Aardvark Therapeutics downgraded to Neutral from Buy at BTIG

BTIG downgraded Aardvark Therapeutics (AARD) to Neutral from Buy with no price target after the FDA placed a full clinical hold on ARD-101. While management noted their FDA interactions have been constructive, the firm thinks the near-term path for the stock requires three things to go right – a clear understanding of drug exposure levels and QRS signal, a positive signal of efficacy from the unblinded HERO data, and execution of viable registrational path all within a cash runway through mid-2027 – and says that these three factors together, plus a lack of concrete timelines, “makes it hard to lean into AARD at this juncture.”