Eli Lilly and Co. LLY stock has experienced significant volatility over the past six months, primarily driven by reactions to developments in its weight-loss drug portfolio. Lilly stock popped on Tuesday after the company announced that its oral GLP-1 pill helped patients lose an average of 10.5% of their body weight and reduced blood sugar levels, meeting key goals in the pivotal Phase 3 trial.After reaching highs near $960 in August 2024, LLY stock dropped more than 20% due to underwhelming results from i ...

Core Viewpoint - Viking Therapeutics is advancing in the weight-loss drug market with the initiation of its Phase 2 VENTURE-Oral trial for VK2735, aiming to leverage Eli Lilly's recent challenges and broaden treatment options beyond injections [1][5]. Group 1: Trial Details - The VENTURE-Oral trial commenced in January 2025 and will evaluate the safety, tolerability, pharmacokinetics, and weight-loss efficacy of a once-daily oral dose over a 13-week period [1][3]. - The primary endpoint of the study is the percent change in body weight from baseline after 13 weeks, with secondary endpoints assessing additional safety and efficacy measures [3]. Group 2: Market Context - Eli Lilly's recent Phase 3 ATTAIN-1 trial for orforglipron showed underwhelming weight loss results, creating an opportunity for smaller competitors like Viking to fill the clinical gap [5]. - Analysts expect Viking to demonstrate the potential of VK2735's oral formulation as a competitive option in weight maintenance, with recommendations to buy shares before the Phase II readout [6]. Group 3: Expected Outcomes - Viking anticipates releasing trial results in the second half of 2025, with projections indicating a placebo-adjusted weight loss of slightly under 7% for the highest doses, based on Phase I results [4]. - Previous studies showed that patients receiving VK2735 achieved statistically significant mean body weight reductions of up to 14.7% from baseline and up to 13.1% relative to placebo [7].