Soleno Therapeutics Securities Lawsuit Reminder for Investors
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 hour ago
0mins
Should l Buy SLNO?
Source: Globenewswire
- Lawsuit Deadline: ClaimsFiler reminds investors that they must file lead plaintiff applications by May 5, 2026, for shares purchased between March 26, 2025, and November 4, 2025, highlighting the legal risks surrounding Soleno Therapeutics.
- Legal Allegations Overview: Soleno and certain executives are accused of failing to disclose critical information during the class period, violating federal securities laws, particularly regarding undisclosed safety concerns related to their only commercial product, DCCR, which could expose investors to greater risks.
- Safety Concerns: The lawsuit alleges that DCCR's clinical trials minimized significant safety issues, including excessive fluid retention among participants, raising doubts about the drug's commercial viability and potentially damaging the company's market performance and reputation.
- Investor Support Services: ClaimsFiler offers a free shareholder information service to assist investors in understanding securities class action lawsuits, ensuring they can submit claims in a timely manner, reflecting a commitment to protecting investor rights.
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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: 36.990
Low
75.00
Averages
110.50
High
125.00
Current: 36.990
Low
75.00
Averages
110.50
High
125.00
About SLNO
Soleno Therapeutics, Inc. is a biopharmaceutical company. The Company is focused on developing novel therapeutics for the treatment of rare diseases. The Company’s lead product candidate, diazoxide choline extended-release tablets (DCCR), is for the treatment of Prader-Willi syndrome (PWS) in individuals four years and older who have hyperphagia. DCCR contains diazoxide choline, a potent ATP-sensitive potassium (KATP) channel activator. DCCR tablets consist of the active ingredient diazoxide choline, a choline salt of diazoxide, which is a benzothiadiazine. Its proposed mode of action, with targets in the brain, pancreas and fat tissue, has the potential to broadly impact complex diseases like PWS to reduce appetite, reduce food-seeking, decrease insulin and leptin resistance, and reduce body fat. The Company has Breakthrough Therapy and Fast-Track designations in the United States and Orphan Drug designations in the United States and European Union.
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.
- Lawsuit Deadline: ClaimsFiler reminds investors that they must file lead plaintiff applications by May 5, 2026, for shares purchased between March 26, 2025, and November 4, 2025, highlighting the legal risks surrounding Soleno Therapeutics.
- Legal Allegations Overview: Soleno and certain executives are accused of failing to disclose critical information during the class period, violating federal securities laws, particularly regarding undisclosed safety concerns related to their only commercial product, DCCR, which could expose investors to greater risks.
- Safety Concerns: The lawsuit alleges that DCCR's clinical trials minimized significant safety issues, including excessive fluid retention among participants, raising doubts about the drug's commercial viability and potentially damaging the company's market performance and reputation.
- Investor Support Services: ClaimsFiler offers a free shareholder information service to assist investors in understanding securities class action lawsuits, ensuring they can submit claims in a timely manner, reflecting a commitment to protecting investor rights.
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- Lawsuit Deadline: Soleno Therapeutics has reminded investors that May 5, 2026, is the deadline to apply for lead plaintiff status in a federal securities class action, emphasizing the urgency for investors to act to protect their rights.
- Safety Allegations: The lawsuit alleges that Soleno concealed significant safety concerns related to its DCCR (Vykat XR) clinical trial, particularly issues of fluid retention in participants, which could materially diminish the drug's commercial viability and expose investors to undisclosed risks.
- Stock Price Volatility: Following a report from Scorpion Capital on August 15, 2025, labeling DCCR as overpriced and potentially unsafe, Soleno's stock plummeted by 7.41%, and after a patient death was reported on September 10, the stock fell another 14.53%, indicating severe market concerns regarding the drug's safety.
- Rising Discontinuation Rates: During the earnings call on November 4, 2025, Soleno's CEO disclosed an 8% discontinuation rate for DCCR due to adverse effects, acknowledging that the short seller report disrupted the drug's launch trajectory, leading to a staggering 26.59% drop in stock price the following day, reflecting investor pessimism about future sales prospects.
