MLTX Stock Erases Most Of 2025 Loses As Wall Street, Retail Bets On FDA Feedback For Sonelokimab

The FDA said that the drug, which treats a chronic inflammatory skin disorder, could establish evidence without additional trials.

• On Wednesday, Goldman Sachs said that the firm believes Sonelokimab’s outlook has improved slightly due to its advancement into Phase 3 for palmoplantar pustulosis.
• Last week, the FDA said that MoonLake can establish the effectiveness of Sonelokimab, a drug used to treat hidradenitis suppurativa.
• In the last seven days, retail message volumes on the stock have jumped 13% on Stocktwits.

MoonLake Immunotherapeutics has attracted retail and Wall Street attention in the last week, with the company’s stock seeing a 54% surge since the positive regulatory feedback from the U.S. Food and Drug Administration (FDA) last week after a Type B meeting regarding sonelokimab.

The stock closed up 29% on Friday, hitting its best since June 2023, building on brokerage upgrades following the FDA feedback and adding on it, Goldman Sachs raised its price target on the stock to $10, up from $8, but downgraded it to 'sell' from 'neutral,' according to The Fly.

Last week, the FDA said that MoonLake can establish the effectiveness of sonelokimab (SLK), a drug used to treat hidradenitis suppurativa, which is a chronic inflammatory skin disorder, without additional trials. This news has helped reverse most of the losses from last year, the stock had fallen 76% in 2025.

Wall Street View

On Wednesday, Goldman Sachs said the firm believes sonelokimab’s outlook has improved slightly due to its advancement into Phase 3 for palmoplantar pustulosis, a benign, chronic, and often relapsing condition characterized by fluid-filled blisters on the palms and soles. This provides the company with another shot at the goal, but the firm continues to see high risk on its approvability in hidradenitis suppurativa.

The firm added that, given VELA-2's failure to meet its primary endpoint, it does not believe the FDA's procedural openness to a Biologic License Application review materially de-risks the probability of approval. The FDA said that the company can establish evidence using a Biologic License Application (BLA) supported by data from its existing VELA-1, VELA-2, and MIRA studies.

On Friday, H.C. Wainwright raised the firm's price target on MoonLake Immunotherapeutics to $32 from $26 and noted that the Type B meeting outcome delineates a path to registration.

What Is Retail Thinking?

Retail sentiment for MoonLake jumped to ‘extremely bullish’ from ‘neutral’ a month ago, with message volumes at ‘extremely high’ levels, according to data from Stocktwits.

In the last seven days, retail message volumes on Stocktwits have jumped 13%, and the stock's followers have spiked by more than 900%.

Shares of MoonLake Immunotherapeutics have lost 58% of their value in the last 12 months.

For updates and corrections, email newsroom[at]stocktwits[dot]com.<