TD Cowen Downgrades Soleno Therapeutics to 'Hold'

Analysts cut price target on the biopharmaceutical company's stock from $85 to $53.

Apr. 10, 2026 at 6:06am

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An extreme close-up of intricate pharmaceutical manufacturing machinery, conveying the complex and technical nature of the biotech industry.The downgrade of Soleno Therapeutics' stock signals potential challenges in the development of its rare disease therapies.Redwood City Today

TD Cowen has downgraded shares of Soleno Therapeutics (NASDAQ:SLNO) from a 'buy' rating to a 'hold' rating, lowering the price target on the stock from $85 to $53. Several other equity research analysts have also recently adjusted their ratings and price targets for the clinical-stage biopharmaceutical company focused on rare and orphan diseases.

Why it matters

The downgrade and price target reduction reflect analysts' concerns about the outlook for Soleno Therapeutics' lead drug candidate, diazoxide choline controlled release (DCCR), which is being developed to treat Prader-Willi syndrome. The company's stock has seen significant volatility as it navigates the clinical development and regulatory approval process for this rare disease treatment.

The details

In their research note, TD Cowen analysts cited a number of factors behind the downgrade, including reduced confidence in the commercial potential of DCCR and the company's ability to secure regulatory approval. Other analysts have also recently lowered their price targets for Soleno, with HC Wainwright reducing its target from $120 to $100 and Weiss Ratings assigning a 'sell (d-)' rating.

  • On Tuesday morning, TD Cowen published the downgrade research note.
  • In March, Oppenheimer reduced its price target on Soleno Therapeutics from $110 to $80.

The players

TD Cowen

An investment bank that provides equity research coverage on Soleno Therapeutics.

Soleno Therapeutics

A clinical-stage biopharmaceutical company focused on developing therapies for rare and orphan diseases, including its lead candidate DCCR for the treatment of Prader-Willi syndrome.

HC Wainwright

An equity research firm that covers Soleno Therapeutics.

Weiss Ratings

An independent investment research firm that has assigned a 'sell (d-)' rating on Soleno Therapeutics' stock.

Oppenheimer

An investment bank that provides equity research coverage on Soleno Therapeutics.

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What they’re saying

“TD Cowen currently has $53.00 price objective on the stock, down from their previous price objective of $85.00.”

— TD Cowen, Equity Research Analysts

“HC Wainwright reduced their price target on shares of Soleno Therapeutics from $120.00 to $100.00 and set a 'buy' rating for the company.”

— HC Wainwright, Equity Research Analysts

“Weiss Ratings reaffirmed a 'sell (d-)' rating on shares of Soleno Therapeutics.”

— Weiss Ratings, Independent Investment Research Firm

“Oppenheimer reduced their price target on shares of Soleno Therapeutics from $110.00 to $80.00 and set an 'outperform' rating for the company.”

— Oppenheimer, Equity Research Analysts

What’s next

Investors will be closely watching for any updates from Soleno Therapeutics on the clinical development and regulatory progress of its lead drug candidate DCCR for Prader-Willi syndrome. The company's ability to address analyst concerns and meet key milestones will be crucial in determining the future direction of the stock.

The takeaway

The downgrade and price target cuts by prominent equity research firms underscore the challenges Soleno Therapeutics faces in advancing its rare disease pipeline and convincing the market of DCCR's commercial potential. The company will need to demonstrate solid clinical data and a clear regulatory path forward to regain investor confidence.