Viking Therapeutics
Viking Therapeutics

SAN DIEGO — Shares of Viking Therapeutics Inc. surged 29.69% to $39.05 in Tuesday trading, adding $8.94, after the clinical-stage biopharmaceutical company reported positive top-line results from a maintenance study of its experimental obesity drug, showing patients retained the vast majority of their weight loss even after switching to a reduced dosing schedule.

The results come from a maintenance trial of VK2735, Viking's dual GLP-1/GIP receptor agonist being developed to compete in the rapidly expanding obesity drug market alongside blockbuster treatments including Eli Lilly's Zepbound and Novo Nordisk's Wegovy. According to the data released Tuesday, the 17.5-milligram weekly dose of VK2735 delivered a 22% placebo-adjusted reduction in body weight over a 33-week treatment period.

The trial's maintenance phase, examining what happens when patients shift away from weekly dosing, produced the results that most directly drove Tuesday's rally. Patients who moved to an every-other-week dosing schedule for 12 weeks retained up to 97% of their prior weight loss, while those who shifted to monthly dosing retained up to 90%, compared with just 61% retention among patients in the placebo group over the same period. Viking also reported a favorable safety profile from the trial, with gastrointestinal side effects, a common concern with this class of obesity drugs, occurring at rates comparable to placebo.

The maintenance data adds to earlier results from the same trial, in which patients treated with weekly VK2735 lost between 16% and 19% of their body weight after 21 weeks of treatment, according to the company's disclosures. Viking had previously indicated it expected maintenance data from the study to become available during the third quarter of 2026, a timeline the company said remained unchanged with Tuesday's release.

Viking is already advancing an injectable formulation of VK2735 through Phase 3 clinical trials, with approximately 5,500 patients enrolled across two separate late-stage studies. Separately, the company has said it plans to advance an oral formulation of VK2735 into its own Phase 3 program by the end of 2026, a step the company has described as a critical milestone on the path toward potential regulatory approval and eventual commercialization.

Trading volume in Viking shares climbed sharply above typical levels as the news spread Tuesday, with the stock's move standing out clearly against an otherwise muted broader market. The S&P 500 edged up just 0.1% on the day, the Nasdaq Composite gained roughly 0.05%, and the Dow Jones Industrial Average added about 0.3%, indicating that Tuesday's sharp move in Viking shares was driven entirely by the company-specific clinical trial news rather than any broader market catalyst.

Viking shares had previously touched a 52-week high of $43.15, and the stock's premarket trading Tuesday, which saw shares briefly approach the $42 level before regular trading began, brought the stock within close range of that prior peak. Tuesday's percentage gain ranks among the largest single-day moves for the stock since February 2024, according to trading data reviewed following the announcement.

Ahead of Tuesday's data release, Oppenheimer had maintained a price target of $100 on Viking shares, a level that implied substantial potential upside even before the maintenance study results were made public. Other analysts have offered similarly bullish assessments of the stock in recent months as VK2735's clinical program has advanced, with firms including H.C. Wainwright, Cantor Fitzgerald and BTIG Research maintaining Buy ratings on the shares over the course of the year, even as JPMorgan trimmed its own price target to $65 from $75 in August, reflecting a range of views on the stock's near-term valuation heading into Tuesday's catalyst.

Founded and based in San Diego, Viking Therapeutics focuses on developing therapies for metabolic and endocrine diseases. Beyond VK2735, the company's broader pipeline includes VK2809, a treatment candidate for non-alcoholic steatohepatitis and hypercholesterolemia; VK5211, aimed at muscle wasting conditions; and VK0214, targeting X-linked adrenoleukodystrophy, a rare genetic disorder. As a clinical-stage company, Viking currently generates no product revenue and continues to fund its operations primarily through equity offerings and collaboration agreements. The company reported cash reserves of approximately $502 million as of the end of the second quarter of 2026, providing capital runway to continue advancing its pipeline through the coming stages of clinical development.

With Viking's injectable VK2735 program continuing through Phase 3 testing and the company targeting a Phase 3 launch for its oral formulation before year-end, investors are likely to watch closely for further data readouts in the coming months, as the company works to establish VK2735 as a credible competitor within a rapidly growing obesity treatment market currently dominated by Eli Lilly and Novo Nordisk's established blockbuster therapies.