•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
On March 2, 2026, investors in Aardvark Therapeutics (NASDAQ: AARD) saw the price of their shares fall sharply after the company announced it stopped its Phase 3 Hunger Elimination of Reduction Objective (“HERO”) trial evaluating ARD-101 as a treatment for hyperphagia in patients with Prader-Willi Syndrome (“PWS”). Shares dropped $7.02, a decline of 56%.
Following the announcement and the severe market response, national shareholder rights firm Hagens Berman opened an investigation into whether Aardvark may have misled investors in violation of federal securities laws. The firm encouraged investors who suffered substantial losses to submit their losses and urged people with non-public information to contact its attorneys.
The investigation centers on the propriety of Aardvark’s disclosures regarding ARD-101 safety and efficacy data, as well as disclosures related to communications with the FDA.
In prior communications, Aardvark emphasized that ARD-101 was a “first-in-class” drug and described its HERO trial enrollment and dosing approach as aligned with the FDA. The company said it started HERO patients aged 13 and older, moved to dosing patients aged 10 and older, and intended to dose patients as young as 4 years old.
Aardvark also told investors that ARD-101 had “a very tolerable safety profile.”
Investors’ expectations were disrupted on March 2, 2026, when Aardvark announced it was pausing the HERO trial. The company said the decision was based on a serious safety risk, citing “reversible cardiac observations.” It also stated it no longer anticipates announcing topline data from the HERO trial during the third quarter of 2026.
After the announcement, the stock fell by more than half. With the emergence of cardiac safety signals, the article says several analysts reportedly reduced or suspended price targets.
“We’re focused on whether Aardvark may have misled investors about ARD-101’s development, its safety and/or efficacy, and the company’s communications with the FDA,” said Reed Kathrein, the Hagens Berman partner leading the investigation.
The firm also referenced the SEC Whistleblower program, stating that whistleblowers who provide original information may receive rewards totaling up to 30% of any successful recovery made by the SEC.
Reed Kathrein: 844-916-0895
AARD@hbsslaw.com
Premium gym chains are entering a “golden era” that is ending or already in decline, as rising operating costs collide with shifting consumer preferences toward more flexible, community-based ways to exercise. Long-term memberships are shrinking, margins are pressured by higher rents and facility expenses, and competition from smaller, more personalized…
