In this article, we discuss the 10 best hot stocks to buy right now along with the latest updates around the market.
While the market is seeing significant positives after the Fed rate cut, there have been some pressures. For example, dockworkers from the International Longshoremen’s Association (ILA) have gone on strike at major U.S. ports along the East and Gulf coasts, marking the first such strike in nearly 50 years. The dispute involves a six-year contract covering 25,000 workers, with the ILA demanding significant wage increases and addressing concerns over automation.
While the US Maritime Alliance has offered wage and pension boosts, negotiations have still stalled. The strike could cause major disruptions to imports, especially food, clothing, and car shipments, with potential economic losses of $4 or $5 billion per week.
Moreover, CBS reported that Hurricane Helene is projected to be one of the most expensive storms in U.S. history, with Moody’s Analytics estimating property damage between $15 and $26 billion. AccuWeather forecasts that the overall damage and economic loss could reach up to $110 billion.
Central Banks, Port Strikes, and Inflation Risks: What Lies Ahead
Deepak Puri, Deutsche Bank Private Bank CIO of the Americas, recently joined CNBC’s ‘Money Movers’ as he discussed the current high expectations in the U.S. economy and noted that while inflation and employment are relatively stable, challenges lie ahead due to factors like the port strike, global conflicts, and post-hurricane reconstruction.
He mentioned that Chicago Fed President, Austan Goolsbee has highlighted the difficulty in maintaining the current economic balance. Puri advises patience in the markets due to various uncertainties, including the upcoming election.
Puri explained that while many central banks are lowering interest rates, it is uncertain whether the U.S. economy will avoid a downturn. Inflation remains a risk, and the U.S. port strike could cause serious economic problems if it lasts long, even though it hasn’t yet impacted the market much. He warned that several issues combined could affect inflation and overall economic performance.
When discussing the balance between inflation and jobs, the CIO said that concerns about the job market were bigger until recently, but now inflation is becoming more of a risk. He highlighted how challenging it is for the Fed to manage this situation, especially as consumer spending remains steady but is shifting. Meanwhile, sectors like housing and manufacturing, which are sensitive to interest rates, will need to take up the slack.
Finally, Puri talked about whether the Fed could pause rate cuts like the European Central Bank did. He thinks the Fed will keep lowering rates, but the size of future cuts will depend on upcoming labor market data.
With that, we look at the 10 Best Hot Stocks To Buy Right Now.
10 Best Hot Stocks To Buy Right Now
Our Methodology
For this article, we made a list of the top 55 best-performing stocks on a year-to-date basis with a market cap of over $2 billion, as of October 1. We narrowed our list to 10 stocks that were most favored by analysts. The best hot stocks to buy right now are listed in ascending order of the average price target upside. We also mentioned the hedge fund sentiment around each stock which was taken from Insider Monkey’s database of over 900 elite hedge funds.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
10 Best Hot Stocks To Buy Right Now
10. Oscar Health, Inc. (NYSE:OSCR)
Number of Hedge Fund Holders: 40
Year-to-Date Share Price Gains: 126.70%
Average Price Target Upside: 35.00%
Oscar Health, Inc. (NYSE:OSCR) is a health insurance and prominent healthcare technology company. It is centered on a comprehensive technology platform that prioritizes member service. The company aims to disrupt traditional healthcare practices and is committed to providing accessible and affordable health solutions. It is one of the best hot stocks to buy.
It offers Individual and Family health plans, along with technology-driven solutions through its +Oscar platform. The technology improves user experiences, cultivates strong member engagement, and delivers high-quality clinical care, earning the trust of approximately 1.6 million members as of June 30, up 63% year-over-year.
Oscar Health (NYSE:OSCR) provides several benefits to its members including ease of access to nearby doctors, hospitals, and pharmacies that accept Oscar plans, with options tailored to their language, race, ethnicity, and health history. Additionally, each member has a dedicated Care Team to assist with inquiries and help locate quality care while saving money.
Members also benefit from Virtual Care, which allows them to consult with providers anytime for no additional cost, and in some regions, $0 for Oscar Primary Care. Moreover, many commonly prescribed medications are available for just $3, and prescriptions can be managed through the Oscar app. The app also provides features for accessing care, refilling medications, viewing digital ID cards, messaging Care Teams, and checking benefits.
On August 8, Wells Fargo analyst Steve Baxter maintained a Buy rating on Oscar Health (NYSE:OSCR) with a price target of $27.00 due to its strong financial performance and a positive outlook. In Q2, its adjusted EBITDA reached $104 million, exceeding expectations, with revenue growing by 46% year-over-year.
