UBS initiated coverage of Viking Therapeutics on October 14 with a Buy rating and a $94 12-month price target, implying roughly 250% upside from shares near $26.75. The bank believes the experimental weight-loss drug VK2735 could produce roughly twice the weight loss of semaglutide and 1.5 times that of tirzepatide, though these comparisons are not based on head-to-head trials. In a phase 2 trial, injections produced average weight reductions of up to 14.7% after 13 weekly doses, and an exploratory group in a September study averaged 21.7% weight loss after 33 weeks. Viking has also started Phase 3 studies of an oral version and held about $960 million in cash, cash equivalents and short-term investments as of September 30. The article notes risks including its clinical-stage status with no approved products, possible share dilution, and competition from Eli Lilly and Novo Nordisk.
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