Alpha Cognition Inc. Common Stock (ACOG): A Bull Case Theory

We came across a bullish thesis on Alpha Cognition Inc. Common Stock (ACOG) by anygal on r/investing on Reddit. In this article, we will summarize the bulls’ thesis on ACOG. Alpha Cognition Inc. Common Stock (ACOG)’s share was trading at $9.33 as of 30^th May. ACOG’s forward P/E was 26.88 according to Yahoo Finance.

Alpha Cognition Inc. (NASDAQ: ACOG) represents a potentially overlooked opportunity in the Alzheimer’s treatment space, having recently launched its oral drug, Zunveyl, at the end of March. With a current market cap of $150 million and $45 million in cash, the company is targeting the underserved segment of the Alzheimer’s population—specifically, the 50% of patients in long-term care (LTC) not taking any current medications due to severe side effects.

Unlike other galantamine-based drugs, Zunveyl significantly slows disease progression and improves short-term memory with a markedly better safety profile—only one serious side-effect case was reported in its Phase 3 trials, versus a 50% rate seen in traditional options. The drug’s Medicare coverage further eases affordability, lowering monthly out-of-pocket costs to $30–$190. Initial demand appears promising, with nearly 500 patients starting treatment in the first two weeks of launch.

Even a modest 1% market penetration into the LTC segment could yield $135 million in annual revenue, with $67.5 million in net income assuming 50% margins. A 5% penetration would put net income at $675 million, dwarfing the current valuation. Alpha Cognition has also secured a distribution deal with a major Chinese pharmaceutical firm, creating a royalty-based revenue stream in Asia.

While the upside is substantial, key risks remain—most notably, the emergence of unforeseen serious side effects post-launch, which could lead to FDA scrutiny or suspension of sales. Still, the market’s underreaction and the company’s positioning as a safer, effective alternative in a high-need space make ACOG a high-upside, high-conviction bet for risk-tolerant investors.

Previously, we have covered ACOG in March 2025 wherein we summarized a bullish thesis by BullishDoctor on Twitter. The user highlighted that Alpha Cognition Inc.’s drug ZUNVEYL addressed the major side effects of existing Alzheimer’s treatments, making it highly tolerable and poised for adoption in long-term care facilities, a $2 billion market. The company was pre-revenue but launched in March 2025 with strong physician support, a nearly complete sales force, and promising catalysts like a Phase 4 study and sublingual formulation, projecting breakeven within three years. Since our last coverage, the stock is up 61% as of 30^th May.

Alpha Cognition Inc. Common Stock (ACOG) is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 8 hedge fund portfolios held ACOG at the end of the first quarter which was 10 in the previous quarter. While we acknowledge the potential of ACOG as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

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Disclosure: None. This article was originally published at Insider Monkey.