Wolfe Research Initiates Soleno Therapeutics (SLNO) Coverage with Outperform Rating, $75 PT, Dismisses Patient Slowdown Concerns

SLNO +0.36%

Soleno Therapeutics Inc. (NASDAQ:SLNO) is one of the cheap US stocks to buy according to analysts. On November 18, Wolfe Research analyst Kalpit Patel initiated coverage of Soleno Therapeutics with an Outperform rating and $75 price target. The company’s shares showed recent weakness in the market due to a sequential slowing in the number of new patient starts. However, Patel noted that the market’s safety concerns surrounding this slowdown are considered overblown.

Based on the firm’s proprietary survey results, Patel maintains that the overall directional trend for patient utilization is highly favorable and is expected to continue for the next 1-2 years. This market outlook also aligns with the strong financial results recently reported by the company.

In its Q3 2025 earnings report, Soleno Therapeutics reported a positive net income of $26 million, driven by sharply increased sales of its drug, ViCAT XR. Total net revenue more than doubled from Q2 and reached $66 million. The growing market adoption of ViCAT XR is reflected by the fact that the company has secured broad coverage, encompassing ~132 million lives, and currently has 764 active patients on the drug, all of whom have claims being reimbursed.

Soleno Therapeutics Inc. (NASDAQ:SLNO) is a clinical-stage biopharmaceutical company that develops and commercializes novel therapeutics for the treatment of rare diseases.

While we acknowledge the potential of SLNO as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.