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- Lawsuit Background: Soleno Therapeutics is facing a securities class action lawsuit following a disappointing report on its DCCR drug (trademarked as VYKAT™ XR) released on November 5, 2025, representing investors who purchased common stock between March 26 and November 4, 2025, indicating strong investor dissatisfaction with the company's transparency.
- Stock Price Plunge: Following the lawsuit announcement, Soleno's stock price plummeted by 26% on the same day, reflecting severe market skepticism regarding the company's safety and efficacy claims, which significantly eroded investor confidence and exacerbated the financial pressures faced by the company.
- Safety Concerns: The lawsuit alleges that Soleno systematically downplayed and concealed significant safety risks associated with DCCR during clinical trials, particularly issues related to fluid retention in trial participants, which could materially impact the drug's commercial viability.
- Market Reaction: On August 15, 2025, activist short seller Scorpion Capital raised concerns about Soleno's disclosures, noting a surge in reports of children hospitalized after using the drug, leading to profound investor worries about DCCR's market acceptance and future sales prospects.
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- Lawsuit Background: Soleno Therapeutics (NASDAQ: SLNO) is facing a securities fraud class action lawsuit for the period between March 26, 2025, and November 4, 2025, with investors having until May 5, 2026, to seek lead plaintiff status, indicating significant legal risks and potential financial liabilities for the company.
- Key Allegations: The lawsuit alleges that Soleno made materially false statements and omissions regarding the safety of its DCCR drug in Phase 3 clinical trials, particularly failing to disclose serious safety concerns, which could undermine investor confidence in the company's future prospects.
- Stock Price Impact: Following the financial results announcement on November 4, 2025, Soleno's stock price plummeted over 26% due to market concerns regarding the DCCR drug, reflecting a pessimistic sentiment among investors about the company's outlook.
- Investor Action: Affected investors are encouraged to contact Kessler Topaz Meltzer & Check, LLP for free legal consultations, highlighting the potential financial responsibilities the company may face in ongoing litigation and the losses investors could incur.
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- Legal Investigation Launched: Faruq & Faruq LLP is investigating potential securities fraud claims against Soleno Therapeutics (NASDAQ: SLNO), particularly concerning safety issues related to its DCCR drug, urging investors to contact them by May 5, 2026, to seek lead plaintiff status.
- Stock Price Volatility: Following a critical report from Scorpion Capital on August 15, 2025, which raised significant concerns about the safety and efficacy of Soleno's drug, the stock price plummeted from $77 to $68, marking a nearly 12% decline within two trading days.
- Patient Safety Risks: The clinical trials for Soleno have been accused of downplaying safety concerns related to DCCR, including issues of fluid retention among participants, which raises serious questions about the drug's commercial viability and could adversely affect its market performance.
- Financial Results Impact: On November 4, 2025, Soleno reported third-quarter results indicating that the Scorpion Capital report disrupted the launch trajectory of DCCR, leading to fewer patient start forms and increased discontinuations, resulting in a 27% drop in stock price in a single day.
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- Class Action Notice: Rosen Law Firm reminds investors who purchased Soleno Therapeutics (NASDAQ:SLNO) common stock between March 26 and November 4, 2025, to apply as lead plaintiffs by May 5, 2026, to participate in the class action and seek compensation.
- Lawsuit Background: The lawsuit alleges that Soleno concealed significant safety concerns regarding its DCCR drug during clinical trials, resulting in greater safety risks and diminished commercial viability, adversely affecting investors' interests.
- Law Firm's Advantage: Rosen Law Firm specializes in securities class actions and has achieved the largest settlement against a Chinese company, demonstrating its success and resources in this field, urging investors to select counsel with a proven track record.
- Investor Rights: Investors can join the class action without any out-of-pocket fees and can still share in potential future recoveries even if they do not serve as lead plaintiffs, ensuring their rights are protected.
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