10 Best GLP-1 and Weight Loss Stocks to Buy Now

6. Viking Therapeutics, Inc. (NASDAQ:VKTX)

Number of Hedge Fund Investors: 52

In the highly competitive weight-loss medication market, Viking Therapeutics, Inc. (NASDAQ:VKTX) is a small biotech company exhibiting great potential. Viking’s VK2735 has the ability to surpass competitors in clinical trials, despite the dominance of two strong competitors, making the stock an appealing investment with significant upside potential.

VK2735, a subcutaneous GLP-1/GIP dual agonist and Viking’s lead therapeutic candidate, has shown promising Phase 2 outcomes. After just 13 weeks, VK2735 at a dosage of 15 mg produced a placebo-adjusted mean weight reduction of 13.1% (14.7% from baseline). In contrast, the rival’s tirzepatide (Zepbound) achieved a greater weight reduction over a noticeably longer length of time than semaglutide (Wegovy), which exhibited an 8% decrease after 20 weeks.

Morgan Stanley projects the weight-loss medicine market to reach $105 billion by 2030, while Goldman Sachs anticipates an even bigger size of $130 billion. According to Goldman Sachs, by 2030, there will be about 19 million US adults who will take drugs for chronic weight-loss management in the U.S. market, representing a 17% market share. With its better early results, Viking’s VK2735 puts the business in a strong position to take a sizable market share, particularly if it can provide an oral alternative.

With an average analyst price target of $111 and a high of $138, Viking’s stock can be a multibagger. Analysts have collectively rated the stock as a “Strong Buy.” At its current price of about $55, the stock is a tempting investment opportunity with the possibility for significant long-term growth. In Q1 2024, 52 hedge funds were bullish on Viking Therapeutics, Inc. (NASDAQ:VKTX).

In the rapidly expanding weight-loss medication market, Viking Therapeutics is a stock to consider adding to your watchlists, if not your portfolios. VK2735 is an appealing option for acquisition by major pharmaceutical companies despite possible market saturation due to its excellent Phase 2 results. Viking Therapeutics, Inc. (NASDAQ:VKTX) is, therefore, one of the best GLP-1 and weight loss stocks to buy now.