New York, Feb 23, 2026, 05:01 EST — Premarket
- Vanda shares jumped roughly 33% ahead of the open, hanging on to the bulk of Friday’s surge after the approval.
- Late Friday, the FDA gave the green light to Bysanti, Vanda’s latest antipsychotic pill.
- Traders are watching how the launch unfolds and questioning if the drug will actually stand apart from Fanapt and a packed field of competitors.
Shares of Vanda Pharmaceuticals (VNDA.O) jumped roughly 33% to $7.68 in premarket trading Monday, following a late FDA approval announced Friday that triggered a surge after hours. (Source: https://public.com/stocks/vnda/pre-market)
Early momentum shifted attention to the rally’s staying power at the open. Before the news broke after hours, VNDA dropped 5.5% during Friday’s regular session.
Investors are watching Vanda after the approval, since the company finally has a commercial trigger close at hand—no more waiting for remote trial data. The key now: how quickly scripts materialize post-launch, and whether the recent jump was just shorts getting squeezed.
Vanda on Friday announced its antipsychotic pill Bysanti got the green light from the U.S. Food and Drug Administration for use in schizophrenia and acute bipolar I disorder. These types of drugs target brain receptors for dopamine and serotonin—key players in mood and behavior. (Source: https://www.reuters.com/business/healthcare-pharmaceuticals/us-fda-approves-vandas-psychiatric-drug-2026-02-20/)
Vanda CEO Mihael H. Polymeropoulos called the BYSANTI approval “a significant step forward” in a statement, highlighting that it delivers a “reliable new treatment” backed by the company’s clinical research. Vanda is targeting commercial rollout in the third quarter of 2026. (Source: https://www.prnewswire.com/news-releases/vanda-pharmaceuticals-announces-fda-approval-of-bysanti-milsaperidone-for-the-treatment-of-bipolar-i-disorder-and-schizophrenia—a-new-chemical-entity-opening-new-horizons-in-psychiatric-innovation-302693941.html)
Bysanti is milsaperidone. According to the company, it’s bioequivalent to iloperidone across the full therapeutic dosing range—a notable detail, since Vanda already markets iloperidone under the Fanapt brand. That connection might ease the path to commercialization, though it raises issues about how Bysanti might stand out.
Jefferies analyst Andrew Tsai, ahead of the decision, pointed out that Bysanti is “essentially more or less the same drug” as Fanapt, sharing comparable efficacy and safety profiles. Tsai also noted the potential arrival of Fanapt generics as early as late 2027 or 2028, which could squeeze prices and soften demand.
Bysanti steps into territory already staked out by Bristol Myers Squibb’s (BMY.N) Cobenfy for schizophrenia and Johnson & Johnson’s (JNJ.N) Caplyta, which holds approvals for both schizophrenia and bipolar depression. On Monday, eyes turn to Vanda as traders gauge if the company can grab market share without slashing prices.
Still, approval doesn’t guarantee a hassle-free launch. Antipsychotics like Vanda’s come with baggage: the FDA’s boxed warning about higher death risk in elderly patients with dementia-related psychosis is right there on the label. That kind of language tends to hang over doctors’ and insurers’ heads when it comes to prescribing or coverage.
Investors want details on launch timing, pricing, and insurance as the third quarter nears. Vanda, for its part, noted an adjunctive trial in treatment-resistant major depressive disorder should finish by the end of 2026, meaning another data update is likely later this year.
