The shares have experienced a pullback in the past couple of weeks. No stock has unlimited upside potential. When a company's shares rise significantly during a short period, it makes sense to wonder whether it's still worth investing in, even if it boasts solid fundamentals: Overvalued stocks are much less likely to generate strong returns. That brings us to Summit Therapeutics (SMMT 1.50%), a drugmaker whose shares have skyrocketed by almost 700% since the year started (although that's down from a gain of ...

Viking Therapeutics - Viking is developing VK2735, a therapy for obesity, with phase 3 trials for the injectable formulation and phase 2 trials for the oral formulation soon to begin [3] - The anti-obesity medicine market is projected to reach $105 billion annually by 2030, with Viking aiming to capture a share of this growing market [5] - Viking has $942 million in cash, equivalents, and short-term investments as of Q2, with operating expenses of just over $34 million, ensuring sufficient funding for late-stage trials [6] - If VK2735 is approved, Viking could see significant returns, especially if it captures even 10% of the anti-obesity market [12] Summit Therapeutics - Summit is focused on commercializing ivonescimab, a biologic drug for non-small cell lung cancer (NSCLC), licensed from Akesobio [7] - The NSCLC drug market is expected to grow to $26 billion annually by 2032, up from $11.5 billion currently, with Summit aiming to carve out a niche with ivonescimab [9] - Summit has $326 million in cash, equivalents, and short-term investments as of Q2, and recently raised $235 million, providing ample capital to bring its advanced programs to market [10] - Summit's first two programs could hit the market within the next 3-4 years, with one receiving FDA Fast Track designation [10] Market Comparison - Viking is targeting the larger anti-obesity market ($105 billion by 2030), while Summit is focused on the smaller NSCLC market ($26 billion by 2032) [5][9] - Viking's internal R&D allows for further development of its candidates, while Summit relies on Akesobio's pipeline for future opportunities [12][13] - Viking is seen as a more appealing investment due to the larger market potential, despite being riskier without a collaborator like Akesobio [11][12]

It's easier to invest confidently when you know both the pros and the cons in full. Summit Therapeutics (SMMT 7.20%) is an exciting stock for many investors as its shares are up by 158% in the last three months alone. But, as wise investors know, recent price action is in no way a substitute for doing due diligence. And, given that this company doesn't yet have any revenue, the need to do some research and cover your bases is especially important. So with the spirit of delving a bit deeper in mind, let's lo ...

The investment bank analysts who follow these stocks think they can soar even further, with some caveats. Shares of Viking Therapeutics (VKTX 1.33%) and Summit Therapeutics (SMMT 2.58%) are crushing the market this year. Prices for both stocks have more than tripled in 2024 thanks to positive news flow for Viking's oral weight loss candidate and surprising results for Summit's cancer therapy hopeful. What goes up often comes down, but the investment bankers who follow these stocks expect further gains. Oppe ...

This company's promising cancer drug could challenge Merck's $25 billion crown jewel. The pharmaceutical industry is often about hitting home runs. Big pharmaceutical companies start small, and then a blockbuster product catapults them into the spotlight. Summit Therapeutics (SMMT 2.58%) has soared 1,000% over the past year on progress in developing a drug that could rival Merck's Keytruda, a product used to treat various cancers with over $25 billion in sales last year. Those who got in early have gotten r ...

Recent developments are forcing comparisons between these two drugmakers. Many pharmaceutical and biotech companies have one or a few main areas of expertise in which they develop and market their most important medicines. For Merck (MRK -1.70%), one of the most prominent companies in the business, that area is oncology. Merck is best known for its cancer drug Keytruda, which has been the best-selling medicine in the world since last year. It has several other cancer drugs in its portfolio although their sa ...

Its alliance with a successful foreign biotech could be decisive for the stock. Summit Therapeutics' (SMMT -8.44%) shares are up by more than 1,060% in the last 12 months, thanks to the market's exuberant reaction to the latest sets of clinical trial data produced by the company and its main collaborator. Now the question is whether Summit can continue wowing investors as its candidates approach their shot at commercialization. But you might look at its pipeline and conclude that the biotech is a one-trick ...

One of them is performing much better than the other this year. The market could potentially see the emergence of new biotech industry leaders. Since the year started, Viking Therapeutics (VKTX -1.11%) and Summit Therapeutics (SMMT -8.44%), two clinical-stage drugmakers, have seen their shares skyrocket. The reason? Both companies announced promising clinical progress for their leading pipeline candidates. While there's still some way to go before launching their products, it's hard to argue with the result ...

There's a lot of hope for ivonescimab, but are investors being a bit too bullish? If a company shows a lot of potential, investors are often willing to pay a premium and take on some risk in exchange for owning a piece of the business. And in some cases, those valuations can appear extreme, especially when you consider the risk that investors are taking on. One biotech company which may be the ultimate example of that right now is Summit Therapeutics (SMMT -2.02%). Its market capitalization eclipsed $23 bil ...

Find out why positive results from a Summit Therapeutics study keep pushing up BioNTech and Instil Bio stock. September has been an exciting time for investors with their fingers on the pulse of cancer drug development. In a nutshell, it looks like the world's top-selling cancer therapy could have a serious competitor. Sales of Keytruda from Merck reached $25 billion last year thanks to its position as a standard first line of treatment for most patients newly diagnosed with the most common form of lung can ...