Why Viking Therapeutics Stock Zoomed 5% Higher Today

Core Viewpoint - Viking Therapeutics is gaining attention in the development of an orally administered weight loss drug, VK2735, following positive news from Novo Nordisk regarding its obesity drug Wegovy, which received FDA approval for a new indication [1][2][4][5]. Group 1: Company Developments - Viking Therapeutics' stock price increased by over 5% due to positive market sentiment and news from Novo Nordisk, while the S&P 500 index remained flat [1]. - The FDA approved Novo Nordisk's Wegovy for treating noncirrhotic metabolic dysfunction-associated steatohepatitis (MASH), which positively impacts the morale of shareholders in the obesity drug sector [4][5]. - Piper Sandler analyst Biren Amin reiterated an overweight recommendation for Viking Therapeutics with a price target of $71 per share, boosting investor confidence [6]. Group 2: Market Potential - The anticipated readout of a phase 3 study for VK2735 is expected within the current calendar quarter, which could significantly influence Viking's market position [7]. - If VK2735 performs well in clinical trials and reaches the market, it is projected to generate sales of approximately $2.1 billion [7].