Viking Therapeutics, Inc. (NASDAQ:VKTX – Get Free Report) was the recipient of unusually large options trading on Thursday. Traders acquired 48,911 call options on the stock. This represents an increase of approximately 259% compared to the typical volume of 13,631 call options.
Viking Therapeutics News Roundup
Here are the key news stories impacting Viking Therapeutics this week:
- Positive Sentiment: VK2735 data supports the obesity-drug opportunity. Recent updates indicate that weight loss from Viking’s candidate may persist after treatment, an important potential differentiator as the company advances its weight-loss programs into late-stage trials. Viking Therapeutics Soared After Its Latest GLP-1 Data
- Positive Sentiment: Additional funding improves financial flexibility. Viking priced an upsized $500 million financing consisting of 7.86 million common shares sold at $35 each and $225 million of 2.00% convertible senior notes due 2032. The proceeds should help fund clinical development and corporate operations without an immediate need for another raise. Viking Therapeutics Prices Upsized $500 Million Offering
- Neutral Sentiment: Analyst sentiment remains generally constructive but mixed. Leerink Partners maintained a Buy rating, while Goldman Sachs maintained a Hold rating. The broader analyst consensus is reported as Moderate Buy, suggesting optimism about Viking’s pipeline but continued valuation and execution concerns. Leerink Partners Sticks to Their Buy Rating
- Neutral Sentiment: Trading activity has been unusually high. Heavy share volume and a sharp increase in call-option activity show elevated investor interest, but these indicators reflect positioning and volatility rather than a clear change in Viking’s fundamentals. Viking Therapeutics Sees Strong Trading Volume
- Negative Sentiment: The equity offering creates dilution and was priced at a substantial discount. The common stock was issued at $35, below the prior market price, and the convertible notes could create additional dilution if converted. The upsized raise therefore pressured the shares despite the company’s promising drug data. Why Is Viking Therapeutics Stock Trading Down Thursday?
- Negative Sentiment: Investors remain focused on execution risk. Viking is still a clinical-stage biotechnology company with no established commercial revenue, meaning its valuation depends heavily on successful trials, regulatory approval and eventual competition with Eli Lilly and Novo Nordisk.
Insider Buying and Selling
In other Viking Therapeutics news, COO Marianna Mancini sold 18,217 shares of the stock in a transaction that occurred on Wednesday, July 29th. The shares were sold at an average price of $33.47, for a total value of $609,722.99. Following the transaction, the chief operating officer directly owned 422,760 shares in the company, valued at $14,149,777.20. This represents a 4.13% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Brian Lian sold 148,517 shares of the firm’s stock in a transaction that occurred on Wednesday, July 29th. The stock was sold at an average price of $33.32, for a total transaction of $4,948,586.44. Following the sale, the chief executive officer directly owned 2,572,441 shares in the company, valued at approximately $85,713,734.12. The trade was a 5.46% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 187,951 shares of company stock worth $6,268,442 over the last 90 days. 5.30% of the stock is owned by insiders.
Hedge Funds Weigh In On Viking Therapeutics
Viking Therapeutics Stock Performance
VKTX stock opened at $35.56 on Friday. The stock has a market capitalization of $4.15 billion, a PE ratio of -7.63 and a beta of 0.69. The company has a fifty day moving average of $33.83 and a 200-day moving average of $33.58. Viking Therapeutics has a one year low of $24.88 and a one year high of $43.15.
Viking Therapeutics (NASDAQ:VKTX – Get Free Report) last issued its quarterly earnings results on Wednesday, July 29th. The biotechnology company reported ($1.10) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($1.21) by $0.11. Viking Therapeutics’s revenue was up .0% compared to the same quarter last year. During the same quarter last year, the business earned ($0.58) EPS. Equities analysts forecast that Viking Therapeutics will post -4.47 earnings per share for the current fiscal year.
Analysts Set New Price Targets
A number of research analysts recently commented on VKTX shares. Canaccord Genuity Group increased their target price on shares of Viking Therapeutics from $107.00 to $114.00 and gave the company a “buy” rating in a research report on Thursday, July 30th. Truist Financial boosted their price target on shares of Viking Therapeutics from $83.00 to $87.00 and gave the company a “buy” rating in a research report on Wednesday. HC Wainwright restated a “buy” rating on shares of Viking Therapeutics in a research note on Tuesday. Oppenheimer set a $120.00 price objective on Viking Therapeutics in a report on Tuesday. Finally, Morgan Stanley reiterated an “overweight” rating on shares of Viking Therapeutics in a research report on Tuesday. One equities research analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating, two have issued a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, Viking Therapeutics currently has an average rating of “Moderate Buy” and an average price target of $99.67.
Read Our Latest Stock Analysis on VKTX
About Viking Therapeutics
Viking Therapeutics, Inc is a clinical-stage biopharmaceutical company focused on developing therapies for metabolic and endocrine disorders. The company’s research programs target conditions including obesity, nonalcoholic steatohepatitis (NASH), metabolic dysfunction-associated steatohepatitis (MASH), dyslipidemia and other disorders involving hormone regulation and metabolism.
Viking’s lead program is VK2735, an investigational dual agonist of the glucagon-like peptide-1 (GLP-1) and glucose-dependent insulinotropic polypeptide (GIP) receptors being developed in injectable and oral formulations for obesity and related metabolic conditions.
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