Back to top

Image: Bigstock

Viking Therapeutics Gears Up for Q2 Earnings: Here's What to Expect

Read MoreHide Full Article

Key Takeaways

  • VKTX to report Q2 results on July 23 with no revenue expected and a projected EPS loss of $0.44.
  • Investor focus centers on VK2735's VANQUISH trial enrolment and oral dosing study progress.
  • Updates are also expected on IND filing for DACRA obesity candidate and updates on NASH and X-ALD programs.

We expect investors to focus on updates related to Viking Therapeutics’ (VKTX - Free Report) pipeline when it reports second-quarter 2025 results on July 23, after market close. In the last reported quarter, the company’s earnings missed expectations by around 21%.

Since VKTX lacks a marketed drug in its portfolio, we do not expect it to record revenues. The Zacks Consensus Estimate for earnings is pegged at a loss of 44 cents per share. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar)

Factors Shaping VKTX’s Upcoming Results

With no approved/marketed product in its portfolio, Vikings' second-quarter investor call is likely to focus on pipeline updates, which include three candidates — VK2735 (for obesity), VK2809 (for non-alcoholic steatohepatitis [NASH]) and VK0214 (for X-linked adrenoleukodystrophy [X-ALD]).

Last month, Viking Therapeutics started the phase III VANQUISH program to evaluate the subcutaneous (SC) formulation of VK2735 once-weekly in adult patients with or without type II diabetes (T2D) for 78 weeks. The program consists of two late-stage studies — the VANQUISH-1 study will enroll obese adults with at least one weight-related co-morbid condition, while the VANQUISH-2 study will enroll obese or overweight adults with T2D. Investors expect updates on the enrolment progress of both studies. VKTX is targeting enrolment of about 4,500 participants for the VANQUISH-1 study and around 1,100 for the VANQUISH-2 study.

Viking is also evaluating the oral formulation of VK2735 in the ongoing phase II VENTURE-Oral Dosing study, which spans over 13 weeks. Data from this study is expected before this year’s end.

Investors would also seek an update from the company on its progress in advancing the internally developed dual amylin and calcitonin receptor agonist (DACRA) candidate to clinical development. VKTX had previously announced plans to file an investigational new drug (IND) application for this candidate in the obesity indication before the end of this year.

We also expect the company to provide updates on its NASH and X-ALD drugs, including progress on the collaboration prospects for both programs.

VKTX’s Earnings Surprise History

Viking’s earnings performance has been mixed over the trailing four quarters. The company’s earnings beat estimates in two of the last four quarters, while missing the mark on the other two occasions, resulting in a negative average surprise of 1.93%.

Viking Therapeutics, Inc. Price and EPS Surprise

Viking Therapeutics, Inc. Price and EPS Surprise

 

 

 

 

 

 

 

 

Viking Therapeutics, Inc. price-eps-surprise | Viking Therapeutics, Inc. Quote

Viking’s shares have plunged 20% year to date compared with the industry’s 2% decline.

Zacks Investment Research
Image Source: Zacks Investment Research

What Our Model Predicts for VKTX Stock

Our proven model does not predict an earnings beat for Viking this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), which increases the odds of an earnings beat. That is not the case here, as you will see below. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter.

Earnings ESP: Viking Therapeutics has an Earnings ESP of 0.00% as both the Most Accurate Estimate and Zacks Consensus Estimate are pegged at a loss of 44 cents per share.

Zacks Rank: Viking Therapeutics currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank stocks here.

Stocks With the Favorable Combination

Here are a few stocks worth considering from the healthcare space, as our model shows that these have the right combination of elements to beat on earnings this reporting cycle.

Akero Therapeutics (AKRO - Free Report) has an Earnings ESP of +0.53% and a Zacks Rank #1 at present.

AKRO stock has surged 87% year to date. Akero beat on earnings in three of the last four quarters and missed in the other one, delivering an average surprise of 48.90%.

Exact Sciences (EXAS - Free Report) has an Earnings ESP of +475.00% and a Zacks Rank #2 at present.

Shares of EXAS have lost 10% year to date. It beat on earnings in three of the trailing four quarters and missed in the other one, delivering an average surprise of 48.79%. Exact Sciences is expected to report Q2 results on Aug. 6, after market close.

GSK plc (GSK - Free Report) has an Earnings ESP of +4.74% and a Zacks Rank #3 at present.

Shares of GSK have gained 7% in the year-to-date period. The company’s earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 8.61%.GSK intends to report Q2 earnings on July 30, before the opening bell.

Published in