Latest news with #VKTX
Yahoo
13 hours ago
- Business
- Yahoo
Was Jim Cramer Right to Favor Another Stock Over Viking Therapeutics (VKTX)?
We recently published a list of . In this article, we are going to take a look at where Viking Therapeutics, Inc. (NASDAQ:VKTX) stands against other stocks that Jim Cramer discusses. Back then, a humorous caller asked if they should 'bulk up' on Viking Therapeutics, Inc. (NASDAQ:VKTX), referencing both weight loss drugs and football. Cramer responded with his trademark flair and a clear preference: 'I even like the Vikings more than I like Viking Therapeutics — and that's saying something 'cause they ain't that good. I say you need to be in Eli Lilly. Step your game up, partner.' A microbiologist in protective gear studying samples in a laboratory. Cramer favored Eli Lilly over Viking, and with VKTX down -52.27%, he made the better call. Viking Therapeutics, Inc. (NASDAQ:VKTX) is a clinical-stage biopharmaceutical company developing treatments for metabolic and endocrine disorders, including obesity and liver disease. Cramer remains firm in his opinion. Here's what he said on January 30 this year: 'Okay, people, people think that even if Lily's stock can't go up, why would we want Viking Therapeutics? And a lot of people were in it for a takeover. So far it doesn't look like that's materializing, so they're giving up and they are selling it. I prefer Eli Lilly.' Overall, VKTX ranks 6th on our list of stocks that Jim Cramer discusses. While we acknowledge the potential of VKTX as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey.
Yahoo
2 days ago
- Business
- Yahoo
1 Stock Down 34% This Year to Buy and Hold
Investors are withdrawing their money from stocks like Viking Therapeutics due to the current uncertainty. However, the biotech has a duo of mid-stage candidates that look incredibly promising. Though it carries above-average risk, Viking has significant upside potential. 10 stocks we like better than Viking Therapeutics › Shares of Viking Therapeutics (NASDAQ: VKTX), a mid-cap biotech, are down by 34% this year. This poor performance may suggest that recent company-specific developments have rendered the stock less attractive or that it is being affected by broader market issues. The latter is true, at least to some extent, but Viking Therapeutics' thesis has not changed significantly this year. The drugmaker remains attractive compared to most of its similarly sized peers. Here is why. Viking Therapeutics is a clinical-stage biotech. That means the company has no product on the market, generates no revenue, and is consistently unprofitable. Investors aren't too keen on buying shares of companies that fit this profile when broader equities are experiencing significant volatility due to potential macroeconomic issues. In fairness, that makes sense. Clinical-stage biotechs carry above-average risk. Their products may never see the light of day outside the clinic, and even when they do, many do not generate substantial revenue. However, Viking Therapeutics is a bit different. The company is developing medicines across several areas with high unmet needs. First, there is the drugmaker's work in the weight management space. The anti-obesity drug market has experienced significant growth in recent years. Yet, analysts continue to predict that the best is yet to come. Viking Therapeutics' leading candidate in this area, VK2735, is a dual GLP-1/GIP agonist. The only approved medicine of this kind on the market is Eli Lilly's Zepbound, an undisputed leader. Being in the same class as Zepbound doesn't guarantee VK2735's success, but it's still worth pointing out that a similar mechanism of action that led to Zepbound's breakthrough and efficacy could also prove successful for Viking Therapeutics' crown jewel. And more importantly, the investigational medicine has produced better results than almost any other mid-stage candidate in weight management, outside of those being developed by Eli Lilly and Novo Nordisk. That's impressive for a mid-cap biotech, considering significantly larger drugmakers with far more resources are trying to dominate this market. Viking Therapeutics' other mid-stage program, VK2809, performed well in patients with metabolic dysfunction-associated steatohepatitis (MASH), a disease with obesity as one of the main risk factors and whose prevalence is on the rise. However, the U.S. Food and Drug Administration approved just the first MASH medicine last year, although that will likely change soon. The point, though, is that VK2809 could join a relatively young market in a few years and generate massive sales down the road. These two candidates set Viking Therapeutics apart from other clinical-stage biotech companies. It's also worth noting that Viking Therapeutics recently signed a multiyear manufacturing agreement with privately held CordenPharma for VK2735. Per the terms of the deal, CordenPharma will manufacture more than a billion oral formulations of the medicine annually, as well as over 100 million autoinjectors and another 100 million syringes per year. Viking Therapeutics will make payments to CordenPharma, totaling $150 million through 2028. This deal highlights that Viking Therapeutics is already planning some post-commercial activity for its leading candidate. That's a great sign for investors. Viking Therapeutics is