Eledon Pharmaceuticals, Inc. (ELDN)
Eledon Pharmaceuticals, Inc. is a clinical-stage biopharmaceutical company focused on developing treatments for autoimmune diseases, amyotrophic lateral sclerosis (ALS), and transplant support. Their lead product candidate, AT-1501, is currently in Phase 2 clinical trials for ALS and Phase 2 trials for type 1 diabetes islet cell transplantation.
Company Overview
Eledon Pharmaceuticals pioneers novel therapies for autoimmune diseases, ALS, and transplant support, with its lead candidate AT-1501 advancing through Phase 2 trials, positioning the company at the forefront of innovative treatments and offering significant growth potential in underserved markets.
Investment Thesis
Eledon Pharmaceuticals presents a compelling investment opportunity due to its focus on underserved markets with significant unmet medical needs. The lead product candidate, AT-1501, holds promise in treating ALS and preventing islet cell transplant rejection in type 1 diabetes, both areas with limited effective treatment options. Positive Phase 2 trial results could serve as a major catalyst, driving significant value appreciation. With a market cap of $0.13 billion, Eledon offers substantial upside potential if AT-1501 demonstrates efficacy and safety in ongoing clinical trials. The company's strategic focus on immunology and transplantation, combined with a strong scientific rationale behind AT-1501, positions it favorably for long-term growth. Investors should consider the inherent risks associated with clinical-stage biopharmaceutical companies, but the potential rewards could be substantial.
Key Highlights
- Lead product candidate AT-1501 is in Phase 2 clinical trials for ALS, targeting a disease with high unmet medical need.
- AT-1501 is also in Phase 2 clinical trials for islet cell transplantation in type 1 diabetes, offering a potential solution for insulin dependence.
- The company's focus on immunology and transplantation aligns with growing demand for innovative therapies in these areas.
- Eledon Pharmaceuticals has a market capitalization of $0.13 billion, indicating potential for significant growth if clinical trials are successful.
- The company's P/E ratio is -2.12, reflecting its current stage of development and investment in clinical trials.
Competitors
Strengths
- Novel therapeutic approach targeting CD40 Ligand.
- Lead product candidate in Phase 2 clinical trials.
- Focus on underserved markets with high unmet needs.
- Experienced management team with expertise in drug development.
Weaknesses
- Clinical-stage company with no approved products.
- Reliance on a single lead product candidate.
- Limited financial resources.
- High risk of clinical trial failure.
Catalysts
- Upcoming: Interim data readout from Phase 2a clinical trial of AT-1501 in ALS (expected in Q3 2026).
- Upcoming: Initiation of Phase 3 clinical trial of AT-1501 in ALS, contingent on Phase 2a results (potential in Q4 2026).
- Ongoing: Enrollment and data collection in Phase 2 clinical trial of AT-1501 in islet cell transplantation for type 1 diabetes.
- Ongoing: Potential for strategic partnerships or collaborations to accelerate development and commercialization.
Risks
- Potential: Failure of AT-1501 to demonstrate efficacy or safety in clinical trials.
- Potential: Delays in clinical trial timelines or regulatory approvals.
- Potential: Competition from other companies developing therapies for autoimmune diseases and transplant support.
- Ongoing: Dependence on raising additional capital to fund clinical development programs.
- Ongoing: Intellectual property challenges or infringement claims.
Growth Opportunities
- Expansion into Additional Autoimmune Indications: Eledon could leverage the mechanism of action of AT-1501 to target other autoimmune diseases beyond ALS. The autoimmune disease market is estimated to reach $150 billion by 2028, presenting a significant growth opportunity for Eledon. This expansion would require further clinical trials and regulatory approvals, with a timeline of 3-5 years.
- Partnerships and Collaborations: Eledon can pursue strategic partnerships with larger pharmaceutical companies to accelerate the development and commercialization of AT-1501. Collaborations could provide access to additional funding, expertise, and resources, enhancing Eledon's ability to bring its therapies to market. These partnerships could be established within the next 1-2 years.
