Class Action Lawsuit Announced Against Soleno Therapeutics
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 10 2026
0mins
Should l Buy SLNO?
Source: Globenewswire
- Class Action Initiation: Rosen Law Firm has announced a class action lawsuit against Soleno Therapeutics (NASDAQ: SLNO) for common stock purchasers between March 26 and November 4, 2025, indicating potential investor losses due to undisclosed risks.
- Compensation Structure: Participants in the class action may receive compensation without any out-of-pocket fees, highlighting the accessibility of legal services and the protection of investor rights in securities litigation.
- Safety Concerns Disclosure: The lawsuit alleges that Soleno concealed significant safety evidence related to its DCCR drug clinical trials, which could lead investors to misjudge the company's future commercial viability and associated risks.
- Law Firm Credentials: Rosen Law Firm is renowned for its successful track record in securities class actions, having recovered over $438 million for investors in 2019 alone, demonstrating its expertise and influence in handling such cases.
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Analyst Views on SLNO
Wall Street analysts forecast SLNO stock price to rise
8 Analyst Rating
8 Buy
0 Hold
0 Sell
Strong Buy
Current: 52.820
Low
75.00
Averages
110.50
High
125.00
Current: 52.820
Low
75.00
Averages
110.50
High
125.00
About SLNO
Soleno Therapeutics, Inc. is focused on the development and commercialization of novel therapeutics for the treatment of rare diseases. Its first commercial product, VYKAT XR (diazoxide choline) extended-release tablets, is a once-daily oral treatment for hyperphagia in adults and children four years of age and older with Prader-Willi syndrome (PWS). VYKAT XR contains diazoxide choline, a potent ATP-sensitive potassium (KATP) channel activator. The KATP channels play a central role in the regulation of a number of physiological processes which may otherwise be dysregulated, contributing to the pathophysiology of several diseases. In the context of the underlying genetic or structural defects in PWS, these pathophysiological processes may cumulatively contribute to increases in appetite and aggressive food seeking, lack of satiety, accumulation of excess body fat and the establishment and perpetuation of the obese state. PWS is a rare, complex genetic neurobehavioral/metabolic disorder.
About the author

Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
- Class Action Notice: Rosen Law Firm reminds investors who purchased Soleno Therapeutics, Inc. (NASDAQ: SLNO) common stock between March 26, 2025, and November 4, 2025, that they must apply to be lead plaintiff by May 5, 2026, to participate in the class action and potentially receive compensation.
- Lawsuit Background: The lawsuit alleges that Soleno concealed significant safety concerns related to its DCCR drug during clinical trials, including issues like fluid retention in participants, which led to investor losses once the true information was revealed.
- Law Firm Credentials: Rosen Law Firm specializes in securities class actions and has recovered over $438 million for investors in 2019 alone, while also achieving the largest securities class action settlement against a Chinese company in 2017, showcasing its strong capabilities in this field.
- Investor Guidance: Investors are advised to carefully select experienced legal counsel rather than partnering with firms that merely act as intermediaries, ensuring they receive effective legal representation in the class action.
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- Lawsuit Reminder: Hagens Berman law firm alerts investors that the lead plaintiff deadline for the securities class action against Soleno Therapeutics (NASDAQ: SLNO) is May 5, 2026, urging those who purchased shares between March 26, 2025, and November 4, 2025, and suffered losses to submit claims.
- Safety Risk Allegations: The lawsuit alleges that Soleno concealed significant safety risks associated with its flagship product, VYKAT™ XR (DCCR), for treating Prader-Willi syndrome, including potential heart failure in children, misleading investors about the company's commercial viability.
- Inflated Market Metrics: While Soleno claimed that the DCCR launch
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- Class Action Initiated: Pomerantz LLP has announced a class action lawsuit against Soleno Therapeutics, alleging securities fraud and other unlawful business practices, with investors needing to apply as Lead Plaintiff by May 5, 2026.
- Stock Price Plummets: Following a report from Scorpion Capital on August 15, 2025, which labeled Soleno's sole product DCCR as overpriced and potentially unsafe for children, the stock price fell by $5.73, a decrease of 7.41%.
- Patient Death Incident: On September 10, 2025, Soleno disclosed that a patient died after taking DCCR, leading to a stock price drop of $13.49, or 19.21%, over the next two trading sessions.
- High Discontinuation Rate: During the earnings call on November 4, 2025, Soleno's CEO revealed an 8% discontinuation rate for DCCR due to adverse effects, causing the stock to fall by $16.98, a decline of 26.59%.
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- Lawsuit Deadline: ClaimsFiler reminds investors of Soleno Therapeutics (Nasdaq: SLNO) that they must file lead plaintiff applications by May 5, 2026, for shares purchased between March 26, 2025, and November 4, 2025, highlighting investor concerns over potential legal risks associated with the company.
- Legal Allegations Overview: Soleno and certain executives are accused of failing to disclose material information during the class period, violating federal securities laws, specifically regarding undisclosed safety concerns related to its only commercial product, DCCR, which could expose investors to greater financial losses.
- Insufficient Safety Disclosure: The lawsuit claims that the clinical trials for DCCR did not adequately disclose potential safety issues, including excessive fluid retention among participants, which could adversely affect the drug's market acceptance and the company's reputation.
- Commercial Viability Risks: Due to undisclosed safety risks, the commercial viability of DCCR is questioned, potentially leading to increased patient discontinuation rates, reduced prescriber willingness, and possible regulatory and legal repercussions, further impacting the company's financial performance.
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- Legal Investigation: Faruq & Faruq LLP is investigating potential claims against Soleno Therapeutics, Inc. for securities purchased between March 26, 2025, and November 4, 2025, indicating possible legal risks for the company that investors should be aware of.
- Investor Rights Reminder: The firm reminds investors that May 5, 2026, is the deadline to seek the role of lead plaintiff in a federal securities class action, emphasizing the importance of timely action to protect their rights.
- Direct Contact Channels: Investors who have suffered losses can contact Faruq & Faruq partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310) to discuss their legal options, ensuring they receive professional guidance.
- Market Impact: As the legal investigation unfolds, Soleno's stock price may face negative pressure, prompting investors to monitor developments closely to adjust their investment strategies and mitigate potential losses.
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- Class Action Reminder: The Schall Law Firm alerts investors of a class action lawsuit against Soleno Therapeutics for violations of §§10(b) and 20(a) of the Securities Exchange Act, concerning securities purchased between March 26, 2025, and November 4, 2025, with a deadline to contact the firm by May 5, 2026.
- False Statements Allegation: The complaint alleges that Soleno misrepresented safety concerns related to its DCCR drug during Phase 3 clinical trials, rendering its public statements false and misleading, which resulted in investor losses when the truth emerged.
- Increased Safety Risks: Soleno's DCCR treatment exhibited greater safety risks than disclosed, alongside lower commercial viability and heightened adverse event risks, severely undermining investor confidence and leading to significant financial repercussions.
- Legal Consequences and Investor Rights: Until the class action is certified, investors are not represented by an attorney; the Schall Law Firm offers free consultations to help investors understand their rights and pursue recovery of losses.
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