Promising NASH Treatments and Competitive Edge in Metabolic Disease Pipeline – TipRanks Financial Blog

Analyst Naz Rahman of Maxim Group maintained a Buy rating on Viking Therapeutics (VKTX – Research Report), with a price target of $120.00.

Naz Rahman has given his Buy rating due to a combination of factors including Viking Therapeutics’ promising pipeline of treatments for metabolic diseases and the recent FDA approval of a similar drug by Madrigal Pharmaceuticals. Viking’s lead candidate, VK2809, is a thyroid hormone receptor β (THRβ) agonist aimed at treating nonalcoholic steatohepatitis (NASH), which is an area with high unmet medical needs. Rahman believes that the approval of Madrigal’s Rezdiffra for NASH, which is in the same drug class as VK2809, modestly de-risks Viking’s candidate by paving the way for regulatory acceptance of this type of therapy.

Furthermore, Rahman anticipates that VK2809 will demonstrate greater potency and a more tolerable safety profile based on existing study results. This could potentially translate into a competitive advantage in the market, despite the possibility that Viking may need to undertake extensive studies to continue development for NASH. Additionally, a significant portion of Viking’s valuation is attributed to its GLP-1/GIP franchise for obesity, which also shows potential benefits for NASH. With the expectation of 52-week histology results from VK2809 studies in the first half of 2024, Rahman looks forward to updates that could further substantiate the Buy recommendation.

In another report released yesterday, BTIG also maintained a Buy rating on the stock with a $100.00 price target.

VKTX’s price has also changed dramatically for the past six months – from $14.770 to $62.560, which is a 323.56% increase.

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Viking Therapeutics (VKTX) Company Description:

Viking Therapeutics, Inc. is a clinical-stage biopharmaceutical company, which engages in the development of novel therapies for patients suffering from metabolic and endocrine disorders. The company’s clinical program VK5211, treats patients recovering from non-elective hip fracture surgery. It also specializes in development of VK2809 and VK0214. The company was founded by Brian Lian and Michael A. Dinerman on September 24, 2012 and is headquartered in San Diego, CA.

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