Viking Therapeutics Tumbles 0.12% as Clinical Trial Woes Sink Trading Volume to 63% Below Top 500 Rank

Viking Therapeutics (VKTX) closed at $25.33 on August 21, down 0.12% with a trading volume of $230 million, a 63% decline from the previous day. The stock’s performance reflects ongoing uncertainty following mixed clinical trial results for its obesity drug candidate, VK2735. A Phase 2 study reported a 28% dropout rate due to adverse effects like nausea and vomiting, raising concerns about the drug’s tolerability and commercial viability. CEO Brian Lian acknowledged the challenges but highlighted potential adjustments, such as slower dose escalation, to mitigate side effects.

Analysts remain cautious as Viking faces stiff competition in the obesity drug market. While companies like Eli Lilly and Novo Nordisk dominate with injectable therapies, Viking’s oral formulation of VK2735 is still in late-stage trials, with data expected by early 2027. The lack of marketed products and high R&D costs further weigh on investor sentiment. Despite a robust cash balance of $808 million, the stock has underperformed broader healthcare indices and the S&P 500 this year, trading at a premium to industry peers based on price-to-book metrics.

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