Viking Therapeutics, Inc. (VKTX): A Bull Case Theory

We came across a bullish thesis on Viking Therapeutics, Inc.  on r/wallstreetbets subreddit by Dritzz-9966. In this article, we will summarize the bulls’ thesis on VKTX. Viking Therapeutics, Inc. ‘s share was trading at $32.07 as of July 17^th.

Viking Therapeutics (VKTX), a ~$3.45B biotech firm, is flying under the radar despite its potentially transformative role in the obesity treatment market. The investment thesis centers on VK2735, a GLP-1/GIP dual agonist for weight loss, being developed in both subcutaneous (Phase 3) and oral (Phase 2) forms—mirroring the mechanism of Eli Lilly’s Mounjaro.

The oral formulation’s Phase 2 data is expected between late July and early September 2025, with projections pointing to best-in-class efficacy and safety. The obesity drug market, with estimates ranging from $95B to $158B by the early 2030s, presents a massive TAM. If VKTX captures even a modest share, its valuation could soar: base case implies $180/share on $5B in revenue, with a bull case of $360–540/share.

The stock appears undervalued relative to its potential, trading at a steep discount despite having no debt, $852M in cash, and institutional ownership above 70%. A recent manufacturing agreement with CordenPharma secures scalable production capacity, de-risking the commercial path. Speculation of a buyout—possibly by Pfizer, which exited its own GLP-1 program—adds to the near-term catalysts.

While bears raise concerns over market share and scale, the company has mitigated operational risks and may command premium terms in any M&A scenario. Despite its -48% decline over the past year, largely attributed to macro and short interest (~30%), VKTX offers an unusually asymmetric setup. With a potentially dominant pipeline and clear strategic optionality, VKTX stands as one of the most compelling high-risk/high-reward biotech investments today.

Previously, we covered a bullish thesis on Viking Therapeutics, Inc. (VKTX) by Kontra Investments in February 2025, which highlighted the strong efficacy and superior safety of VK2735 in both subcutaneous and oral forms. The company’s stock price has appreciated approximately by 13% since our coverage. Dritzz-9966 shares a similar view but emphasizes on near-term catalysts and asymmetric risk/reward potential.

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Disclosure: None.