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StocksHigh Impact•13 February 2026•

1 min read

Vistagen Therapeutics Faces Class Action Lawsuit Over Failed Drug Trial, Stock Plummets

Fortified uniQure building, fences, caution tape, security cameras. FDA buildings, US flags, justice symbols. Charts on tablets and papers.

Vistagen Therapeutics, Inc. (NASDAQ: VTGN) is currently facing a class action securities lawsuit initiated by Levi & Korsinsky, LLP. The lawsuit alleges that Vistagen made misleading statements regarding its Phase 3 PALISADE-3 trial for fasedienol, a treatment for social anxiety disorder. This pivotal trial subsequently failed to meet its primary endpoint, leading to a dramatic market reaction. Following the announcement, the company's stock price plummeted by over 80%. Investors who incurred losses between April 1, 2024, and December 16, 2025, have until March 16, 2026, to apply for lead plaintiff status in the ongoing legal proceedings.