Think It's Too Late to Buy This Leading Biotech Stock? Here's Why There's Still Time.

Core Insights - The market may have prematurely dismissed Viking Therapeutics' pipeline prospects following the phase 2 trial results of VK2735, an oral anti-obesity drug [2][3] - The phase 2 trial showed impressive efficacy but disappointing safety and tolerability data, particularly a 20% discontinuation rate due to adverse events [5][6] - There may still be opportunities for Viking Therapeutics, including potential acquisition or partnership with larger pharmaceutical companies to advance VK2735 through phase 3 testing [8] Company Performance - Viking Therapeutics' phase 2 Venture trial had a 20% discontinuation rate due to adverse effects, compared to 6% for Novo Nordisk's semaglutide and 10.3% for Eli Lilly's orforglipron in their respective phase 3 trials [7] - The body weight reduction in the Venture trial was 12.2%, which is lower than the reductions seen in the phase 3 trials of competitors [7] Market Sentiment - The initial market reaction to the trial results indicated a lack of near-term catalysts for Viking Therapeutics, with phase 3 results for VK2735 in subcutaneous form not expected until 2027 [2] - Despite the negative sentiment, there is a belief that the market may be underestimating Viking's potential options moving forward [3][8]