given the extensive clinical assessment performed in support of VYKAT XR prior to regulatory approval earlier this year and the compelling risk-benefit profile in Prader-Willi Syndrome (PWS) patients, as well as the fact that native diazoxide has been used for many years to manage PWS symptoms and VYKAT XR offers compelling advantages in tolerability and efficacy vs. the original version of the drug (which has never been formally approved in the PWS indication). Furthermore, we believe that reports of heart failure in children who were given VYKAT XR are not likely to be linked to the drug and that its safety profile warrants continued deployment. While we acknowledge that there are well-documented side effects with VYKAT XR, particularly hyperglycemia, edema and hypertrichosis (excessive hair growth), we believe these can be readily managed. From our vantage point, the safety profile of VYKAT XR may only mean some hesitation among prescribers to use it in PWS patients who are also diabetic. The drug is also contra-indicated in situations where the patient is allergic or hypersensitive to diazoxide itself. Likelihood of drug-drug interactions requires monitoring, especially in the context of concomitant medications metabolized via the CYP1A2 or CYP3A4 enzyme pathways. We note that Citizen Petitions—while numerous—usually do not result in withdrawals of products from the U.S. market, as over 80% of those filed since 2001 have been denied or failed to elicit a response from the FDA. Reiterate Buy rating and raise PT to $110 from $100."

You May Also Be Interested In

• Fiserv (FISV) PT Lowered to $60 at Freedom Broker
• JD.com (JD) Reiterated at Buy by Benchmark Amid Earnings Recovery
• Boeing lands two U.S. defense contracts worth over $711M