Aardvark Therapeutics initiated with an Outperform at Oppenheimer

Oppenheimer analyst Leland Gershell initiated coverage of Aardvark Therapeutics (AARD) with an Outperform rating and $35 price target The firm says the company is building a “differentiated” rare and common obesity franchise with a key readout next year. Aardvark’s lead program is a global Phase 3 trial for Prader-Willi syndrome, a $1B-plus total addressable market in the U.S., the analyst tells investors in a research note. Opco believes favorable safety alone could make Aardvark’s ARD-101 competitive to the sole currently approved option. The company is also pursuing avenues to advance the treatment condition for general obesity, adds the firm.