The company raised its guidance for revenue and adjusted EBITDA by 8% and 23%, respectively. Oscar also demonstrated effective cost management, improving its medical loss ratio and reducing SG&A expenses.
Longleaf Partners Small-Cap Fund stated the following regarding Oscar Health, Inc. (NYSE:OSCR) in its fourth quarter 2023 investor letter:
“Oscar Health, Inc. (NYSE:OSCR) – Health insurance and software platform Oscar Health was the top contributor in the fourth quarter and for the year, after the stock price appreciated over 270% in 2023. Oscar was a top detractor in 2022 and highlights the importance of pragmatically revisiting the case for our decliners and not panic selling or adding too early on price declines. It is also a good reminder that game-changing value creation can come in unexpected ways, as it did with Mark Bertolini joining as CEO at Oscar this year. We couldn’t have modeled this as a driver, but we did recognize the stock price had become unduly punished alongside most tech-related businesses in 2022 and had confidence the business would rebound strongly. We remained engaged with management and the board to encourage proactive steps to close the extreme value gap. Oscar did benefit from a general rally in tech businesses coming out of 2022 weakness, but the positive price movement was primarily a direct reflection on the management upgrade and operational execution. Mark Bertolini brings significant operational expertise, as well as a strong endorsement value to the business, given his long-term track record as CEO of Aetna, which he sold to CVS for a great outcome for Aetna shareholders. Bertolini’s compensation package aligns his interests with shareholders, and he only really starts getting paid when the stock trades at $11 (vs the still discounted ~$9 level where the stock ended the year). In his first year, he has in quick order improved cost control and operational efficiency that drove EBITDA strength. Oscar reported another great quarter in November, beating expectations across most metrics and increasing 2024 guidance. The original venture investor holders beyond Thrive remain an overhang on the share price, and Oscar still offers significant upside from here.”
9. Core Scientific, Inc. (NASDAQ:CORZ)
Number of Hedge Fund Holders: 53
Year-to-Date Share Price Gains: 241.86%
Average Price Target Upside: 36.05%
Core Scientific, Inc. (NASDAQ:CORZ) is a leading North American provider of digital infrastructure for Bitcoin mining and hosting services. It operates eight data centers across several states, using its own large fleet of computers to mine Bitcoin.
Most of the company’s revenue comes from self-mining, but it also offers hosting services for Bitcoin mining and high-performance computing clients. Its operations are designed to convert energy into computing power with high efficiency at scale.
The company offers premium hosting services for Bitcoin mining, which focuses on reliability and long-term success. Its customers’ miners are housed in the same data centers where they conduct their own mining operations, and it ensures aligned goals and maximizing profitability.
At its Q2 earnings call, CEO Adam Sullivan provided an overview of Core Scientific’s (NASDAQ:CORZ) progress and financial performance. He highlighted significant achievements, including the successful early delivery of a 16-megawatt data center in Austin for high-performance computing (HPC) hosting, which began generating revenue.
The company has signed HPC contracts that total 382 megawatts and are expected to yield $6.7 billion over 12 years starting in 2025. Additionally, the company completed 72 megawatts of infrastructure in Denton, Texas, and began construction on a 100-megawatt facility in Pecos.
The company recorded 1,680 Bitcoin mined in the second quarter, generating a total revenue of $141 million, with HPC hosting contributing $5.5 million. While gross profit increased by 5% to $39 million, the net loss of $805 million primarily stemmed from non-cash mark-to-market adjustments related to stock prices. Adjusted EBITDA rose by 2% to $46 million, which indicate strong cash generation from operations.
Core Scientific (NASDAQ:CORZ) plans to expand its self-mining fleet and has targeted acquiring 10,000 to 15,000 additional miners in 2024. The company’s strategy includes transitioning some of its infrastructure to HPC hosting, where it anticipates substantial revenue growth. It is optimistic about its future growth and aims to achieve a self-mining hash rate of 21.8 exahashes per second by the end of the year.
It is the 9th best hot stock to buy with an average analyst price target upside of 36.05% from current levels on October 1.
8. Apogee Therapeutics, Inc. (NASDAQ:APGE)
Number of Hedge Fund Holders: 30
Year-to-Date Share Price Gains: 101.02%
Average Price Target Upside: 46.57%
Apogee Therapeutics, Inc. (NASDAQ:APGE) is a clinical-stage biotechnology company focused on developing innovative biologics for treating various inflammatory and immunological conditions, including atopic dermatitis (AD), asthma, and chronic obstructive pulmonary disease (COPD).
