Soleno Therapeutics CEO sells more than $150k in company stock via Investing.com

Soleno Therapeutics Inc. (NASDAQ:) reported that Patricia C. Hirano, Senior Vice President of Regulatory Affairs, sold a significant amount of the company’s stock. According to recent filings, Hirano sold more than $150,000 worth of shares.

The transaction, which occurred on October 1, 2024, involved the sale of 2,789 shares at an average price of $49.3358 and 319 shares at an average price of $50.2479. The sale was made in multiple trades at prices ranging from $48.95 to $49.94 for the first and $49.95 to $50.49 for the last, as disclosed in the filing footnotes. The total amount of shares sold by Hirano was approximately $153,626.

The filing indicated that these shares were liquidated to cover tax withholding obligations related to the issuance of restricted stock units (RSUs). After the purchase, Hirano’s remaining direct ownership in the company includes 108,932 shares, which may include certain RSUs that represent a contingent right to receive shares of common stock upon vesting.

Investors often monitor insider trading as they can provide insight into management’s views on their company’s current valuation and future prospects. Soleno Therapeutics specializes in electromedical and electrotherapeutic services, with its corporate headquarters in Redwood (NYSE:) City, California.

In other recent news, Soleno Therapeutics has experienced several important developments. Stifel raised its price target on the company to $74, maintaining a buy rating, and expressed optimism about the potential approval of Soleno’s diazoxide choline controlled-release (DCCR) treatment. The company is confident about the drug’s market diversification through the mid-2030s, based on DCCR-related patents listed in the FDA’s Orange Book.

On the other hand, Piper Sandler reiterated its Overweight rating with a target price of $93.00, while HC Wainwright initiated coverage with a buy rating and a target price of $70. Both companies are expecting a positive result for DCCR, a potential treatment for Prader-Willi Syndrome. Furthermore, Oppenheimer maintained an Outperform rating and a $65.00 price target, citing DCCR’s market strength.

The FDA has accepted Soleno’s New Drug Application (NDA) for the DCCR, granting it Critical Review status with a target action date set for December 27, 2024. In addition, the company has seen changes to its board of directors, and has entered into an agreement. and Jefferies LLC to sell up to $150 million of its common stock. Finally, the company granted its employees restricted performance-based stock units.

InvestingPro Insights

Soleno Therapeutics Inc. (NASDAQ:SLNO) has had significant market momentum, as evidenced by its impressive stock performance. According to InvestingPro data, SLNO delivered a solid return of 94.37% last year, with a year-to-date return of 23.43%. This strong performance coincides with one of InvestingPro’s tips, which highlights the company’s “Highest return over the past year.”

Despite the recent internal sale of Patricia C. Hirano, which was primarily to cover tax obligations, there are positive indications of the company’s financial health. InvestingPro Tip notes that Soleno “carries more cash than debt on its balance sheet,” suggesting a strong financial position. This is especially important for a company in the field of electromedical and electrotherapeutic devices, where research and development costs can be high.

In addition, analysts are optimistic about Soleno’s future profitability. Another InvestingPro Tip indicates that “Revenue is expected to grow this year,” and analysts predict that the company will be profitable this year. This positive outlook may explain why the stock is trading at a high Price/Book multiple of 6.78, as investors may be pricing in future growth potential.

For investors looking for a comprehensive analysis, InvestingPro offers additional tips and insights. In fact, there are 11 other InvestingPro tips available for Soleno Therapeutics, which provide a deeper understanding of the company’s financial health and market conditions.

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