Here’s Why H.C. Wainwright Remains a Buy on Vanda Pharmaceuticals (VNDA)

Vanda Pharmaceuticals Inc. (NASDAQ:VNDA) is one of the Best Small-Cap Growth Stocks to Invest In Now. Recently, on June 4, H.C. Wainwright  reiterated a Buy rating on Vanda Pharmaceuticals Inc. (NASDAQ:VNDA) with a price target of $21.

​The rating is based on an update through a Federal Register notice on the company’s regulatory situation. The company is seeking approval from the FDA for a drug called HETLIOZ as a treatment for jet lag. However, the FDA didn’t approve the drug initially. The company disagreed and asked for a formal hearing to argue its case. The FDA agreed to give them one. This is a big deal because this kind of hearing hasn’t happened for any drug in over 40 years.

​The notice sets a pre-hearing conference for July 20, 2026, where the FDA will schedule a formal evidentiary public hearing regarding its proposal to refuse approval of Vanda’s supplemental application for HETLIOZ.

The hearing was granted by the FDA in March 2026, and H.C. Wainwright expects the actual hearing to occur before year-end. The analyst highlighted a key opportunity, noting that although generic tasimelteon already exists on the market, securing this new jet lag indication could let Vanda generate branded prescription sales largely insulated from generic competition.

Vanda Pharmaceuticals Inc. (NASDAQ:VNDA) is a biopharmaceutical company focused on developing and selling therapies for unmet medical needs.

While we acknowledge the risk and potential of VNDA as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than VNDA and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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