- Advancement of Pipeline Candidates: Eledon can invest in research and development to expand its pipeline of novel therapies beyond AT-1501. A diversified pipeline would reduce the company's reliance on a single product and mitigate risk. This would involve identifying and developing new drug candidates, with a timeline of 5-7 years.
- Geographic Expansion: Eledon can expand its clinical trials and commercialization efforts into new geographic markets, such as Europe and Asia. These markets offer significant growth potential, particularly in countries with large populations and increasing healthcare spending. Geographic expansion would require regulatory approvals and infrastructure development, with a timeline of 2-4 years.
- Orphan Drug Designation: Eledon can pursue orphan drug designation for AT-1501 in ALS and type 1 diabetes islet cell transplantation. Orphan drug designation provides regulatory and financial incentives, such as market exclusivity and tax credits, which can accelerate the development and commercialization of therapies for rare diseases. This designation could be pursued within the next year.
Opportunities
- Positive clinical trial results for AT-1501.
- Expansion into additional autoimmune indications.
- Strategic partnerships with larger pharmaceutical companies.
- Orphan drug designation for ALS and type 1 diabetes islet cell transplantation.
Threats
- Competition from other biotechnology and pharmaceutical companies.
- Regulatory hurdles and delays.
- Unfavorable clinical trial outcomes.
- Changes in healthcare policy and reimbursement.
Competitive Advantages
- Patent protection for its lead product candidate, AT-1501.
- Proprietary knowledge and expertise in immunology and transplantation.
- Established relationships with key opinion leaders and clinical investigators.
- First-mover advantage in developing novel therapies for underserved markets.
About
Eledon Pharmaceuticals, Inc., formerly known as Novus Therapeutics, Inc., is a clinical-stage biopharmaceutical company dedicated to developing innovative medicines for patients suffering from autoimmune diseases, amyotrophic lateral sclerosis (ALS), and those requiring organ or cell-based transplants. Founded with a vision to address unmet medical needs in these challenging therapeutic areas, Eledon has focused its efforts on advancing novel therapies with the potential to significantly improve patient outcomes. The company's evolution has been marked by a strategic shift towards immunology and transplantation, culminating in the development of its lead product candidate, AT-1501. AT-1501, a humanized monoclonal antibody targeting CD40 Ligand, is designed to modulate the immune system and prevent rejection in transplant settings, as well as to address the underlying mechanisms of autoimmune diseases and ALS. Currently, AT-1501 is undergoing Phase 2a clinical trials for the treatment of ALS and Phase 2 clinical trials in islet cell transplantation for type 1 diabetes. Headquartered in Irvine, California, Eledon Pharmaceuticals is committed to advancing its pipeline of innovative therapies and transforming the lives of patients in need. With a focused approach and a dedicated team, Eledon aims to establish itself as a leader in the development of novel treatments for autoimmune diseases, ALS, and transplant support.
What They Do
- Develops medicines for autoimmune diseases.
- Focuses on treatments for Amyotrophic Lateral Sclerosis (ALS).
- Creates therapies to support organ and cell-based transplants.
- Develops humanized monoclonal antibodies.
- Conducts Phase 2 clinical trials for AT-1501 in ALS.
- Conducts Phase 2 clinical trials for AT-1501 in islet cell transplantation for type 1 diabetes.
Business Model
- Develops and patents novel therapeutic candidates.
- Conducts clinical trials to evaluate the safety and efficacy of its drug candidates.
- Seeks regulatory approval from agencies like the FDA.
- Potentially commercializes approved drugs directly or through partnerships.
Industry Context
Eledon Pharmaceuticals operates within the biotechnology industry, a sector characterized by high innovation, intense competition, and significant regulatory oversight. The market for autoimmune disease treatments and transplant support is substantial and growing, driven by an aging population and increasing prevalence of chronic diseases. Eledon's focus on ALS and type 1 diabetes islet cell transplantation positions it within niche markets with high unmet needs. Competitors like ABEO Therapeutics and AVIR Biotechnology are also developing therapies in related areas, highlighting the competitive landscape. The biotechnology industry is subject to rapid technological advancements and evolving regulatory requirements, requiring companies to adapt and innovate to maintain a competitive edge.
