H.C. Wainwright analyst Ram Selvaraju reiterated a Buy rating on Aardvark Therapeutics, Inc. today and set a price target of $40.00.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Ram Selvaraju has given his Buy rating due to a combination of factors that highlight the potential of Aardvark Therapeutics, Inc.’s ARD-201 in the obesity treatment market. The preclinical data for ARD-201 is promising, showing significant weight loss in diet-induced obesity models and suggesting its potential as an effective oral therapy for weight management. The data indicates that ARD-201 could be beneficial both as a standalone treatment and in combination with existing therapies, such as GLP-1 receptor agonists, which are commonly used for weight loss.
Furthermore, ARD-201’s formulation, which includes a combination of ARD-101 and the DPP-4 inhibitor sitagliptin, presents a compelling case for its use in managing obesity and related metabolic disorders like diabetes. The combination therapy leverages the known benefits of DPP-4 inhibitors in diabetes, offering a potentially risk-mitigated approach given the existing clinical data on ARD-101 and sitagliptin. Selvaraju emphasizes that the sustainability of weight loss, along with safety and tolerability, are crucial factors where ARD-201 could outperform current weight loss medications, supporting the Buy rating and a 12-month price target of $40.