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Viking Therapeutics' Obesity Drug Moves Into Phase 3 as Investors Weigh Upside

Analysts see a near-$100 billion market that could accommodate more competitors.

Overview

  • Viking is running a phase 3 study of VK2735 in an injectable formulation for weight loss.
  • The company says it plans to begin a phase 3 trial of an oral version later this year.
  • Yahoo Finance’s analysis argues the stock could rise tenfold if the obesity pipeline secures approvals and commercial traction.
  • Viking’s market value is about $3.5 billion, leaving room to expand if products reach the market and generate revenue.
  • Demand for GLP-1 weight-loss drugs has been strong, at times exceeding supply before manufacturers ramped output, which supports the case for additional competitors.