Soleno Therapeutics’ DCCR Poised for FDA Approval and Blockbuster Sales: An Analyst’s Bullish Outlook

Soleno Therapeutics (SLNO) has received a new Buy rating, initiated by Robert W. Baird analyst, Brian Skorney.

Brian Skorney’s rating is based on his assessment that Soleno’s lead drug candidate, DCCR, is likely to receive FDA approval for the treatment of Prader-Willi Syndrome (PWS), a rare and severe genetic disorder. The FDA’s historical flexibility with rare disease treatments and the fact that no approved therapies currently exist for PWS strengthen his confidence. Skorney considers the totality of evidence, including the results from a randomized withdrawal study and a 13-week double-blind study, as well as comparisons to natural history data, to be more than sufficient despite some non-traditional aspects of the trial designs.

Furthermore, Skorney finds the commercial potential for DCCR compelling, with an anticipated high market penetration and compliance rate given the significant unmet need in PWS. He draws parallels to other orphan drugs that have achieved blockbuster status despite smaller patient populations and more controversial data. He anticipates that DCCR could surpass $800 million in U.S. sales alone, with the possibility of exceeding $1 billion globally after approvals. This positive outlook, combined with a detailed financial analysis, underpins his $72 price target for Soleno Therapeutics’ stock.

TipRanks tracks over 100,000 company insiders, identifying the select few who excel in timing their transactions. By upgrading to TipRanks Premium, you will gain access to this exclusive data and discover crucial insights to guide your investment decisions. Begin your TipRanks Premium journey today.

Soleno Therapeutics (SLNO) Company Description:

Soleno Therapeutics, Inc. engages in the development and commercialization of novel therapeutics for the treatment of rare diseases. It markets CoSense End-Tidal Carbon Monoxide monitor, which measures ETCO and is used by hospitals to detect hemolysis in newborns. The company was founded on August 25, 1999 and is headquartered in Redwood City, CA.