Financial Performance - Viking Therapeutics reported a first-quarter 2025 loss of 41 cents per share, which is wider than the Zacks Consensus Estimate of a loss of 34 cents, and a loss of 26 cents in the same quarter last year [1] - Research and development expenses increased by 72% year over year to $41.4 million, primarily due to higher manufacturing expenses for drug candidates and increased employee-related costs [1] - General and administrative expenses rose to $14.1 million, up 41% year over year, attributed to higher legal fees and employee-related expenses [2] - As of March 31, 2025, the company had cash, cash equivalents, and short-term investments totaling $852 million, down from $903 million as of December 31, 2024 [4] Stock Performance - Shares of Viking Therapeutics declined by 2% in after-market trading, likely due to the wider-than-expected loss and increased operating expenses [2] - Year-to-date, the stock has decreased by 36%, compared to a 7% decline in the industry [2] Pipeline Developments - Viking Therapeutics is developing VK2735, a novel dual GLP-1 and GIP receptor agonist, for obesity treatment, with both oral and subcutaneous versions in clinical studies [5] - The company completed enrollment in the phase II VENTURE-Oral Dosing study for VK2735, with data expected by the end of this year [6] - Viking is on track to initiate a late-stage study for VK2735 SC in the second quarter of 2025 and plans to file an IND application with the FDA for an amylin agonist program by the end of this year [7] Company Ranking - Viking Therapeutics currently holds a Zacks Rank of 4 (Sell) [8]

