4. Viking Therapeutics Inc. (NASDAQ:VKTX)
Average Upside Potential as of November 11: 88.97%
Viking Therapeutics Inc. (NASDAQ:VKTX) is a clinical-stage biotech that develops drugs for metabolic and endocrine disorders. Its lead drug treats non-alcoholic fatty liver disease, and it has other drugs in development for conditions like hip fractures, type 2 diabetes, and rare genetic diseases.
It experienced a data-rich period during the first three quarters of 2024, with positive data emerging from four clinical trials and promising preclinical results from a new program.
The Phase 2 VENTURE trial evaluating subcutaneous VK2735 for obesity, a dual agonist of the GLP-1 and GIP receptors, demonstrated significant weight reduction after 13 weeks of treatment. Additionally, a Phase 1 trial investigating an oral formulation of VK2735 showed excellent tolerability and encouraged weight loss.
The Phase 2b VOYAGE study evaluating VK2809 for NASH (nonalcoholic steatohepatitis) and fibrosis achieved its primary and secondary endpoints, indicating reductions in liver fat and improvements in NASH resolution and fibrosis. It acts as a selective thyroid hormone receptor beta agonist to improve liver health and lipid metabolism.
A 28-day Phase 1b trial of VK0214 in patients with X-linked adrenoleukodystrophy (X-ALD), aiming to reduce the accumulation of very long-chain fatty acids (VLCFAs) in the body by activating the thyroid hormone receptor beta, showed safety, tolerability, and significant reductions in plasma levels of very long-chain fatty acids and other lipids compared to placebo.
Viking Therapeutics Inc. (NASDAQ:VKTX) is optimistic about its pipeline’s future and is committed to advancing these programs in the upcoming quarters.
Alger Mid Cap Focus Fund stated the following regarding Viking Therapeutics, Inc. (NASDAQ:VKTX) in its Q2 2024 investor letter:
“Viking Therapeutics, Inc. (NASDAQ:VKTX) is a clinical-stage biopharmaceutical company focused on developing novel therapies for patients suffering from metabolic and endocrine disorders. Their lead drug VK2809, a beta-selective thyroid hormone receptor agonist, is in development for nonalcoholic steatohepatitis and nonalcoholic fatty liver disease. Their VK2735 drug is a GLP-1 dual agonist being developed for patients with obesity. During the quarter, the company’s shares were negatively impacted by several factors: 1) a challenging environment for biotechnology stocks, exacerbated by Fed policy decisions to maintain elevated interest rates, 2) increased competition in the obesity treatment landscape, 3) manufacturability and scalability concerns regarding Viking’s obesity drug and 4) the absence of strategic partnerships from large pharmaceutical companies. Despite the challenging quarter, we continue to believe that the company’s GLP-1 drug has the potential to be a best-in-class obesity drug given its favorable efficacy and safety profile. Further, with approximately one-third of U.S. adults suffering from obesity, we believe the company’s GLP[1]1 drug has the potential to address a large market once approved.”
