This New $7 Million Bet Targets a CNS Drug Maker With Phase 3 Trial Underway and 27% Stock Gain

On February 17, 2026, Superstring Capital Management disclosed a new position in Axsome Therapeutics (NASDAQ:AXSM), acquiring 37,433 shares worth $6.84 million in the fourth quarter.

What happened

According to a Securities and Exchange Commission (SEC) filing dated February 17, 2026, Superstring Capital Management initiated a new position in Axsome Therapeutics during the fourth quarter of 2025. The fund bought 37,433 shares worth $6.84 million at quarter’s end.

What else to know

• This new position represents nearly 4% of Superstring Capital Management LP’s 13F assets under management at quarter’s end.
• Top holdings after the filing:
  • NASDAQ: CDTX: $18.80 million (10.1% of AUM)
  • NASDAQ: TERN: $17.93 million (9.6% of AUM)
  • NASDAQ: URGN: $16.82 million (9.0% of AUM)
  • NASDAQ: COGT: $13.01 million (7.0% of AUM)
  • NASDAQ: DVAX: $8.08 million (4.3% of AUM)
• As of Wednesday, shares of Axsome Therapeutics were priced at $158.40, up 27% over the past year and well outperforming the S&P 500’s roughly 19% gain in the same period.

Company overview

Company snapshot

• Axsome Therapeutics develops and commercializes novel therapies targeting central nervous system (CNS) disorders, with a pipeline including AXS-05 for major depressive disorder and Alzheimer’s disease agitation, AXS-07 for migraine, AXS-12 for narcolepsy, and AXS-14 for fibromyalgia.
• The company’s business model centers on proprietary drug development, advancing candidates through clinical trials and regulatory approval, and generating revenue from product sales and potential licensing agreements.
• Axsome primarily serves healthcare providers and patients in the United States, focusing on unmet medical needs within neurology and psychiatry.

Axsome Therapeutics is a clinical-stage biopharmaceutical company specializing in CNS disorder therapeutics. The company differentiates itself through a robust late-stage pipeline and a focus on addressing major gaps in neuropsychiatric and neurological care. This strategy positions Axsome to capture significant market opportunities as its therapies advance toward regulatory approval and commercialization.

What this transaction means for investors

This move is interesting because it shifts exposure toward a company that is already generating revenue and not just chasing clinical milestones, adding a different risk profile to a portfolio dominated by earlier-stage biotech bets.

Axsome already has commercial products on the market, including therapies for depression, migraine, and sleep disorders, which help fund its pipeline and reduce near-term financing risk. That stands in contrast to other positions that are still fully dependent on trial outcomes.

At the same time, growth still hinges on execution. The company recently initiated a Phase 3 trial for solriamfetol targeting major depressive disorder with excessive daytime sleepiness, a segment affecting millions of patients with no approved treatments today. That trial adds another potential label expansion opportunity on top of an already broad CNS pipeline.

With the firm advancing its pipeline and posting $638.5 million of full-year revenue, up 66% from 2024, it’s no surprise that a fund like Superstring would step in with bullishness.

Jonathan Ponciano has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Axsome Therapeutics. The Motley Fool has a disclosure policy.