Is it Worthy to Invest in Viking Therapeutics (VKTX)?

Bumbershoot Holdings LP, an investment management firm, published its third-quarter 2021 investor letter – a copy of which can be downloaded here. Bumbershoot Holdings L.P. generated a positive gross return of +28.75% for the full-year 2021. The partnership has had a cumulative total gross return of +100.4% since its inception in Oct-2015. Spare some time to check the fund’s top 5 holdings to have a clue about their top bets for 2022.

Bumbershoot Holdings, in its Q4 2021 investor letter, mentioned Viking Therapeutics, Inc. (NASDAQ:VKTX) and discussed its stance on the firm. Founded in 2012, Viking Therapeutics, Inc. (NASDAQ:VKTX) is a California-based biopharmaceutical company with a $264.0 million market capitalization and is currently spearheaded by its CEO, Brian Lian. Viking Therapeutics, Inc. (NASDAQ:VKTX) delivered a -26.74% return since the beginning of the year, while its 12-month returns are down by -46.93%. The stock closed at $3.37 per share on March 18, 2022.

Here is what Bumbershoot Holdings has to say about Viking Therapeutics, Inc. (NASDAQ:VKTX) in its Q4 2021 investor letter:

“While Viking Therapeutics (NASDAQ:VKTX) was down for the year—we were able to take advantage of a spike in price during February to moderately reduce/hedge our exposure and transfer some of the position over to Ligand Pharmaceuticals (NASDAQ:LGND)—Viking’s former parent company. Ligand still owns nearly 10% of Viking’s shares, to go along with its own compelling growth story. The combined Viking/Ligand position was a positive contributor to performance.”

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Our calculations show that Viking Therapeutics, Inc. (NASDAQ:VKTX) failed to obtain a mark on our list of the 30 Most Popular Stocks Among Hedge Funds. Viking Therapeutics, Inc. (NASDAQ:VKTX) was in 11 hedge fund portfolios at the end of the fourth quarter of 2021, compared to 12 funds in the previous quarter. Viking Therapeutics, Inc. (NASDAQ:VKTX) delivered a -31.92% return in the past 3 months.

In April 2021, we also shared another hedge fund’s views on Viking Therapeutics, Inc. (NASDAQ:VKTX) in another article. You can find other letters from hedge funds and prominent investors on our hedge fund investor letters 2021 Q4 page.

Disclosure: None. This article is originally published at Insider Monkey.