Its antibody programs aim to address the shortcomings of current therapies by targeting established mechanisms and using advanced antibody engineering to enhance their effectiveness and longevity.
The company’s lead program, APG777, is targeted for atopic dermatitis, a major and under-addressed market. According to Future Market Insights, revenue generated by atopic dermatitis treatments was $13.44 billion in 2023 and is expected to increase by 12% this year to $15.05 billion. Moreover, it is expected to reach $45.50 billion by 2034 at a compound annual growth rate of 11.7% during the period from 2024 to 2034.
With four proven targets in its lineup, Apogee (NASDAQ:APGE) seeks to provide better effectiveness and dosing using both single therapies and combinations of antibodies. By using its broad range of programs and knowledge, it is dedicated to offering valuable options for patients who do not get enough help from current treatments.
In the second half of 2025, it plans to release 16-week proof-of-concept data for APG777. For APG808, a novel antibody targeting IL-4Rα for the treatment of COPD, interim Phase 1 data is expected in the fourth quarter of 2024.
Additionally, the company will launch the APG990 trial, focused on atopic dermatitis and other inflammatory diseases, with healthy volunteers in the third quarter of 2024.
Recently, Apogee (NASDAQ:APGE) expanded its portfolio with APG333, a new antibody targeting thymic stromal lymphopoietin (TSLP), to improve treatment effectiveness across various respiratory conditions, which is anticipated to begin clinical trials in 2025.
In addition, the company reported a strong cash position of $790 million in Q2, which should support its operations through 2028.
It is one of the best hot stocks to buy as it has been covered by 7 analysts with an average price target of $84, representing an upside of 46.57%, as of October 1. All 7 analysts keep a Buy-equivalent rating on the stock.
On September 30, BTIG analyst Julian Harrison maintained a Buy rating on Apogee’s (NASDAQ:APGE) stock with an $81 price target. His positive outlook stems from various factors related to the company’s APG808 program and its market positioning.
The recent FDA approval of Dupixent for treating COPD with eosinophilic phenotype reduces the risk associated with developing APG808, as it targets a similar patient group, highlighting the acceptance of biologic therapies in the COPD market.
In addition to that positive results from the Phase 1 trials of APG777 also support this view because they share modifications that allow for longer-lasting effects, which could mean less frequent dosing compared to current treatments.
Harrison pointed out the large market for APG808, especially for eosinophil-driven COPD patients who need better options. His recommendation suggests that positive interim data could improve patient care and help the drug reach more people.
7. Janux Therapeutics, Inc. (NASDAQ:JANX)
Number of Hedge Fund Holders: 31
Year-to-Date Share Price Gains: 303.81%
Average Price Target Upside: 49.44%
Janux Therapeutics, Inc. (NASDAQ:JANX) is a clinical-stage biopharmaceutical company working on cancer treatments that activate the immune system to fight tumors. It has developed two special platforms: Tumor Activated T Cell Engagers (TRACTr) and Tumor Activated Immunomodulators (TRACIr).
The platforms aim to create safe and effective therapies that help the immune system destroy tumors while minimizing side effects. The company is developing a variety of TRACTr and TRACIr treatments for solid tumors.
Right now, it has two TRACTr treatments in clinical trials: one targets Prostate-Specific Membrane Antigen (PSMA) for prostate cancer, and the other targets Epidermal Growth Factor Receptor (EGFR) for colorectal, lung, head and neck, and kidney cancers.
Janux Therapeutics (NASDAQ:JANX) has two primary candidates JANX007 (targeting PSMA for prostate cancer) and JANX008 (targeting EGFR for various solid tumors). The lead candidate, JANX007, is in a Phase 1 trial for metastatic castration-resistant prostate cancer, while JANX008 is also in a Phase 1 trial for various solid tumors.
As of June 30, 2024, the company reported $646.3 million in cash and investments, an increase from $344 million at the end of 2023. The company’s research and development expenses for the second quarter of 2024 remained consistent at $14.9 million, matching the previous year’s figures.
However, general and administrative expenses rose to $7.8 million, up from $6.9 million in 2023. Additionally, Janux (NASDAQ:JANX) experienced a reduced net loss of $6.0 million for the quarter, a significant improvement compared to a net loss of $17.5 million in the same period last year.
