Viking stock has slipped more than 20% from its peak.Viking Therapeutics (VKTX -0.54%) soared to center stage earlier this year as a potentially promising player in one of today's highest-growth healthcare markets: weight loss drugs. The biotech company presented solid data for a candidate that could eventually rival blockbuster weight loss drugs from big pharma companies Eli Lilly and Novo Nordisk. And in just one trading session, the shares skyrocketed, rising more than 100%.Since then, Viking has reitera ...

All signs are pointing toward its continued success.When it comes to pre-revenue biotechs, it's often a struggle to build an investment thesis beyond "if the medicine works, the stock will go up." And while that proposition is certainly true with Viking Therapeutics, (VKTX 4.52%) there's more than one reason for why the stock is worth buying.In fact, there are at least four arguments supporting an investment, so let's take a look at each.1. It's racing closer to generating revenue for the first timeViking i ...

Core Viewpoint - Viking Therapeutics is positioned for significant growth with its lead candidate VK2735 in the anti-obesity market, supported by promising clinical data and strong financials [2][5][10]. Company Overview - Viking Therapeutics has not yet received approval for any drugs but is developing VK2735, which aims to compete with established players like Eli Lilly and Novo Nordisk in the weight loss drug market [4][5]. - The company presented new data at the Obesity Week 2024 conference, reinforcing the investment thesis for VK2735, indicating potential for substantial market share if approved [5][7]. Clinical Development - VK2735 is being tested in two formulations: a weekly injection and a daily pill, with the pill expected to enter phase 2 trials by the end of the year and the injection moving to phase 3 soon [6]. - In trials, participants using the highest dose of the VK2735 pill lost an average of 6.8% of body mass compared to 1.4% for the placebo group, with weight maintenance observed for at least a month post-treatment [7][8]. Competitive Advantage - VK2735 may offer a long-term weight maintenance solution, a capability currently lacking in major competitors, which could lead to sustained revenue from patients [8][9]. - The company has a strong financial position with $930 million in cash and no long-term debt, allowing it to fund ongoing clinical trials and additional R&D programs [10][11]. Financial Stability - Viking's operating expenses were only $134 million over the trailing 12 months, indicating ample resources to support its clinical programs without the risk of dilution from new stock offerings [10][12]. - The financial health of the company suggests it can withstand setbacks in clinical trials without significant impact [12].

Are we ready for the Great Obesity Drug Gold Rush of the 2020s?For high-profile biotech Viking Therapeutics (VKTX -13.36%), Monday was very much a good news/bad news kind of day. The company reported quite encouraging clinical results from a version of its investigational weight-loss drug. Before long, however, this was overshadowed by promising news from rival developers of similar treatments.Ultimately, after an early surge, Viking's shares closed the day more than 13% lower in price.Weight loss for profi ...

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SAN DIEGO, Oct. 31, 2024 /PRNewswire/ -- Viking Therapeutics, Inc. ("Viking") (NASDAQ: VKTX), a clinical-stage biopharmaceutical company focused on the development of novel therapies for metabolic and endocrine disorders, today announced that the company will participate at several upcoming investor conferences. Details of the company's participation are as follows: Truist Healthcare ConferenceDetails: Viking management will participate in a fireside chat and in 1-on-1 meetingsConference Date: November 7, 2 ...

The U.S. presidential election will be held on November 5, 2024, but there’s another event that investors may want to vote on before the election. From November 3 through November 6, the Obesity Society will hold its annual meeting, ObesityWeek 2024. Viking Therapeutics Inc. NASDAQ: VKTX will be a key presenter. Viking Therapeutics TodayVKTXViking Therapeutics$71.75 -1.60 (-2.18%) 52-Week Range$9.32▼$99.41Price Target$108.60Add to WatchlistViking will provide updates on its lead candidate's progress, VK2735 ...

Thank you for reading my research on Seeking Alpha. If you want to learn even more about my method and how I discover these investment opportunities, please check out my subscription marketplace service, Compounding Healthcare , and sign up for a free trial.It has been over five months since my previous Viking Therapeutics (NASDAQ: VKTX ) article , where I laid out a case for Viking Therapeutics as a prime acquisition target thanks to their impressive pipeline targeting obesity, NASH, X-ALD, and sarcopenia. ...

Core Insights - Viking Therapeutics experienced a significant stock price increase of over 21% following its latest earnings release, outperforming the S&P 500 index which rose by only 0.2% [1] Financial Performance - In the third quarter, Viking reported a net loss of just over $21 million ($0.22 per share), a slight improvement from more than $22 million in the same period of 2023, beating analyst expectations of a $0.24 per share loss [2] - The company ended the quarter with $930 million in cash, equivalents, and short-term investments, a substantial increase from $362 million at the end of 2023, providing a strong financial position for ongoing operations [2] - Viking's operating expenses for the third quarter were slightly over $36.5 million, indicating a long runway for continued development [2] Product Development - Viking's VK2735 GLP-1 weight-loss drug has shown promising results in phase 1 and phase 2 trials, positioning the company favorably for potential FDA approval if it succeeds in phase 3 trials [3] - The successful approval of VK2735 would place Viking among a select group of approved drugs in a rapidly growing market, enhancing its attractiveness as an investment opportunity [3]

Core Viewpoint - Viking Therapeutics reported a narrower loss per share of 22 cents for Q3 2024, compared to the Zacks Consensus Estimate of a loss of 24 cents, and a loss of 23 cents per share in the same quarter last year [1] Financial Performance - Research and development expenses increased by 24% year over year to $22.8 million, driven by higher manufacturing and employee-related costs [2] - General and administrative expenses rose by 55% year over year to $13.8 million, primarily due to increased employee-related expenses, legal fees, and third-party consulting services [2] - As of September 30, 2024, the company had cash, cash equivalents, and short-term investments totaling $930 million, a slight decrease from $942 million as of June 30, 2024 [2] Pipeline Updates - Viking Therapeutics is developing three drug candidates: VK2735 for obesity, VK2809 for non-alcoholic steatohepatitis (NASH), and VK0214 for X-linked adrenoleukodystrophy (X-ALD) [3] - Management plans to initiate a mid-stage study for the oral formulation of VK2735 by the end of 2024 and has scheduled an end-of-phase II meeting with the FDA to discuss the phase III study for the subcutaneous formulation [3] - Positive results were reported from a phase Ib study of VK0214, which was safe and well-tolerated, significantly reducing plasma levels of very long-chain fatty acids compared to placebo [5] - The phase IIb VOYAGE study on VK2809 achieved secondary endpoints, with 40-50% of patients achieving NASH resolution compared to 20% in the placebo group [6] Market Reaction - Shares of Viking Therapeutics rose nearly 5% in pre-market trading, attributed to the positive pipeline update regarding VK2735, which has shown significant weight reduction capabilities [4] - Year-to-date, the company's shares have increased by 224.5%, contrasting with a 2.5% decline in the industry [4] Company Ranking - Viking Therapeutics currently holds a Zacks Rank of 3 (Hold) [7]