Viking Therapeutics (NASDAQ:VKTX) Trading Down 2.4% - What's Next?

Viking Therapeutics, Inc. (NASDAQ:VKTX) saw its shares drop by 2.4% on Friday, with the stock trading as low as $46.60 before settling at $46.71. This decline came on a day when about 620,701 shares were exchanged, a sharp drop of 86% from the average daily volume of 4,426,543 shares. The previous day's close was $47.87.

Analyst Ratings Changes

Various equities analysts have shared their perspectives on Viking Therapeutics. In a report from September 11, JPMorgan Chase & Co. initiated coverage with an "overweight" rating and set a price target of $80.00. Oppenheimer followed suit by maintaining an "outperform" rating and providing a price target of $138.00 on September 25. On November 26, HC Wainwright reiterated a "buy" rating with a price target of $102.00. Meanwhile, William Blair also reaffirmed an "outperform" rating, and Morgan Stanley confirmed its "overweight" rating with a target of $105.00 on September 12. Overall, one analyst has rated the stock as a sell, while eleven recommend a buy and two a strong buy, giving Viking Therapeutics a consensus rating of "Buy" and an average target price of $106.75 according to MarketBeat.com.

Company Overview

Despite the recent drop, Viking Therapeutics boasts a market capitalization of $5.19 billion, a P/E ratio of -50.23, and a beta of 0.88. The stock’s 50-day moving average stands at $60.03, while the 200-day moving average is $58.61.

On October 23, Viking Therapeutics announced its quarterly earnings, reporting a loss per share of ($0.22), slightly better than the estimated loss of ($0.24). In the same quarter last year, the company reported a loss of ($0.23) per share. Analysts project that Viking Therapeutics will post a loss of -0.97 EPS for the current fiscal year.

Insider Activity at Viking Therapeutics

In insider news, Director J Matthew Singleton sold 10,300 shares on September 20 at an average price of $69.50, totaling $715,850. Following this transaction, he reduced his stake by 52.02%, leaving him with 9,500 shares worth around $660,250. Similarly, Director Sarah Kathryn Rouan sold 11,000 shares on October 25 at an average price of $80.89, which amounted to a transaction worth $889,790, also representing a 53.66% decrease in her holdings. In the past three months, insiders have sold 371,117 shares valued at $27,140,009, with corporate insiders holding 4.70% of the company's stock.

Hedge Funds Weigh In On Viking Therapeutics

Recent activity among institutional investors showed a pickup in interest in Viking Therapeutics. Blue Trust Inc. acquired a new stake worth about $26,000 in the third quarter. GAMMA Investing LLC increased its holdings by 124.6%, now owning 438 shares valued at approximately $28,000 after adding 243 shares in the last quarter. Other institutional investors, including Gilliland Jeter Wealth Management, Stone House Investment Management, and Massmutual Trust Co. FSB ADV also adjusted their positions, leading to a scenario where 76.03% of the stock is owned by these investors.

About Viking Therapeutics

Viking Therapeutics focuses on creating innovative therapies for metabolic and endocrine disorders. Its leading drug candidate, VK2809, is an orally available selective agonist targeting the thyroid hormone receptor beta (TRß). It is currently undergoing Phase IIb clinical trials to treat patients with biopsy-confirmed non-alcoholic steatohepatitis as well as non-alcoholic fatty liver disease (NAFLD).

Should you invest $1,000 in Viking Therapeutics right now?

While analysts rate Viking Therapeutics as a "Buy," some market experts have identified other companies they view as better investment opportunities. Investors may want to consider these options before making decisions.

Viking, Therapeutics, Stock