[Corporate and Pipeline Update](index=1&type=section&id=Corporate%20and%20Pipeline%20Update) [Q1 2025 Highlights](index=1&type=section&id=Q1%202025%20Highlights) Viking Therapeutics reported significant Q1 2025 progress, advancing VK2735 with Phase 3 preparation for subcutaneous, full enrollment for oral Phase 2, a new manufacturing agreement, and a strong cash position - Phase 3 trials for subcutaneous VK2735 are on track to begin in **Q2 2025**[3](index=3&type=chunk)[5](index=5&type=chunk)[6](index=6&type=chunk) - The Phase 2 VENTURE-Oral Dosing trial for the tablet formulation of VK2735 is fully enrolled, with data expected in the **second half of 2025**[3](index=3&type=chunk)[5](index=5&type=chunk)[8](index=8&type=chunk) - A broad, **multi-year** manufacturing agreement was signed with CordenPharma to support the future commercialization of VK2735, covering both API and fill/finish capacity[3](index=3&type=chunk)[5](index=5&type=chunk)[12](index=12&type=chunk) - The company maintained a strong balance sheet, ending the quarter with **$852 million** in cash, cash equivalents, and short-term investments[3](index=3&type=chunk)[5](index=5&type=chunk)[17](index=17&type=chunk) [VK2735 Program Update (Obesity)](index=2&type=section&id=VK2735%20Program%20Update%20%28Obesity%29) Viking is advancing its dual GLP-1/GIP receptor agonist, VK2735, for obesity, with the subcutaneous version entering Phase 3 in Q2 2025 and the oral tablet completing Phase 2 enrollment for H2 2025 data - **Subcutaneous VK2735**: - Set to begin **Phase 3** trials in **Q2 2025** following a successful End-of-Phase 2 meeting with the FDA[6](index=6&type=chunk)[7](index=7&type=chunk)[8](index=8&type=chunk) - Previous Phase 2 VENTURE study showed statistically significant mean body weight reductions up to **14.7%** after 13 weeks, with an encouraging safety profile[6](index=6&type=chunk)[7](index=7&type=chunk)[8](index=8&type=chunk) - **Oral VK2735**: - The 13-week Phase 2a VENTURE-Oral Dosing trial is fully enrolled with approximately **280 subjects**[8](index=8&type=chunk)[9](index=9&type=chunk)[11](index=11&type=chunk) - Top-line data from this study is expected in the **second half of 2025**[8](index=8&type=chunk)[9](index=9&type=chunk)[11](index=11&type=chunk) - Previous Phase 1 trial showed dose-dependent weight loss up to **8.2%** after 28 days[8](index=8&type=chunk)[9](index=9&type=chunk)[11](index=11&type=chunk) [Other Pipeline and Corporate Developments](index=3&type=section&id=Other%20Pipeline%20and%20Corporate%20Developments) Viking is advancing its DACRA program for obesity with an IND filing planned for H2 2025, while securing a multi-year manufacturing agreement with CordenPharma for VK2735 API and fill/finish capacity - **DACRA Program**: The company is advancing its internally developed dual amylin and calcitonin receptor agonist (DACRA) program for obesity and plans to file an IND application in the **second half of 2025**[11](index=11&type=chunk)[12](index=12&type=chunk) - **Manufacturing Agreement**: Viking entered a **multi-year** agreement with CordenPharma to secure dedicated capacity for annual manufacture of multiple **metric tons** of VK2735 API and fill/finish services for both injectable and oral forms[12](index=12&type=chunk)[13](index=13&type=chunk] - Viking will make prepayments between **2025 and 2028**, which will be credited against future orders[12](index=12&type=chunk)[13](index=13&type=chunk) [Financial Performance](index=4&type=section&id=Financial%20Performance) [Q1 2025 Financial Results](index=4&type=section&id=Q1%202025%20Financial%20Results) Viking Therapeutics reported a Q1 2025 net loss of **$45.6 million**, or **$0.41** per share, driven by increased R&D and G&A expenses primarily from manufacturing and clinical activities Financial Performance Summary | Financial Metric | Q1 2025 | Q1 2024 | Change (YoY) | | :--- | :--- | :--- | :--- | | Research & Development Expenses | $41.4 million | $24.1 million | +71.8% | | General & Administrative Expenses | $14.1 million | $10.0 million | +41.0% | | Loss from Operations | ($55.5 million) | ($34.1 million) | +62.8% | | Net Loss | ($45.6 million) | ($27.4 million) | +66.5% | | Net Loss Per Share | ($0.41) | ($0.26) | +57.7% | - The increase in R&D expenses was mainly due to manufacturing for drug candidates, clinical studies, and stock-based compensation[14](index=14&type=chunk) - The rise in G&A expenses was primarily driven by increased legal, patent, stock-based compensation, and insurance costs[15](index=15&type=chunk) [Balance Sheet and Cash Position](index=4&type=section&id=Balance%20Sheet%20and%20Cash%20Position) As of March 31, 2025, Viking Therapeutics maintained a strong financial position with **$852 million** in cash, cash equivalents, and short-term investments, and **$846.9 million** in stockholders' equity - Cash, cash equivalents, and short-term investments totaled **$852 million** at March 31, 2025, compared to **$903 million** at December 31, 2024[17](index=17&type=chunk) Balance Sheet Summary | Balance Sheet Item | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Total Current Assets** | **$866.0 million** | **$907.2 million** | | Total Assets | $867.0 million | $908.3 million | | Total Liabilities | $20.1 million | $28.0 million | | **Total Stockholders' Equity** | **$846.9 million** | **$880.3 million** | [Supplementary Information](index=4&type=section&id=Supplementary%20Information) [Upcoming Investor Events](index=4&type=section&id=Upcoming%20Investor%20Events) Viking management is scheduled to participate in four investor conferences during June 2025, including events hosted by William Blair, Jefferies, Goldman Sachs, and ScotiaBank - Management will participate in the following June 2025 conferences: - William Blair Annual Growth Stock Conference (June 3-5)[13](index=13&type=chunk) - Jefferies Global Healthcare Conference (June 3-5)[13](index=13&type=chunk) - 46th Annual Goldman Sachs Global Healthcare Conference (June 9-11)[13](index=13&type=chunk) - ScotiaBank Third Annual Healthcare Canadian Investor Day (June 17)[13](index=13&type=chunk) [Conference Call Information](index=5&type=section&id=Conference%20Call%20Information) The company hosted a conference call on April 23, 2025, at 4:30 pm Eastern to discuss Q1 2025 financial results, with webcast and replay options available - A conference call was scheduled for **4:30 pm Eastern** on **April 23, 2025**[19](index=19&type=chunk) - A live webcast is available on the investor relations section of the company's website, with an archive available for 30 days[19](index=19&type=chunk)

Core Insights - Viking Therapeutics reported strong progress in its clinical pipeline, particularly with VK2735, a dual agonist for obesity treatment, with Phase 3 trials expected to begin in Q2 2025 [2][3][5] - The company has a robust financial position with over $850 million in cash, enabling continued development of its pipeline programs [2][16] Financial Performance - Research and development expenses increased to $41.4 million in Q1 2025 from $24.1 million in Q1 2024, primarily due to higher manufacturing costs and clinical studies [13] - General and administrative expenses rose to $14.1 million in Q1 2025 from $10.0 million in Q1 2024, driven by legal, patent services, and stock-based compensation [14] - The net loss for Q1 2025 was $45.6 million, or $0.41 per share, compared to a net loss of $27.4 million, or $0.26 per share, in the same period of 2024 [15][23] Clinical Pipeline Developments - VK2735 demonstrated significant weight loss in the Phase 2 VENTURE study, with reductions in mean body weight up to 14.7% after 13 weeks of treatment [3][4] - The VENTURE-Oral Dosing trial for VK2735 has completed enrollment with approximately 280 participants, and results are expected in the second half of 2025 [10][11] - The company is advancing its dual amylin and calcitonin receptor agonist (DACRA) program, with an IND application planned for the second half of 2025 [11][19] Manufacturing and Commercialization - Viking entered a broad manufacturing agreement with CordenPharma to secure large-scale production of VK2735, covering both injectable and oral formulations [2][12] - The agreement includes dedicated capacity for multiple metric tons of VK2735 API and fill/finish capabilities [12] Upcoming Events - Viking management will participate in several investor conferences in June 2025, including the William Blair Annual Growth Stock Conference and the Jefferies Global Healthcare Conference [12]

