Weakness in Viking Therapeutics (VKTX) is an opportunity.

For one, its VK2735 obesity treatment is that trial results show it’s outperforming other products already on the market.

As noted by Seeking Alpha, “Semaglutide (Wegovy) only showed an 8% loss after 20 weeks, while tirzepatide (Zepbound) took significantly longer to reach a larger weight loss. According to a new study, the weight losses from these GLP-1s on the market was far lower than the Viking Therapeutics drug candidate.”

With exemplary results like that, Viking Therapeutics could have a potential blockbuster hit on its hands. Plus, the company said the oral form of VK2735 helped patients lose about 3.3% of body weight after 28 days in Phase 1 trials. 

Two, Goldman Sachs just raised its obesity treatment market estimates from $100 billion to $130 billion. “The estimate was revised as the firm projects the number of Americans on anti-obesity drugs could reach ~19M by 2030, up from its previous estimate of ~15M. This indicates a ~17% market penetration among U.S. adults,” as noted by Seeking Alpha.