Alto Neuroscience Investors Sue Company Over Misled Investors About Drug Candidate's Effectiveness

Alto Neuroscience, Inc. is facing a class action lawsuit for allegedly misleading investors about the viability of its drug candidate, ALTO-100. The complaint alleges that the company's initial public offering documents were negligently prepared and that defendants failed to disclose that ALTO-100 was less effective in treating major depressive disorder than claimed. As a result, the stock price fell significantly after the company announced topline results from a Phase 2b trial. Shareholders who purchased or acquired Alto securities during the relevant period may be eligible to participate in the class action and seek lead plaintiff status.

Alto Neuroscience, Inc. (NYSE: ANRO), a clinical-stage biopharmaceutical company, is facing a class action lawsuit alleging that the company misled investors about the effectiveness of its drug candidate, ALTO-100. The complaint, filed by the Gross Law Firm, claims that the company's initial public offering (IPO) documents were negligently prepared and that defendants failed to disclose that ALTO-100 was less effective in treating major depressive disorder than claimed [1].

The lawsuit alleges that during the class period from February 2, 2024, to October 22, 2024, Defendants issued materially false and/or misleading statements and/or failed to disclose that ALTO-100's clinical, regulatory, and commercial prospects were overstated. Consequently, the company's business and/or financial prospects were overstated, leading to the artificial inflation of its stock price [1].

The announcement of topline results from a Phase 2b trial for ALTO-100 significantly impacted the company's stock price. Shareholders who purchased or acquired Alto securities during the relevant period may be eligible to participate in the class action and seek lead plaintiff status [1].

The Gross Law Firm, a nationally recognized class action law firm, is representing shareholders in this case. The firm's mission is to protect the rights of investors who have suffered losses due to deceit, fraud, and illegal business practices. The firm encourages shareholders to contact them to learn more about possible lead plaintiff appointment [1].

Shareholders are urged to register for the class action by September 19, 2025. Once registered, they will be enrolled in a portfolio monitoring software to provide status updates throughout the lifecycle of the case. There is no cost or obligation to participate in this case [1].

References:
[1] https://www.globenewswire.com/news-release/2025/07/30/3124477/0/en/Shareholders-that-lost-money-on-Alto-Neuroscience-Inc-ANRO-Urged-to-Join-Class-Action-Contact-The-Gross-Law-Firm-to-Learn-More.html