Key Takeaways:
Viking Therapeutics shares have pulled back from June highs, with Wall Street maintaining a consensus price target of $91, implying 150% upside from current levels, according to Visible Alpha.
"The excitement stems from VK2735 and its potential in the highly lucrative weight-loss market," analysts at Visible Alpha said, citing the drug's dual formulation as a key differentiator.
The stock rose more than 19% in June before retreating. The San Diego-based biotech is developing VK2735 as both a subcutaneous injection and an oral tablet, allowing patients to start with injections and transition to oral maintenance. Phase 2 data showed VK2735 produced a steeper velocity of weight loss compared with rival GLP-1 and GIP therapies from Novo Nordisk and Eli Lilly.
The subcutaneous phase 3 trial is underway, with results expected no earlier than late 2027. The oral phase 3 trial is scheduled to begin in the fourth quarter of 2026, with data due in 2028. A phase 1 maintenance dosing trial is also in progress, where participants receive subcutaneous VK2735 for 19 weeks before switching to various maintenance doses. Results from the subcutaneous period are due in the current quarter, while oral maintenance data are expected in the first half of 2027.
Risks remain. The phase 2 oral trial showed questionable tolerability data, and the long wait for phase 3 results leaves the stock exposed to binary trial risk. The phase 1 maintenance results over the next six months will provide the earliest read on whether VK2735 can sustain weight loss after the initial treatment period.
The current dip offers an entry point ahead of those data, but the multi-year timeline to phase 3 readouts means investors face a prolonged period of uncertainty. The maintenance trial results due in the coming quarters will be the first meaningful signal on whether VK2735 can deliver the durability that the obesity market demands.
This article is for informational purposes only and does not constitute investment advice.