developing other candidates, including another weight management product that is still in preclinical studies. Following a similar blueprint, this product is a dual agonist that mimics the action of not just one but two gut hormones: amylin, which helps regulate blood sugar, and calcitonin, which regulates calcium levels. There is slow progress on that front, but Viking Therapeutics' commitment to innovation is impressive for such a small biotech. Now, Viking Therapeutics' most advanced programs could fail in phase 3 studies. If that happens, especially with VK2735, the stock price is likely to plummet. That's a significant risk to consider. That's why the stock is probably not suitable for risk-averse investors. However, those who are comfortable with volatility should strongly consider initiating a small position in the stock. If the business goes under, which isn't that rare for smaller biotech companies, your losses will be relatively small so long as the company makes a tiny portion of your overall portfolio. But there is significant upside potential that those who invest in Viking Therapeutics today could enjoy over the long run. Before you buy stock in Viking Therapeutics, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Viking Therapeutics wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $669,517!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $868,615!* Now, it's worth noting Stock Advisor's total average return is 792% — a market-crushing outperformance compared to 171% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 2, 2025 Prosper Junior Bakiny has positions in Eli Lilly, Novo Nordisk, and Viking Therapeutics. The Motley Fool recommends Novo Nordisk and Viking Therapeutics. The Motley Fool has a disclosure policy. 1 Stock Down 34% This Year to Buy and Hold was originally published by The Motley Fool
Yahoo
2 days ago
- Business
- Yahoo
1 Stock Down 34% This Year to Buy and Hold
Investors are withdrawing their money from stocks like Viking Therapeutics due to the current uncertainty. However, the biotech has a duo of mid-stage candidates that look incredibly promising. Though it carries above-average risk, Viking has significant upside potential. 10 stocks we like better than Viking Therapeutics › Shares of Viking Therapeutics (NASDAQ: VKTX), a mid-cap biotech, are down by 34% this year. This poor performance may suggest that recent company-specific developments have rendered the stock less attractive or that it is being affected by broader market issues. The latter is true, at least to some extent, but Viking Therapeutics' thesis has not changed significantly this year. The drugmaker remains attractive compared to most of its similarly sized peers. Here is why. Viking Therapeutics is a clinical-stage biotech. That means the company has no product on the market, generates no revenue, and is consistently unprofitable. Investors aren't too keen on buying shares of companies that fit this profile when broader equities are experiencing significant volatility due to potential macroeconomic issues. In fairness, that makes sense. Clinical-stage biotechs carry above-average risk. Their products may never see the light of day outside the clinic, and even when they do, many do not generate substantial revenue. However, Viking Therapeutics is a bit different. The company is developing medicines across several areas with high unmet needs. First, there is the drugmaker's work in the weight management space. The anti-obesity drug market has experienced significant growth in recent years. Yet, analysts continue to predict that the best is yet to come. Viking Therapeutics' leading candidate in this area, VK2735, is a dual GLP-1/GIP agonist. The only approved medicine of this kind on the market is Eli Lilly's Zepbound, an undisputed leader. Being in the same class as Zepbound doesn't guarantee VK2735's success, but it's still worth pointing out that a similar mechanism of action that led to Zepbound's breakthrough and efficacy could also prove successful for Viking Therapeutics' crown jewel. And more importantly, the investigational medicine has produced better results than almost any other mid-stage candidate in weight management, outside of those being developed by Eli Lilly and Novo Nordisk. That's impressive for a mid-cap biotech, considering significantly larger drugmakers with far more resources are trying to dominate this market. Viking Therapeutics' other mid-stage program, VK2809, performed well in patients with metabolic dysfunction-associated steatohepatitis (MASH), a disease with obesity as one of the main risk factors and whose prevalence is on the rise. However, the U.S. Food and Drug Administration approved just the first MASH medicine last year, although that will likely change soon. The point, though, is that VK2809 could join a relatively young market in a few years and generate massive sales down the road. These two candidates set Viking Therapeutics apart from other clinical-stage biotech companies. It's also worth noting that Viking Therapeutics recently signed a multiyear manufacturing agreement with privately held CordenPharma for VK2735. Per the terms of the deal, CordenPharma will manufacture more than a billion oral formulations of the medicine annually, as well as over 100 million autoinjectors and another 100 million syringes per year. Viking Therapeutics