Aardvark Therapeutics initiated with a Strong Buy at Raymond James

Raymond James analyst Christopher Raymond initiated coverage of Aardvark Therapeutics (AARD) with a Strong Buy rating and $47 price target. Although Soleno (SLNO) launched Vykat XR earlier this year as the first approved therapy to target hyperphagia, key opinion leaders the firm interviewed think clinical data have been underwhelming and there is still significant unmet need remaining, says the analyst. Aardvark’s ARD-101 targets the TAS2R receptors in the gut to induce the release of satiety-inducing hormones, thus controlling hyperphagia, and Phase 2 proof of concept data have been “compelling and point to potential best-in-class efficacy,” the analyst tells investors.