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Avalo Therapeutics ( (AVTX) ) has issued an update.
On May 5, 2026, Avalo Therapeutics reported positive topline Phase 2 results from its LOTUS trial of abdakibart in adults with moderate to severe hidradenitis suppurativa, with both dosing regimens achieving HiSCR75 response rates of about 42% at Week 16 versus 25.6% for placebo. The drug also showed statistically significant benefits on key secondary endpoints, a favorable safety profile comparable to placebo, and results described as the strongest HiSCR75 and HiSCR50 improvements seen in HS trials of this size, positioning abdakibart as a potentially differentiated therapy as the company prepares a registrational Phase 3 program.
The Phase 2 LOTUS trial enrolled 253 patients in a randomized, double-blind, placebo-controlled design over 16 weeks, and abdakibart’s efficacy was consistent in patients with and without prior biologic exposure. Clinicians highlighted the potential for IL-1β inhibition to address the substantial physical and emotional burden of hidradenitis suppurativa, suggesting that Avalo’s data enhance its standing in the competitive inflammatory dermatology space and may have meaningful implications for patients, physicians and investors if replicated in late-stage studies.
The most recent analyst rating on (AVTX) stock is a Buy with a $29.00 price target. To see the full list of analyst forecasts on Avalo Therapeutics stock, see the AVTX Stock Forecast page.
Spark’s Take on AVTX Stock
According to Spark, TipRanks’ AI Analyst, AVTX is a Neutral.
The score is primarily held down by very weak financial performance (minimal/declining revenue, large losses, and heavy ongoing cash burn). Technicals are neutral-to-bearish with negative MACD and price below key short/intermediate moving averages. A positive offset is the cleaner balance sheet (little-to-no debt) and a recent corporate action that improves flexibility around milestone cash outflows, but these do not fully counter the core profitability and cash-flow risks.
To see Spark’s full report on AVTX stock, click here.
More about Avalo Therapeutics
Avalo Therapeutics Inc. is a clinical-stage biotechnology company focused on developing IL-1β–based treatments for immune-mediated inflammatory diseases. Its lead asset, abdakibart (AVTX-009), is an anti-IL-1β monoclonal antibody being developed for conditions with significant unmet medical need, including moderate to severe hidradenitis suppurativa.
Average Trading Volume: 705,481
Technical Sentiment Signal: Sell
Current Market Cap: $368.1M
Find detailed analytics on AVTX stock on TipRanks’ Stock Analysis page.