San Francisco – September 10, 2026 -- Hagens Berman Sobol Shapiro LLP has opened an investigation into Aardvark Therapeutics, Inc. (NASDAQ: AARD) over allegations that the company misled investors about the safety of its lead drug candidate ARD-101, ahead of an October 13, 2026 deadline for shareholders to seek lead plaintiff status in a pending securities class action.
Investors who bought Aardvark stock between February 13, 2025 and May 14, 2026 are covered by the class period
The lawsuit targets purchasers who acquired shares pursuant to Aardvark's February 13, 2025 initial public offering, as well as those who bought securities through May 14, 2026. The complaint alleges the company's offering documents failed to disclose that ARD-101 was significantly less safe than represented, including reversible cardiac observations such as QRS prolongation at above-target doses during clinical trials.
Aardvark's stock lost more than half its value after disclosing a trial pause in February 2026
On February 27, 2026, Aardvark voluntarily paused its Phase 3 Hunger Elimination or Reduction Objective (HERO) trial for ARD-101 after identifying reversible cardiac observations during routine safety monitoring in a healthy volunteer study. The stock dropped more than 56% on the news.
FDA imposed a full clinical hold on ARD-101 in May 2026, triggering a further 32.1% stock decline
On May 14, 2026, the U.S. Food and Drug Administration placed a full clinical hold on Aardvark's investigational new drug application for ARD-101, halting all ongoing studies under the IND, including the Phase 3 HERO trial and its open-label extension. Aardvark shares fell an additional 32.1% following the disclosure.
Complaint alleges Aardvark overstated ARD-101's commercial prospects for treating hyperphagia in Prader-Willi Syndrome
ARD-101 is a small-molecule therapy targeting bitter taste receptors (TAS2Rs), developed by Aardvark to treat hyperphagia associated with Prader-Willi Syndrome. The class action alleges that defendants materially overstated the drug's clinical, regulatory and commercial prospects given the undisclosed cardiac safety signals.
Hagens Berman partner Reed Kathrein is leading the firm's inquiry into disclosure practices
"We're investigating the suit's allegations, including that Aardvark allegedly misled investors about ARD-101's development, its safety and efficacy," said Reed Kathrein, the Hagens Berman partner leading the investigation.
Affected shareholders have until October 13, 2026, to petition the court for appointment as lead plaintiff in the class action.