will make payments to CordenPharma, totaling $150 million through 2028. This deal highlights that Viking Therapeutics is already planning some post-commercial activity for its leading candidate. That's a great sign for investors. Viking Therapeutics is developing other candidates, including another weight management product that is still in preclinical studies. Following a similar blueprint, this product is a dual agonist that mimics the action of not just one but two gut hormones: amylin, which helps regulate blood sugar, and calcitonin, which regulates calcium levels. There is slow progress on that front, but Viking Therapeutics' commitment to innovation is impressive for such a small biotech. Now, Viking Therapeutics' most advanced programs could fail in phase 3 studies. If that happens, especially with VK2735, the stock price is likely to plummet. That's a significant risk to consider. That's why the stock is probably not suitable for risk-averse investors. However, those who are comfortable with volatility should strongly consider initiating a small position in the stock. If the business goes under, which isn't that rare for smaller biotech companies, your losses will be relatively small so long as the company makes a tiny portion of your overall portfolio. But there is significant upside potential that those who invest in Viking Therapeutics today could enjoy over the long run. Before you buy stock in Viking Therapeutics, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Viking Therapeutics wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $669,517!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $868,615!* Now, it's worth noting Stock Advisor's total average return is 792% — a market-crushing outperformance compared to 171% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 2, 2025 Prosper Junior Bakiny has positions in Eli Lilly, Novo Nordisk, and Viking Therapeutics. The Motley Fool recommends Novo Nordisk and Viking Therapeutics. The Motley Fool has a disclosure policy. 1 Stock Down 34% This Year to Buy and Hold was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
18-04-2025
- Business
- Yahoo
H.C. Wainwright still expects Viking to ‘differentiate' after Lilly data
H.C. Wainwright says the bar is set for oral GLP-1s following this morning's type 2 diabetes data from Eli Lilly (LLY). The firm continues to expect Viking Therapeutics (VKTX) to 'differentiate' with its dual GLP-1/GIP asset VK2735. The data collected in the Phase 1 assessing oral VK2735 is at 28 days exhibited up to an 8.2% reduction in body weight was observed, and oral VK2735 maintained excellent tolerability profile through 100 mg dose level with 99% of adverse events being mild to moderate, the analyst tells investors in a research note. H.C. Wainwright believes Viking's oral formulation of VK2735 'remains differentiated in the space' in terms of mechanism, efficacy, and safety. It keeps a Buy rating on Viking shares with a $102 price target. The stock in midday trading is down 2% to $23.22. Discover outperforming stocks and invest smarter with Top Smart Score Stocks. Filter, analyze, and streamline your search for investment opportunities using Tipranks' Stock Screener. Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>> See today's best-performing stocks on TipRanks >> Read More on VKTX: Disclaimer & DisclosureReport an Issue Eli Lilly jumps as results from weight-loss pill study rival competitor's JPMorgan says Lilly data 'highly favorable' for Structure Therapeutics Viking Therapeutics slips after Eli Lilly reports orforglipron trial results Viking Therapeutics' VK2735: A Promising Contender Amidst Pfizer's Setback Promising Pipeline and Strategic Developments Drive Buy Rating for Viking Therapeutics Sign in to access your portfolio
Yahoo
13-03-2025
- Business
- Yahoo
How to Play VKTX Stock Amid Manufacturing Deal With CordenPharma
Shares of Viking Therapeutics VKTX gained more than 11% on Wednesday after the company announced that it had signed a broad multi-year manufacturing agreement with CordenPharma for both the oral and subcutaneous (SC) formulations of its obesity drug. Viking Therapeutics is one of the few biotech stocks that has shown immense potential in the obesity space. It is developing VK2735, an investigational novel dual GLP-1 and GIP receptor agonist, in different clinical studies as oral and SC versions for treating obesity. Per the terms, CordenPharma will provide 100 million autoinjectors, 100 million vial and syringe products, and more than 1 billion oral VK2735 tablets annually through dedicated manufacturing lines. In addition, VKTX will retain an option to expand these capacities. In return, the company will make prepayments totaling $150 million over the next three years, which will be adjusted against future orders. This deal with CordenPharma reduces the supply chain risk on VKTX stock, which is a likely reason for this upside in stock price. Let's delve into the company's strengths and weaknesses to better analyze how to play the stock amid this recent price increase. The obesity market has garnered much interest lately, with two companies, Eli Lilly LLY and Novo Nordisk NVO, dominating this space with their respective obesity drugs Zepbound and Wegovy. Per research conducted by Goldman Sachs, the obesity market in the United States is expected to reach $100 