Core Viewpoint - Viking Therapeutics' recent stock sell-off presents a significant buying opportunity for long-term investors, as the market reaction appears to be an overreaction to clinical trial data [1][2][12]. Company Overview - Viking Therapeutics experienced a dramatic stock decline of over 40% in a single day due to disappointing clinical trial results for its GLP-1 obesity pill, VK2735 [2][5]. - The discontinuation rate for VK2735 was reported at 28% over 13 weeks, raising concerns compared to Eli Lilly's oral treatment, which had a 24% discontinuation rate over a longer period [6][5]. Clinical Trial Insights - VK2735 demonstrated a weight loss of approximately 12% after three months, comparable to Eli Lilly's treatment, which achieved similar results over 72 weeks [5]. - Despite concerns about side effects, 98% of adverse events reported were classified as mild or moderate, indicating that the drug was "safe and well-tolerated" [7][11]. Future Potential - Viking Therapeutics is advancing an injectable version of VK2735, currently in phase 3 trials, which could lead to approval in the coming years [9]. - If VK2735 receives approval, it could significantly enhance Viking's market position and potentially attract acquisition interest [10]. Market Outlook - The stock could potentially double in value, reaching around $50 per share, if it recovers to its previous levels from December 2024 [10]. - The current stock price is considered low enough that the potential upside outweighs the associated risks, making it an attractive investment opportunity [11].