Viking Therapeutics Outperforms Expectations: Analyst Increases Price Target Following Successful VK2809 Trial


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Ligand Pharmaceuticals Incorporated's (NASDAQ:LGND) partner Viking Therapeutics Inc (NASDAQ:VKTX) announced positive topline results from its Phase 2b trial of VK2809 in non-alcoholic steatohepatitis (NASH)

The study achieved its primary endpoint, with patients receiving VK2809 experiencing statistically significant reductions in liver fat content from baseline to Week 12 compared to placebo.

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The median relative change from baseline in liver fat ranged from 38% to 55% for patients receiving VK2809. 

Additionally, VK2809-treated patients demonstrated statistically significant reductions in low-density lipoprotein cholesterol (LDL-C), triglycerides, and atherogenic lipoproteins compared with placebo.

William Blair says that after Madrigal Pharmaceuticals Inc (NASDAQ:MDGL) announced positive topline results from the pivotal Phase 3 MAESTRO-NASH biopsy trial of resmetirom, investor enthusiasm in the NASH space has been invigorated.

VK2809 offers differentiation by specifically targeting the liver, which could translate to a clinical advantage for VK2809 compared to resmetirom, particularly in providing a more tolerable regimen with an improved safety profile.

BTIG has raised the price target from $31 to $36, with a Buy rating, based on this impressive data exceeding expectations and de-risking further clinical development. 

The analyst has increased modeled PoS for VK-2809 from 65% to 75%. 

The company reported one treatment-related serious adverse event (SAE) in a patient with a history of psychiatric disorders, where a worsening of their symptoms.

The analyst says the SAE is not of concern, as the patient had a history of mental illness and drug abuse, and there is no correlation to VK2809.

Price Action: VKTX shares are up 13.40% at $24.94 on the last check Tuesday.


27% profit every 20 days?

This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.


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