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On Monday, H.C. Wainwright reaffirmed its Buy rating and $102.00 price target for Viking Therapeutics (NASDAQ:VKTX) shares, representing significant upside potential from the current price of $23.94. According to InvestingPro data, analyst targets for VKTX range from $30 to $164, with a strong consensus recommendation of 1.61 (where 1 is a Strong Buy). The firm’s analyst highlighted the recent announcement from Eli Lilly (NYSE:LLY) regarding the ACHIEVE-1 Phase 3 trial results for orforglipron, an oral GLP-1 receptor agonist. The trial met its primary endpoint of significant A1C reduction compared to placebo over 40 weeks.
The ACHIEVE-1 study was a randomized, double-blind, placebo-controlled trial that evaluated the efficacy and safety of orforglipron in adults with Type 2 diabetes who have inadequate glycemic control through diet and exercise alone. The results showed that orforglipron effectively lowered A1C levels by an average of 1.3% to 1.6% from a baseline of 8.0%. Additionally, more than 65% of participants on the highest dose of orforglipron achieved an A1C level of 6.5% or lower.
Participants in the study also experienced significant weight loss, with an average of 16.0 pounds shed at the highest dose of orforglipron, equating to a 7.9% reduction in body weight. The safety profile of the drug was reported to be consistent with other therapies in the GLP-1 class.
The analyst from H.C. Wainwright noted that the ACHIEVE-1 trial is the first among seven Phase 3 studies examining the safety and efficacy of orforglipron for diabetes and obesity management. While Viking Therapeutics maintains a strong financial position with more cash than debt and a healthy current ratio of 33.09, InvestingPro analysis indicates the company is not yet profitable, with a net loss of $110 million in the last twelve months. The upcoming full data presentation at the American Diabetes Association’s 2025 conference in June is highly anticipated. The firm believes that the data from the ACHIEVE-1 trial, along with subsequent Phase 3 studies, will set a significant benchmark for future data releases from competing oral diabetes treatments. With earnings scheduled for April 23, investors seeking deeper insights can access comprehensive analysis and 10+ additional ProTips through InvestingPro’s detailed research report, part of its coverage of 1,400+ US stocks.
In other recent news, Viking Therapeutics has been the focus of several key developments. H.C. Wainwright reaffirmed its Buy rating on the company, maintaining a price target of $102.00. The firm expressed confidence in Viking’s drug candidate, VK2735, which is being tested for obesity and related conditions. The Phase 2 VENTURE-Oral trial for VK2735 has completed enrollment, and results are anticipated to further establish the drug’s competitive position. Goldman Sachs, on the other hand, initiated coverage with a Neutral rating and a price target of $30.00, citing the competitive nature of the obesity treatment market as a challenge for Viking. Meanwhile, Pfizer (NYSE:PFE)’s discontinuation of its obesity drug candidate, danuglipron, has potentially opened up opportunities for Viking Therapeutics and others in the GLP-1 receptor agonist space. Novo Nordisk (NYSE:NVO)’s recent positive trial results for a similar treatment have also cast a favorable light on VK2735’s potential. These developments have contributed to heightened interest in Viking Therapeutics’ prospects within the pharmaceutical industry.
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