Soleno Therapeutics, Inc. (NASDAQ:SLNO) Sees Large Drop in Short Interest

Key Points

• Short interest fell 31.4% in April to 5,800,217 shares (about 12.0% of the stock), leaving a short-interest ratio of just 0.5 days.
• Multiple law firms have filed or announced class-action lawsuits alleging securities-law violations for purchases between March–Nov 2025, and competing lead‑plaintiff motions with a May 5 deadline could accelerate filings and increase litigation and headline risk.
• Institutional investors hold 97.42% of the company's stock, with several large recent position increases by firms such as Avoro, JPMorgan and Schroder, signaling highly concentrated institutional ownership.

Soleno Therapeutics, Inc. (NASDAQ:SLNO - Get Free Report) saw a significant decline in short interest during the month of April. As of April 15th, there was short interest totaling 5,800,217 shares, a decline of 31.4% from the March 31st total of 8,451,042 shares. Based on an average trading volume of 11,599,210 shares, the short-interest ratio is presently 0.5 days. Approximately 12.0% of the shares of the stock are short sold.

Key Stories Impacting Soleno Therapeutics

Here are the key news stories impacting Soleno Therapeutics this week:

• Negative Sentiment: Multiple firms have announced a class action alleging securities law violations covering purchases between March–Nov 2025; the filings seek damages and could lead to costly litigation or settlement risk. Bronstein, Gewirtz & Grossman LLC Urges Soleno Therapeutics, Inc. Investors to Act: Class Action Filed Alleging Investor Harm
• Negative Sentiment: Portnoy Law Firm filed/announced a class action notice covering a similar class period and highlights the May 5 lead‑plaintiff deadline that could accelerate filings and media attention. Portnoy Law Firm Announces Class Action on Behalf of Soleno Therapeutics, Inc. Investors
• Negative Sentiment: The Gross Law Firm issued a notice reminding shareholders of the pending class action and the May 5 deadline, increasing outreach to potential lead plaintiffs. The Gross Law Firm Reminds Soleno Therapeutics, Inc. Investors of the Pending Class Action Lawsuit
• Negative Sentiment: Bernstein Liebhard and other firms report a securities‑fraud suit has been filed; overlapping complaints and competing lead‑plaintiff motions can prolong litigation and create headline risk. SHAREHOLDER ALERT Bernstein Liebhard LLP Announces A Securities Fraud Class Action Lawsuit Has Been Filed Against Soleno Therapeutics, Inc.
• Negative Sentiment: Hagens Berman and Levi & Korsinsky issued alerts alleging the company concealed commercial‑viability and adverse‑event risks — specific allegations that, if sustained, increase settlement exposure. SLNO 8‑DAY DEADLINE ALERT: Hagens Berman Alerts Soleno Therapeutics (SLNO) Investors SLNO Investor Alert: Soleno Therapeutics, Inc. Securities Fraud Lawsuit (Levi & Korsinsky)

Institutional Investors Weigh In On Soleno Therapeutics

Several institutional investors have recently modified their holdings of the business. JPMorgan Chase & Co. raised its position in shares of Soleno Therapeutics by 52.8% during the 3rd quarter. JPMorgan Chase & Co. now owns 407,444 shares of the company's stock valued at $27,543,000 after acquiring an additional 140,779 shares during the last quarter. Avoro Capital Advisors LLC boosted its position in shares of Soleno Therapeutics by 25.7% in the 3rd quarter. Avoro Capital Advisors LLC now owns 2,577,777 shares of the company's stock worth $174,258,000 after purchasing an additional 527,777 shares during the last quarter. Schroder Investment Management Group boosted its position in shares of Soleno Therapeutics by 1,554.9% in the 3rd quarter. Schroder Investment Management Group now owns 280,296 shares of the company's stock worth $19,105,000 after purchasing an additional 263,359 shares during the last quarter. Kingdon Capital Management L.L.C. acquired a new stake in shares of Soleno Therapeutics during the third quarter worth $20,348,000. Finally, Capital World Investors increased its holdings in Soleno Therapeutics by 34.1% in the third quarter. Capital World Investors now owns 824,514 shares of the company's stock valued at $55,737,000 after purchasing an additional 209,681 shares during the last quarter. Institutional investors and hedge funds own 97.42% of the company's stock.

Soleno Therapeutics Trading Up 0.0%

Shares of SLNO stock traded up $0.03 on Tuesday, reaching $52.78. 590,104 shares of the stock were exchanged, compared to its average volume of 2,997,080. The company has a debt-to-equity ratio of 0.11, a current ratio of 5.80 and a quick ratio of 5.55. Soleno Therapeutics has a one year low of $29.43 and a one year high of $90.32. The stock has a market cap of $2.72 billion, a PE ratio of 229.47 and a beta of -2.81. The stock has a 50 day moving average price of $41.62 and a 200 day moving average price of $46.88.

Soleno Therapeutics (NASDAQ:SLNO - Get Free Report) last posted its quarterly earnings results on Wednesday, February 25th. The company reported $0.80 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.64 by $0.16. The firm had revenue of $91.73 million during the quarter, compared to the consensus estimate of $88.55 million. Equities research analysts forecast that Soleno Therapeutics will post 3.67 EPS for the current fiscal year.

Analysts Set New Price Targets

A number of research firms recently commented on SLNO. Robert W. Baird lowered Soleno Therapeutics from a "strong-buy" rating to a "hold" rating in a research report on Monday, April 6th. Piper Sandler lowered Soleno Therapeutics from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, April 7th. Wolfe Research cut Soleno Therapeutics from an "outperform" rating to a "hold" rating in a report on Tuesday, April 7th. Wall Street Zen lowered Soleno Therapeutics from a "buy" rating to a "hold" rating in a research note on Sunday, March 22nd. Finally, Zacks Research cut Soleno Therapeutics from a "strong-buy" rating to a "hold" rating in a report on Tuesday, February 3rd. Three analysts have rated the stock with a Buy rating, nine have issued a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat, Soleno Therapeutics has an average rating of "Hold" and a consensus target price of $76.67.

Soleno Therapeutics Company Profile

Soleno Therapeutics, Inc is a clinical‐stage biopharmaceutical company focused on the development and commercialization of therapies for rare and orphan diseases. Headquartered in Redwood City, California, Soleno leverages a precision medicine approach to identify and advance small‐molecule treatments that address underlying genetic and metabolic dysfunctions. The company's scientific strategy centers on repurposing and reformulating existing compounds to maximize therapeutic benefit in underserved patient populations.

The company's lead candidate, diazoxide choline controlled release (DCCR), is being investigated for the treatment of Prader-Willi syndrome (PWS), a complex neurodevelopmental disorder characterized by insatiable appetite, hormonal imbalances and behavioral challenges.

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