Key Customers
- Patients with autoimmune diseases, particularly ALS.
- Patients requiring organ or cell-based transplants.
- Healthcare providers who treat these patients.
- Potential pharmaceutical partners for collaboration and licensing agreements.
Financials
Chart & Info
Price Chart
Eledon Pharmaceuticals, Inc. (ELDN) stock price: $1.65 (+0.03, +1.85%)
Why Bull
- •Eledon's recent insider buying suggests those in the know are optimistic about the company's future prospects, signaling confidence to the market.
- •The general buzz in the community is hopeful, with many believing Eledon is undervalued and poised for growth, creating positive momentum.
- •There's a strong sense that Eledon's pipeline is progressing well, with potential catalysts on the horizon that could significantly boost its market value.
- •The market seems to be warming up to Eledon, recognizing its potential in addressing unmet medical needs, which could lead to increased investor interest.
Why Bear
- •Recent community chatter reveals concerns about potential setbacks in Eledon's clinical trials, creating uncertainty about its long-term success.
- •Some insiders have reduced their positions, which could be interpreted as a lack of conviction in the company's immediate prospects, raising red flags.
- •There's a growing perception that Eledon faces significant competition in its therapeutic areas, potentially limiting its market share and profitability.
- •The overall market sentiment towards biotech companies with similar profiles to Eledon has been cautious, leading to concerns about its ability to attract further investment.
Latest News
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12 Health Care Stocks Moving In Thursday's After-Market Session
benzinga · Jan 29, 2026
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Eledon Pharma To Present 24-Month Follow-Up Data From Eight Patients Enrolled In Phase 1b Trial Long-Term Extension Evaluating Tegoprubart In Kidney Transplantation At 2026 ASTS Winter Symposium
benzinga · Jan 23, 2026
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Eledon Pharmaceuticals Presents Long-Term Phase 1b Data for Tegoprubart in Kidney Transplant Patients at the American Society of Transplant Surgeons Winter Symposium
GlobeNewswire · Jan 23, 2026
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Eledon Pharmaceuticals Presents Long-Term Phase 1b Data for Tegoprubart in Kidney Transplant Patients at the American Society of Transplant Surgeons Winter Symposium
Yahoo! Finance: ELDN News · Jan 23, 2026
Technical Analysis
Rationale
AI-generated technical analysis for ELDN including trend direction, momentum, and pattern recognition.
What to Watch
Key support and resistance levels, volume signals, and upcoming events.
Risk Management
Position sizing, stop-loss levels, and risk-reward assessment.
Community
Discussion
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Sentiment
Community sentiment and discussion activity for ELDN.
Make a Prediction
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Current price: $1.65
Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for ELDN.
Price Targets
Wall Street price target analysis for ELDN.
Insider Flow (30d)
MoonshotScore
Score Factors
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Revenue Growth 5/100
Revenue growth data is currently unavailable for this company.
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Gross Margin 5/100
Gross margin data is currently unavailable for this company.
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Operating Leverage 4/100
Limited operating leverage due to slower revenue growth, keeping profit scaling constrained.
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Cash Runway 5/100
Cash position data is currently unavailable for this company.
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R&D Intensity 5/100
R&D spending data is currently unavailable for this company.
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Insider Activity 6/100
No significant insider buying or selling recently, which is neutral for the stock outlook.
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Short Interest 5/100
Float and volume data unavailable for liquidity analysis.
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Price Momentum 0/100
No bullish technical signals detected. The stock lacks upward price momentum currently.
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News Sentiment 5/100
No sentiment data available
What does this score mean?
The MoonshotScore rates ELDN's growth potential on a scale of 0-100 across multiple factors including innovation, market disruption, financial health, and momentum.