billion by 2030. This is also evident from the fact that LLY and NVO have not only optimized their production capacities but are also developing multiple other novel obesity candidates at a rapid pace. VK2735 has shown blockbuster potential, demonstrating superior weight reduction capabilities across both formulations. In November, VKTX presented updated results from the phase I study on oral VK2735 at the annual meeting of ObesityWeek, which showed that patients who received the highest drug dose lost up to 8.2% in body weight after 28 days of daily dosing compared with 1.4% in the placebo group. Last year, Viking reported that the phase II VENTURE study, which evaluated VK2735 SC, achieved its primary and all secondary endpoints with statistical significance. Based on the above results, the company initiated the phase II VENTURE-Oral Dosing study to evaluate the safety and efficacy of oral VK2735 over a 13-week treatment period. Data from this study is expected before this year's end. VKTX intends to start a late-stage study on the SC version in the second quarter of 2025. Taking a page from Lilly/Novo's book, Viking Therapeutics is not limiting itself to one obesity drug. The company plans to file an investigational new drug application with the FDA later this year to advance an internally developed dual amylin and calcitonin receptor agonist candidate to clinical development for treating obesity. Apart from VK2735, Viking Therapeutics is also developing drugs targeting non-alcoholic steatohepatitis (NASH) and X-linked adrenoleukodystrophy (X-ALD) indications. Last year, Viking Therapeutics completed the phase IIb VOYAGE study on VK2809 in patients with biopsy-confirmed NASH. Overall data from the study showed that 40-50% of patients who received VK2809 achieved NASH resolution and at least a one-stage improvement in fibrosis compared to 20% in the placebo group. In October, Viking Therapeutics reported positive results from a phase Ib study evaluating VK0214 in patients with adrenomyeloneuropathy, a form of X-ALD for which there are currently no pharmacologic treatment options. This study met its primary endpoint — a once-daily dose of VK0214 over 28 days was safe and well-tolerated by study participants. Treatment with the drug also significantly reduced plasma levels of very long-chain fatty acids and other lipids compared to placebo. Management is exploring collaboration prospects for both candidates. Though Viking Therapeutics' pipeline candidates have demonstrated encouraging results in clinical studies, it faces stiff competition in the targeted markets. The company's obesity candidate will compete directly with pharma bigwigs like Eli Lilly and Novo Nordisk, who have either marketed drugs in this space or are developing their respective candidates in clinical studies. All large-cap pharma/biotech companies, including AstraZeneca, AbbVie, Merck and Roche are developing their drugs in the obesity space. These companies have a well-established distribution and supply-chain infrastructure. In the past year, VKTX stock has plunged 59% compared with the industry's 10% decline. The stock has also underperformed the broader Medical sector and the S&P 500 during this timeframe, as shown in the chart below. VKTX shares are currently trading below the 50 and 200-day moving averages. Image Source: Zacks Investment Research The company is trading at a premium to the industry. Going by the price/book ratio, the stock currently trades at 3.74, trailing 12-month book value, higher than 3.27 for the industry. Image Source: Zacks Investment Research Estimates for Viking Therapeutics' 2025 loss per share have widened from $1.41 to $1.56 in the past 60 days. Over the same timeframe, loss per share estimates for 2026 have widened from $1.86 to $2.07. Image Source: Zacks Investment Research In our opinion, the deal with CordenPharma resolves investors' issues with the company's lack of commercial manufacturing capability. The option to extend supply capacity should assure investors that Viking Therapeutics is taking steps to ensure an optimum supply of its obesity drug (ahead of a potential commercial launch) and avoid the FDA's shortage list, something which LLY and NVO's obesity products recently got out from. Some might argue that Viking Therapeutics has its fair share of problems, including the lack of a stable income stream and the presence of pharma giants like Eli Lilly and Novo Nordisk in its target market spaces. However, the accumulated cash balance of around $903 million (as of 2024-end) and zero debt ensure that the company can sufficiently fund its day-to-day operations, including late-stage pipeline programs, without triggering bankruptcy for at least the next few years. For those who have already invested in this Zacks Rank #3 (Hold) company, we would suggest holding on to the same as it has growth potential. The growing demand for obesity drugs is an opportunity for new entrants despite the rising competition. We believe that there is room for smaller biotechs like VKTX to grab a share of this booming market. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Novo Nordisk A/S (NVO) : Free Stock Analysis Report Eli Lilly and Company (LLY) : Free Stock Analysis Report Viking Therapeutics, Inc. (VKTX) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Sign in to access your portfolio
