A drug repositioning screen of an FDA-approved library of approximately 3000 compounds identified honokiol as an effective anti-NAFLD candidate in preclinical in vitro and in vivo models. Honokiol directly binds to the AMPKγ1 subunit to activate AMPK signaling, inhibiting metabolic syndrome and NAFLD progression including hepatic steatosis, liver fibrosis, adipose inflammation, and insulin resistance.