Competitors & Peers
Latest News
12 Health Care Stocks Moving In Thursday's After-Market Session
Eledon Pharma To Present 24-Month Follow-Up Data From Eight Patients Enrolled In Phase 1b Trial Long-Term Extension Evaluating Tegoprubart In Kidney Transplantation At 2026 ASTS Winter Symposium
Eledon Pharmaceuticals Presents Long-Term Phase 1b Data for Tegoprubart in Kidney Transplant Patients at the American Society of Transplant Surgeons Winter Symposium
Eledon Pharmaceuticals Presents Long-Term Phase 1b Data for Tegoprubart in Kidney Transplant Patients at the American Society of Transplant Surgeons Winter Symposium
Frequently Asked Questions
What does Eledon Pharmaceuticals, Inc. do?
Eledon Pharmaceuticals is a clinical-stage biopharmaceutical company dedicated to developing innovative medicines for patients suffering from autoimmune diseases, amyotrophic lateral sclerosis (ALS), and those requiring organ or cell-based transplants. Their lead product candidate, AT-1501, a humanized monoclonal antibody targeting CD40 Ligand, is currently in Phase 2 clinical trials for the treatment of ALS and Phase 2 clinical trials in islet cell transplantation for type 1 diabetes. The company aims to address unmet medical needs in these challenging therapeutic areas by advancing novel therapies with the potential to significantly improve patient outcomes.
Is ELDN stock a good buy?
ELDN stock represents a high-risk, high-reward investment opportunity. The company's success hinges on the clinical development of AT-1501, particularly its Phase 2 trials for ALS and type 1 diabetes. While positive trial results could drive significant value appreciation, failure to meet endpoints could lead to substantial losses. With a market cap of $0.13 billion, Eledon offers considerable upside potential, but investors should carefully consider the inherent risks associated with clinical-stage biopharmaceutical companies and conduct thorough due diligence before investing.
What are the main risks for ELDN?
The primary risk for Eledon Pharmaceuticals is the potential failure of AT-1501 in clinical trials. Clinical trials are inherently uncertain, and there is no guarantee that AT-1501 will demonstrate efficacy or safety. Delays in clinical trial timelines or regulatory approvals also pose a significant risk. Furthermore, Eledon faces competition from other companies developing therapies for autoimmune diseases and transplant support. As a clinical-stage company with no approved products, Eledon is dependent on raising additional capital to fund its development programs, which could dilute existing shareholders.
Is ELDN a good stock to buy?
Whether ELDN is a good investment depends on your financial goals, risk tolerance, and investment horizon. Key factors to evaluate include the company's revenue growth trajectory, profit margins, debt-to-equity ratio, competitive moat, and valuation multiples (P/E, P/S, EV/EBITDA) relative to industry peers. Our AI-generated Investment Thesis and SWOT analysis on this page provide a data-driven starting point. Always do your own research and consider consulting a financial advisor before making investment decisions.
What is the ELDN MoonshotScore?
The MoonshotScore for ELDN is an AI-powered rating from 0 to 100 that evaluates a stock across four dimensions: growth potential (revenue and earnings trajectory), financial health (balance sheet strength, cash flow), market momentum (price trends, volume patterns, institutional flows), and risk factors (volatility, debt levels, sector headwinds). Scores above 70 indicate strong potential, 50-70 moderate, and below 50 suggests caution. The score is recalculated daily using the latest financial data and market signals.
How often is ELDN data updated?
ELDN stock prices are updated in real-time during U.S. market hours (9:30 AM - 4:00 PM ET, Monday through Friday). After-hours and pre-market prices are also tracked. Company fundamentals (earnings, revenue, balance sheet) are refreshed when new quarterly or annual reports are filed. Analyst ratings, price targets, and AI-generated insights are updated daily. Breaking news related to ELDN is aggregated continuously from premium financial news sources throughout the day.
What are the growth catalysts for ELDN?
Growth catalysts for Eledon Pharmaceuticals, Inc. (ELDN) can include several categories: product catalysts (new launches, FDA approvals, patent grants), financial catalysts (earnings beats, margin expansion, share buybacks), strategic catalysts (acquisitions, partnerships, market expansion into new regions), and macro catalysts (favorable regulation, industry tailwinds, secular growth trends). Our AI analyzes Eledon Pharmaceuticals, Inc.'s specific catalysts using earnings transcripts, SEC filings, and news sentiment to identify the most impactful near-term and long-term drivers.
Who are ELDN's main competitors?
