Altimmune Sued Over Stock Drops on Doubts About Obesity Drug

Altimmune Inc. and its leadership overstated the competitive potential of its obesity drug candidate, an investor says in a proposed class action.

The stock price jolted downward 19% after a short-seller’s report in February and 12% after a media report in late April, shareholder Joseph Mogan says. He filed his suit Monday in the US District Court for the District of Maryland.

Altimmune’s lead drug candidate is pemvidutide, a GLP-1 agonist—the same type of drug as semaglutide, which is marketed as Ozempic and Wegovy, and tirzepatide, which is marketed as Mounjaro, Mogan says. It was developed for the treatment of ...