Shares of Vanda Pharmaceuticals Inc. (VNDA) moved higher on Tuesday after the company got some good news from the Food and Drug Administration. The agency approved Bysanti, Vanda's new oral treatment for bipolar I disorder and schizophrenia.

This isn't just another drug approval—it's a pretty big deal for Vanda. Bysanti is cleared as a first-line therapy, meaning doctors can prescribe it right off the bat for adults dealing with manic or mixed episodes tied to bipolar I disorder, or for schizophrenia. Think of it as moving to the front of the treatment line.

Here's where it gets interesting from a business perspective: Bysanti is bioequivalent to iloperidone. In plain English, that means it works the same way in the body as the active ingredient in Vanda's existing drug, Fanapt. So, Vanda gets to leverage all the clinical data and safety profile already established for Fanapt, which reportedly racked up net product sales of $33.2 million in the fourth quarter of 2025. That was a 25% jump year-over-year, by the way.

Vanda isn't stopping there. The company is also exploring whether Bysanti could help treat major depressive disorder. Clinical studies for that potential use are ongoing and expected to wrap up by the end of this year. If successful, that would open up another significant market.

On the commercial side, the plan is to have Bysanti available for patients in the third quarter of 2026. And here's a number that gets any biotech investor's attention: marketing exclusivity could be protected until 2044. That's a long runway.

Now, let's talk about the stock itself. From a technical standpoint, things look a bit mixed. The stock is trading below its key moving averages—5.5% under the 20-day simple moving average and 10.2% under the 100-day SMA—which suggests some short-term weakness. Over the past year, though, shares are up 25% and are sitting closer to their 52-week highs than lows.

The Relative Strength Index (RSI) is sitting right at 50.00, which is the neutral zone. It's not screaming "overbought" or "oversold." Meanwhile, the MACD is at 0.10, which is below its signal line of 0.15. That's typically read as a bearish signal. So you've got neutral momentum from the RSI but bearish pressure from the MACD—a bit of a mixed bag that suggests traders should probably be cautious here.

Key levels to watch? Resistance around $9.00 and support near $7.50.

At the time of publication, Vanda Pharmaceuticals shares were up 1.66% at $8.28.