Overall, the company’s financial performance reflects a strong cash position and effective cost management, which positions it for continued growth and advancement in its clinical programs.
Out of 912 hedge funds tracked by Insider Monkey in the second quarter, 31 had stakes in Janux Therapeutics (NASDAQ:JANX) with positions worth $974.191 million. As of June 30, RA Capital Management has a position worth $383.949 million in the company, making it the most prominent shareholder.
6. Dyne Therapeutics, Inc. (NASDAQ:DYN)
Number of Hedge Fund Holders: 38
Year-to-Date Share Price Gains: 166.16%
Average Price Target Upside: 51.04%
Dyne Therapeutics, Inc. (NASDAQ:DYN) is a clinical-stage company dedicated to creating innovative treatments for genetically driven muscle diseases. It is focused on developing targeted oligonucleotide therapies for serious muscle diseases using its proprietary FORCE platform.
The platform is designed to improve the delivery of treatments to muscle tissue and it aims to stop or reverse disease progression. The company is currently concentrating on myotonic dystrophy type 1 (DM1), Duchenne muscular dystrophy (DMD), and facioscapulohumeral muscular dystrophy (FSHD).
The FORCE platform uses engineered antigen-binding fragments (Fabs) that target the TfR1 receptor, which is highly expressed on muscle cells. The approach offers advantages over traditional monoclonal antibodies, such as better tissue penetration, increased tolerability, and reduced immune activation risks.
It combines these Fabs with a linker that has demonstrated safety and efficacy to deliver therapeutic payloads, including antisense oligonucleotides (ASOs) and small molecules, to address the genetic causes of diseases.
The company aims to expand its portfolio by exploring additional muscle-related conditions, including rare skeletal, central nervous system, cardiac, and metabolic muscle diseases, while ensuring that its selected therapeutic payloads effectively target the genetic basis of these disorders.
On September 3, Dyne (NASDAQ:DYN) announced positive results from its Phase 1/2 DELIVER trial of DYNE-251, a treatment for Duchenne muscular dystrophy DMD targeting exon 51 skipping (skipping over faulty parts of the gene that are responsible for producing dystrophin). Dystrophin is a key protein that helps maintain the structure of muscle cells.
In the 20 mg/kg group, dystrophin levels reached 3.71% of normal, which is much higher than previous treatments. Patients also showed better movement and other important health improvements.
The treatment was mostly safe, with most side effects being mild or moderate. There were two cases of more serious side effects at a higher dose, but both patients recovered.
On September 23, Piper Sandler analyst Edward maintained an Outperform rating on Dyne (NASDAQ:DYN) with a $23 price target. The analyst recommended buying shares of the company as he expects new results from the Phase I/II ACHIEVE and DELIVER trials, along with the start of important registration studies by the end of 2024.
Tenthoff believes higher doses of DYNE-101 (5.4 mg/kg and 6.8 mg/kg) will lead to better results. Although Dyne’s (NASDAQ:DYN) stock dropped due to serious side effects from the 40 mg/kg dose of DYNE-251, the 20 mg/kg dose given every four weeks has shown important benefits, like effective exon skipping and improved dystrophin levels.
5. Edgewise Therapeutics, Inc. (NASDAQ:EWTX)
Number of Hedge Fund Holders: 30
Year-to-Date Share Price Gains: 148.27%
Average Price Target Upside: 53.79%
Edgewise Therapeutics, Inc. (NASDAQ:EWTX) is a biopharmaceutical company focused on developing new treatments for muscle diseases, including muscular dystrophies and severe heart conditions. Its lead drug, Sevasemten, is an oral skeletal myosin inhibitor in advanced trials for Becker and Duchenne muscular dystrophies.
Another key drug, EDG-7500, is being developed for heart conditions like hypertrophic cardiomyopathy and is currently in Phase 2 trials. The company recently announced promising results from the Phase 1 and Phase 2 trials of EDG-7500.
In the Phase 1 trial with healthy participants, EDG-7500 was well tolerated, with no significant side effects on heart function. In the Phase 2 CIRRUS-HCM trial, patients with obstructive HCM showed significant reductions in heart pressure and a key heart failure biomarker without affecting their heart’s pumping ability.
Edgewise’s (NASDAQ:EWTX) early data on EDG-7500 has made the analysts quite bullish on the company. On September 19, TipRanks reported that Leerink Partners analyst Joseph Schwartz reaffirmed a Buy rating on the company stock with a $42 price target.
