Vanda Pharmaceuticals: Promising Pipeline and Regulatory Progress Drive Buy Rating

Ram Selvaraju, an analyst from H.C. Wainwright, reiterated the Buy rating on Vanda. The associated price target remains the same with $20.00.

Ram Selvaraju has given his Buy rating due to a combination of factors related to Vanda’s promising pipeline and regulatory progress. The submission of a Biologics License Application for imsidolimab, aimed at treating generalized pustular psoriasis (GPP), was completed on schedule. This application is backed by positive Phase 3 study results showing significant efficacy and a favorable safety profile, addressing a critical unmet medical need in a rare disease. Furthermore, Vanda has requested Priority Review, which could expedite the approval process, potentially leading to market entry by mid-2026.
Additionally, Vanda’s tradipitant is progressing well in its New Drug Application process for motion sickness, with a potential market opportunity exceeding $700 million globally. The company’s pipeline also includes other promising candidates like HETLIOZ for jet lag disorder and Bysanti for bipolar I disorder and schizophrenia, both of which are under regulatory review. These developments suggest multiple potential product approvals in the near future, which could significantly enhance Vanda’s market position and financial performance.