Hagens Berman Files Securities Fraud Suit Against Aardvark Therapeutics
News related to:Aardvark Therapeutics Inc · 1 min read
SAN FRANCISCO, Sept. 15, 2026 /CourierPR/ -- A national shareholder rights firm, Hagens Berman Sobol Shapiro LLP, has filed a securities fraud class action lawsuit against Aardvark Therapeutics, Inc. (NASDAQ: AARD), on behalf of investors who purchased the company's stock between February 13, 2025, and May 14, 2026.
According to the lawsuit, Aardvark Therapeutics made materially false and misleading statements about its clinical-stage biopharmaceutical product, ARD-101, which is being developed for the treatment of hyperphagia in Prader-Willi Syndrome (PWS). The complaint alleges that the company failed to disclose critical information regarding the safety and efficacy of ARD-101.
Specifically, the lawsuit claims that the offering documents and defendants failed to disclose: - ARD-101 was significantly less safe than the company had led investors to believe. - Unexpected, reversible cardiac observations, such as QRS prolongation, occurred during trials at above-target doses. - As a result, Aardvark's clinical, regulatory, and commercial prospects, including the Phase 3 Hunger Elimination or Reduction Objective (HERO) trial and open-label extension (OLE), were materially overstated.
On May 14, 2026, the U.S. Food and Drug Administration (FDA) placed a full clinical hold on Aardvark's investigational new drug application (IND) for ARD-101, halting all ongoing studies under the IND, including the Phase 3 HERO trial and OLE. This further impacted the company's stock price, causing it to fall another 32.1%.
Investors who purchased Aardvark common stock during the class period are encouraged to contact the firm to discuss their legal rights and potential recovery options. The deadline to request appointment as lead plaintiff is October 13, 2026.
The lawsuit highlights the importance of transparency in the biopharmaceutical industry, where clinical trial outcomes can significantly impact investor confidence and stock performance. Investors are advised to stay informed and seek legal counsel if they believe they have been affected by the alleged misrepresentations.