The analyst believes that EDG-7500 shows promise for treating hypertrophic cardiomyopathy (HCM). Early results indicate that EDG-7500 is well-tolerated and does not significantly affect left ventricular ejection fraction (LVEF), which is an advantage over other heart medications.
Schwartz pointed out that EDG-7500 effectively lowers the left ventricular outflow tract gradient without reducing LVEF, making it a safer and potentially better option. The analyst believes that there is an increased likelihood of success for EDG-7500 in treating obstructive HCM and expects more positive data to further improve the company’s value.
On September 20, RBC Capital analyst Leonid Timashev maintained an Outperform rating on Edgewise (NASDAQ:EWTX) and raised the price target to by $10 to $42. Timashev believes the early data for EDG-7500 is very encouraging, showing effectiveness and no safety issues, with the potential for the drug to get even better over time.
He is also positive about upcoming developments in the next six months, including data on Becker muscular dystrophy, Duchenne muscular dystrophy, and the multiple-dose trial of EDG-7500, which could help increase the stock’s value even more.
With average price target upside of 53.79%, Edgewise (NASDAQ:EWTX) is one of the best hot stocks to buy now.
4. Geron Corporation (NASDAQ:GERN)
Number of Hedge Fund Holders: 26
Year-to-Date Share Price Gains: 106.07%
Average Price Target Upside: 58.73%
Geron Corporation (NASDAQ:GERN) is a biopharmaceutical company focused on transforming the treatment of blood cancers. Its flagship product, RYTELO (imetelstat), has been approved in the United States for specific adult patients suffering from lower-risk myelodysplastic syndromes (LR-MDS) with transfusion-dependent anemia.
The company is running an important Phase 3 clinical trial for imetelstat in patients with myelofibrosis who have either relapsed or did not respond to JAK inhibitors. It is also exploring the drug’s potential to treat other types of blood cancers. Imetelstat works by blocking telomerase activity, which is usually higher in harmful stem and progenitor cells. The action aims to slow down their growth and help kill these cancerous cells.
Doctors and patients are excited about Rytelo’s ability to help those with lower-risk MDS, especially patients who need blood transfusions. It can be accessed within 24-48 hours in most states
In addition, Geron (NASDAQ:GERN) has requested a patent extension until August 2037 and is working on expanding its availability, including submitting a marketing application in the EU.
On September 9, The Fly reported that Analyst Faisal Khurshid from Leerink started coverage on the company stock with an Outperform rating and a $7 price target. According to the analyst, it is a Top Pick in the Emerging Immunology sector.
Leerink is optimistic about Geron’s (NASDAQ:GERN) future, especially for the year 2025, as it believes Rytelo could become a top-selling treatment for LR-MDS. The firm expects to see this reflected in the company’s quarterly revenue starting in 2025.
3. Grupo Financiero Galicia S.A. (NASDAQ:GGAL)
Number of Hedge Fund Holders: 15
Year-to-Date Share Price Gains: 150%
Average Price Target Upside: 69.23%
Grupo Financiero Galicia S.A. (NASDAQ:GGAL) is a prominent financial services holding company in Argentina. It is also the largest privately owned domestic bank in the country. The company has a diverse portfolio of subsidiaries, including Banco Galicia, Naranja X, Galicia Seguros, and Galicia Asset Management. It provides a wide range of financial products and services, which include savings accounts, credit options, investment solutions, and insurance offerings.
In April, Grupo Financiero Galicia (NASDAQ:GGAL), along with its subsidiary Banco Galicia, made a deal with HSBC Latin America B.V. to buy its ownership in three companies: HSBC Argentina Holdings S.A., HSBC Participaciones (Argentina) S.A., and HSBC Bank Argentina S.A.
In this deal, Banco Galicia will purchase 57.89% of the shares, while Grupo Financiero Galicia S.A. will buy the remaining 42.11%. As a result, they will own 99.99383% of the shares and voting rights of HSBC Bank Argentina S.A. They will also gain complete control over the other HSBC companies mentioned.
The total cost of this purchase is $475 million. Banco Galicia will pay about $275 million in cash, while Grupo Financiero Galicia S.A. will cover about $200 million by issuing Class B shares, which will be represented as American Depositary Receipts.
In September, Grupo Financiero Galicia (NASDAQ:GGAL) received approval from the Argentine Central Bank for its acquisition of HSBC Argentina Holdings S.A. and its related entities. The deal is expected to have a major impact not just for the company but the Argentine banking industry.
