Avalo Therapeutics Stock Rises Premarket Ahead Of Oppenheimer Call On Lead Hidradenitis Drug

• Retail chatter around Avalo rose ahead of an Oppenheimer conference call set to discuss its lead hidradenitis suppurativa drug, AVTX-009, now in a mid-stage trial with topline results expected in 2026.
• Analysts at H.C. Wainwright, Oppenheimer, TD Cowen, and Cantor Fitzgerald maintain bullish views on Avalo, with price targets ranging from $25 to $35 and expectations that AVTX-009 could outperform AbbVie’s rival therapy.
• On Stocktwits, sentiment turned ‘extremely bullish’ as message activity surged; users highlighted fresh opportunities and long-term upside.

Shares of Avalo Therapeutics gained 0.4% in premarket trading on Wednesday amid upbeat investor sentiment ahead of an Oppenheimer analyst call focused on its lead drug candidate, AVTX-009, for hidradenitis suppurativa. The stock is currently trading at a nearly 18-month high. 

Pipeline And Trial Progress

Earlier this month, Avalo said it had dosed the first patient in the LOTUS study. The randomized, double-blind, placebo-controlled trial is testing two dosing regimens of AVTX-009, with top-line results expected in 2026.

The study’s primary endpoint is the proportion of patients achieving HiSCR75, a 75% reduction in abscess and nodule count at week 16, while secondary measures include HiSCR50 and HiSCR90 response rates, improvements in skin pain and lesion severity, and safety outcomes.

AVTX-009 targets interleukin-1β, a cytokine involved in the inflammatory cascade driving HS and several other autoimmune diseases. The drug’s mechanism builds on clinical validation seen with other IL-1 inhibitors and aims to deliver higher potency and longer durability.

Analyst Views 

Avalo has drawn attention from multiple brokerages since restarting its HS program this year.

In September, H.C. Wainwright raised its price target on Avalo Therapeutics to $25 from $15 and reiterated a ‘Buy’ rating, saying AbbVie’s latest hidradenitis suppurativa data validated the IL-1 pathway but capped efficacy at 45%–50% HiSCR75.

Earlier that month, Oppenheimer recommended investors be buyers of Avalo shares ahead of lutikizumab’s open-label Phase 2 data, forecasting “strong results” and expecting AVTX-009, with multiple advantages over lutikizumab, to deliver “at least as good as, and potentially better, efficacy” when LOTUS trial results are read out in mid-2026. The firm maintained an ‘Outperform’ rating and a $35 price target.

Separately, TD Cowen initiated coverage with a ‘Buy’ rating, citing AVTX-009’s Phase 2 study in hidradenitis suppurativa and highlighting the high unmet need in a heterogeneous patient population, estimating over $1 billion sales potential. 

Cantor Fitzgerald also began coverage with an ‘Overweight’ rating, describing Avalo as a clinical-stage biotech focused on autoimmune diseases and noting that AVTX-009, an IL-1N2 antibody, is expected to have a mid-2026 readout.

Stocktwits Traders See Long-Term Upside

On Stocktwits, retail sentiment for Avalo was ‘extremely bullish’ amid a 20% surge in 24-hour message volume.

One user noted that the setup still offered opportunities and encouraged others to stay tuned.

Another user suggested that Avalo looked like a strong buy and could deliver twentyfold returns for investors willing to hold long term.

Avalo’s stock has more than doubled so far in 2025.

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

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