Group 1 - Viking Therapeutics is set to focus on key pipeline updates during its first-quarter earnings call, particularly on three clinical candidates: VK2735 for obesity, VK2809 for non-alcoholic steatohepatitis (NASH), and VK0214 for X-linked adrenoleukodystrophy (X-ALD) [1] - VK2735 is highlighted as a significant interest due to the growing trend in obesity treatments and the transformative effects of weight loss in the consumer health space [2] - The company has shown a classic reversal bottom in its stock price, indicating potential positive momentum, and is currently outperforming benchmarks on the Leadership indicator [3] Group 2 - The weekly chart analysis indicates that VKTX is in a distribution phase rather than a bear phase, with the 200-week moving average serving as a strong support area for the stock price [4] - The stock price is currently trading at levels similar to the end of 2023, with a notable peak at $100, suggesting potential for recovery [5] - A weekly close above $24.50 is seen as a positive indicator, with the potential for rewards exceeding risks by 4-5 times [5]

Core Viewpoint - The article emphasizes the importance of conducting personal in-depth research and due diligence before making investment decisions, highlighting the inherent risks involved in trading [3]. Group 1 - The analysis is intended solely for informational purposes and should not be interpreted as professional investment advice [3]. - There is a clear disclaimer regarding the lack of any stock, option, or derivative positions in the companies mentioned, indicating a neutral stance [2]. - The article expresses that past performance does not guarantee future results, underscoring the uncertainty in investment outcomes [4].

Core Viewpoint - Viking Therapeutics has experienced significant stock volatility in 2024, with a peak increase of 375% from its January 2 closing price, but has since declined and is now within 10% of that price as of April 15, 2025 [1] Group 1: Stock Performance and Market Reactions - Viking stock surged approximately 12% recently due to the announcement of a phase 3 study for its GLP-1 weight loss drug candidate, VK2735, but struggles to maintain these gains due to concerns over the practical costs of such drugs [2][3] - The stock has a current price of $22.98, with a 12-month price target of $89.75, indicating a potential upside of 290.39% based on analyst ratings [10] - Short interest in VKTX stock exceeds 20%, suggesting that the stock may still be under pressure and has not yet found a bottom [12] Group 2: Product Development and Market Potential - VK2735, a GLP-1 drug, is being developed in both injectable and oral forms, with the oral version potentially addressing patient concerns about needles and possibly having fewer side effects, although it may take longer to show weight loss results [4][5] - The GLP-1 drug market has seen significant growth, but the lack of coverage by Medicare and Medicaid for weight loss applications poses a challenge for broader adoption [6][8] Group 3: Regulatory Environment and Future Outlook - The Biden administration's proposed rule to allow Medicare and Medicaid coverage for GLP-1 drugs was not finalized, which could limit access for over 7 million patients [7][8] - The regulatory framework for GLP-1 drugs remains uncertain, with estimates suggesting that adding such coverage could dramatically increase healthcare costs, potentially doubling employer healthcare expenses [9][11] - Investors may need to hold VKTX stock for several years before VK2735 receives approval, facing potential competition and regulatory challenges that could impact future stock performance [11]

Core Insights - Viking Therapeutics, Inc. (NASDAQ: VKTX) has experienced a significant drop of 50% in its stock price despite strong clinical advancements in obesity and NASH, attributed to broader market concerns [1] Group 1 - The article discusses the recent performance of VKTX, highlighting the disconnect between its clinical progress and stock performance [1] - The author emphasizes the potential of VKTX in the biotech sector, particularly in developing breakthrough therapies [1] - The article mentions the author's long position in VKTX and other pharmaceutical companies, indicating a personal investment interest [2] Group 2 - The author has a background in healthcare investment and focuses on innovative companies with potential acquisition catalysts [1] - The article is part of a subscription marketplace service called Compounding Healthcare, which offers various investment resources [1]