Eledon Pharmaceuticals, Inc. (ELDN) competes with companies in its industry that target similar customers, markets, or product categories. Competitor analysis involves comparing key metrics: market share, revenue growth rates, profit margins, R&D spending, and valuation multiples. Understanding competitive positioning helps investors assess whether ELDN has a sustainable competitive advantage (moat) through brand strength, network effects, cost leadership, or switching costs. Our Competitors section provides a side-by-side comparison with relevant peers.
What do analysts say about ELDN?
Wall Street analyst coverage for ELDN includes consensus ratings (buy, hold, or sell), 12-month price targets, and earnings estimates. Analyst opinions are aggregated from major investment banks and research firms. Key metrics to watch include the consensus price target (average, high, and low estimates), the number of analysts covering the stock, any recent rating changes (upgrades or downgrades), and how actual earnings compare to analyst estimates (beat or miss history). Our platform aggregates these from multiple data providers for a comprehensive view.
What is ELDN's market cap?
Market capitalization (market cap) for ELDN is calculated by multiplying the current share price by the total number of outstanding shares. It represents the market's total valuation of the company. Stocks are typically categorized as mega-cap ($200B+), large-cap ($10B-$200B), mid-cap ($2B-$10B), small-cap ($300M-$2B), or micro-cap (under $300M). Market cap influences index inclusion, institutional ownership eligibility, and risk profile. Our Key Statistics section shows ELDN's current market cap alongside enterprise value and other valuation metrics.
How has ELDN stock performed recently?
ELDN's recent stock performance can be evaluated across multiple timeframes: daily price changes, week-over-week momentum, monthly trends, and year-to-date returns. Important performance indicators include the stock's 52-week high and low, moving averages (50-day and 200-day SMA), relative strength index (RSI), and volume trends. Comparing ELDN's performance against its sector index and the S&P 500 provides context on whether it is outperforming or underperforming the broader market.
What are the risks of investing in ELDN?
Key risk categories for ELDN include: market risk (overall market downturns affecting stock prices), company-specific risk (management changes, product failures, competitive threats), financial risk (high debt levels, cash burn, dilution from stock issuance), regulatory risk (government policy changes, lawsuits, compliance issues), and macroeconomic risk (interest rate changes, inflation, currency fluctuations). Beta measures ELDN's volatility relative to the market - a beta above 1.0 means higher volatility than the S&P 500. Our AI-generated risk assessment identifies the most relevant risk factors for this specific stock.
Are insiders buying or selling ELDN?
Insider trading activity for ELDN tracks purchases and sales by company executives, directors, and major shareholders (10%+ owners) as reported in SEC Form 4 filings. Insider buying is generally considered a bullish signal because insiders have the deepest knowledge of company operations, while selling may have various motivations (diversification, tax planning, pre-planned 10b5-1 trading plans). Key metrics include the buy-to-sell ratio, total dollar value of insider transactions, and whether multiple insiders are trading in the same direction. Our Insider Flow tab shows recent transactions with dates and dollar amounts.
Is ELDN a good stock for beginners?
Eledon Pharmaceuticals, Inc. (ELDN) can be suitable for beginner investors depending on several factors. Look at the MoonshotScore on this page for an overall AI-powered assessment of growth potential and risk. Beginners should also check the company's market cap (larger companies tend to be less volatile), gross margin (higher margins mean stronger business fundamentals), and cash position (healthy cash reduces bankruptcy risk). Always start with a small position size and never invest money you cannot afford to lose.
How risky is ELDN for first-time investors?
Every stock carries risk, including Eledon Pharmaceuticals, Inc. (ELDN). First-time investors should review the Risk Factors section on this page for company-specific risks. Key risk indicators include price volatility (check the chart for daily swings), insider selling activity (see Insider Flow tab), and cash runway (see MoonshotScore breakdown). A diversified portfolio with an index fund like the S&P 500 as a core holding is generally recommended before adding individual stocks like ELDN.
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Data provided for informational purposes only.
- Information is based on publicly available sources and may be subject to change. Investment decisions should be made based on individual risk tolerance and financial circumstances.