According to the Insider Monkey database, 15 hedge funds had stakes worth $147.459 million in the company, as of Q2. Moreover, the company ranks at 3 on our list of best hot stocks to buy with an average price target upside of 69.23%, as of October 1.
2. AST SpaceMobile, Inc. (NASDAQ:ASTS)
Number of Hedge Fund Holders: 15
Year-to-Date Share Price Gains: 397%
Average Price Target Upside: 69.88%
AST SpaceMobile, Inc. (NASDAQ:ASTS) is a satellite design and manufacturing company based in Texas. It is developing the SpaceMobile satellite constellation to provide cellular broadband access through satellite, which allows unmodified smartphones to connect in areas with poor coverage.
The company went public in 2021 after a merger with AST & Science LLC. The company raised significant funds through partnerships with companies like Vodafone, Rakuten, and AT&T. Its BlueWalker 3 was launched in 2022, and became the largest commercial communications system in low Earth orbit. In 2023, the company made the first-ever phone call from space using regular smartphones without any changes.
AST (NASDAQ:ASTS) successfully launched its first five BlueBird commercial satellites on September 11, after more than seven years and $1 billion of investment. These satellites will provide cellular broadband services, and aim for nearly full coverage of the continental U.S. using a premium low-band spectrum. After activation, the company plans to roll out 5,600 sales across the country.
Analysts are quite bullish on the company as it has been covered by 5 and all of them maintain a Buy-equivalent rating on the stock. On August 16, Scotiabank analyst Andres Coello maintained an Outperform rating on the stock and raised his price target to $28 from $21.10.
As reported by The Fly, the analyst mentioned that if the Federal Communications Commission sticks to its equivalent power flux-density (EPFD) rules, AST SpaceMobile (NASDAQ:ASTS) might become the only licensed operator of its kind in the richest telecom market. This exclusivity could improve the company’s position in the market and attract more interest from investors.
1. Viking Therapeutics, Inc. (NASDAQ:VKTX)
Number of Hedge Fund Holders: 50
Year-to-Date Share Price Gains: 239.17%
Average Price Target Upside: 83.87%
Viking Therapeutics, Inc. (NASDAQ:VKTX) is a biopharmaceutical company that focuses on creating new treatments for metabolic and hormone-related disorders. It has three key drugs in clinical trials. One of these is VK2735, which works on two important receptors (GLP-1 and GIP) and has shown good results in early trials for treating metabolic issues.
VK2735, demonstrated significant weight loss in a Phase 2 study, with up to a 15% reduction in body weight over 13 weeks. Viking is advancing this drug into Phase 3 development, while also exploring a monthly dosing regimen.
It is also testing an oral tablet version of VK2735, which showed strong safety and tolerability in a Phase 1 trial, with promising weight loss results.
On September 30, TipRanks reported that Morgan Stanley analyst Michael Ulz maintained a Buy rating on Viking Therapeutics (NASDAQ:VKTX) stock with a price target of $105 as the analyst’s positive outlook is mainly driven by VK2735 oral drug’s Phase 1 results. It includes good safety and weight loss even at lower doses.
Ulz expects more weight loss data at higher doses to be revealed during Obesity Week, which could further boost the stock. He highlighted that VK2735 has a better safety profile, especially fewer gastrointestinal side effects, compared to its competitors. This advantage could help it stand out in the market.
Another drug, VK2809, targets thyroid hormone receptors and has shown success in treating liver diseases like non-alcoholic steatohepatitis (NASH) and fatty liver disease. In the Q2 earnings call, management said that VK2809 showed important improvements in both NASH and liver scarring and met key goals in its study. Viking plans to meet with the FDA to talk about the next steps for the drug.
Viking Therapeutics (NASDAQ:VKTX) is also working on a new class of treatments, DACRAs, for obesity and other metabolic disorders. Additionally, it is also working on VK0214 to treat X-linked adrenoleukodystrophy (X-ALD), a rare nerve and muscle disease, and has finished signing up patients for an early study.
Viking Therapeutics’s (NASDAQ:VKTX) stock has been covered by 14 analysts and all of them maintain a Buy-equivalent rating on the stock. The average price target of $114 represents an upside of 83.87% for the company as of October 1, which is why the company tops our list of the best hot stocks to buy.
While we acknowledge the potential of Viking Therapeutics (NASDAQ:VKTX) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than VKTX but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
Read Next: $30 Trillion Opportunity: 15 Best Humanoid Robot Stocks to Buy According to Morgan Stanley and Jim Cramer Says NVIDIA ‘Has Become A Wasteland’.
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