Core Viewpoint - Viking Therapeutics is facing significant challenges with its stock down 71% over the past year, but the company has positive prospects due to its therapeutic candidates targeting metabolic and endocrine diseases, with potential catalysts for share price recovery expected from upcoming regulatory approvals [1][2]. Company Overview - Viking Therapeutics is a clinical-stage biotech company focused on treatments for obesity, type 2 diabetes, and rare diseases, with its VK2735 candidate showing promising results in a Phase 2 study for sustained weight loss [3][4]. - The GLP-1 market is projected to grow from $53 billion to $139 billion by 2030, highlighting the significant opportunity for Viking's VK2735, which could be a game changer compared to existing GLP-1 medications [4]. Product Pipeline - In addition to VK2735, Viking has other candidates like VK2809 for non-alcoholic steatohepatitis (NASH) and VK0214 for X-linked adrenoleukodystrophy (X-ALD), diversifying its product pipeline [5]. - VK2735's dual-action approach targeting GLP-1 and GIP receptors may provide a more comprehensive treatment for obesity and diabetes, with clinical data showing rapid weight loss of up to 15% in 13 weeks [9]. Manufacturing and Financial Position - Viking has secured a multiyear manufacturing agreement with CordenPharma, ensuring a supply of up to 100 million autoinjectors and over 1 billion oral tablets, positioning the company for a large-scale commercial launch [6]. - The company is well-capitalized, ending 2024 with $903 million in cash and zero debt, providing the resources needed to complete phase 3 trials for VK2735 [7]. Market Competition - The competitive landscape is challenging, with established players like Novo Nordisk and Eli Lilly advancing next-generation GLP-1s, which could impact Viking's market potential [10]. Future Outlook - The company is viewed as potentially evolving into a disruptive force in the biotech industry, with a cautiously bullish outlook predicting a higher share price in the coming year, contingent on the success of VK2735 [11].

Core Insights - Pfizer Inc. has announced the discontinuation of danuglipron, an oral GLP-1 receptor agonist for chronic weight management, due to a potential drug-induced liver injury in a participant [1][6] - Eli Lilly and Novo Nordisk continue to lead the market in injectable weight loss drugs, while Pfizer is lagging behind in developing alternatives [2] - Eli Lilly is set to launch orforglipron, potentially the first small-molecule weight-loss pill, in 2026, giving it a two-year lead over competitors [3] Company Developments - Viking Therapeutics has completed subject enrollment for its Phase 2 clinical trial of VK2735, a dual agonist of GLP-1 and GIP receptors, with data expected in the second half of 2025 [3][4] - Structure Therapeutics has reported a 6.2% placebo-adjusted mean weight decrease in its Phase 2a study of GSBR-1290 for obesity [5] - Roche Holdings has shown a -6.1% placebo-adjusted mean weight loss in participants with obesity in its Phase 1 trial for CT-996, indicating competitive efficacy [6] Market Performance - Stocks of Eli Lilly (up 1.14% to $739.26), Novo Nordisk (up 1.68% to $65.82), Altimmune (up 3.40% to $4.56), Viking Therapeutics (up 13.5% to $25.21), and Structure Therapeutics (up 8.36% to $17.23) have all seen positive trading on Monday [7]

Core Viewpoint - Viking Therapeutics has significant growth potential, but its stock has experienced volatility, losing over 40% of its value in 2023 after a 116% increase in 2022 [1][2]. Company Overview - Viking Therapeutics currently has a market capitalization of approximately $2.5 billion [2]. - The company is developing two promising drug candidates: VK2735, which has shown the ability to help patients lose around 15% of their body weight in a phase 2 trial, and VK2809, which has reduced liver fat by an average of 37% to 55% in a phase 2 trial for nonalcoholic fatty liver disease [2][3]. Market Potential - Both VK2735 and VK2809 have the potential to generate billions in revenue if they become blockbusters [4]. - The GLP-1 drug market is projected to be worth over $100 billion, with significant competition from major pharmaceutical companies [7]. Future Outlook - If VK2735 and VK2809 receive approval, Viking's valuation could potentially double or triple, but the company needs a more diversified drug portfolio to maximize its value [6][10]. - The timeline for revenue generation from these products could take multiple years, and the company incurred a net loss of $110 million in 2024, indicating ongoing financial challenges [9][10]. Investment Considerations - Despite the risks and uncertainties, Viking's current reduced valuation presents a potential investment opportunity due to its promising drug candidates [11]. - The company is viewed as an exciting stock to monitor, with the potential for significant long-term growth, although it may not be suitable for all investors [12].