Viking Therapeutics (VKTX Quick QuoteVKTX - Free Report) is set to report third-quarter 2026 earnings on Oct. 28, after market close. Because the company has no marketed drugs in its portfolio, it is not expected to record revenue. The Zacks Consensus Estimate pegs earnings at a loss of $1 per share.

Loss estimates for 2026 have slightly improved from $4.47 to $4.46 per share over the past 30 days. However, those for 2027 have remained unchanged at a loss of $4.08 over the same period.

Image Source: Zacks Investment Research

VKTX’s Earnings Surprise History

Earnings missed estimates in three of the trailing four quarters and beat the mark on one occasion, delivering a negative average surprise of 26.47%. In the last reported quarter, Viking’s earnings beat estimates by 9.09%.

Image Source: Zacks Investment Research

What Our Model Predicts for VKTX

Per our proven model, companies with the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) have a good chance of delivering an earnings beat. This is not the case here. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter.

Viking has an Earnings ESP of 0.00% and a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Factors Likely to Shape VKTX’s Upcoming Results

Investor attention is likely to have centered on Viking Therapeutics’ obesity pipeline, particularly its lead candidate, VK2735. A dual GLP1 and GIP receptor agonist, the drug is being developed as both subcutaneous (SC) and oral formulations. While Viking initiated two phase III studies of SC VK2735 last year, the company recently advanced the oral formulation into its own late-stage development program.

Investors may look for management commentary on the progress of the VANQUISH studies, which are evaluating once-weekly SC VK2735 over 78 weeks. VANQUISH-1 is assessing the drug in adults with obesity or overweight and at least one weight-related comorbidity, excluding those with type II diabetes (T2D), while VANQUISH-2 is evaluating the drug in adults with obesity or overweight who have T2D. With both studies fully enrolled, management may provide updates on the anticipated timing of data readouts, which are expected in 2027.

Management may also provide further details on the newly initiated phase III program for oral VK2735, including enrollment timelines and anticipated data readouts. The two SUNRISE studies broadly follow the framework of the VANQUISH studies but are smaller in scale and shorter in duration, with each evaluating treatment over 68 weeks.

Beyond developing oral and injectable formulations of VK2735, Viking is also exploring strategies to support long-term weight maintenance. After announcing encouraging results from the first part of a maintenance study last month that evaluated less frequent SC doses, the company recently started the second part of this study to evaluate oral VK2735 alongside less-frequent SC dosing regimens as potential options for maintaining weight loss. An update on this study is expected in 2027.

Investors may also look for updates on the ongoing phase I study on VK3019, Viking’s investigational dual amylin and calcitonin receptor agonist, which is being developed as a potential treatment for obesity.

Nevertheless, a single quarter’s results are not so important for long-term investors. Let us delve deeper to understand whether it would be a prudent move to buy, sell or hold the stock at present.

VKTX’s Stock Price Performance & Valuation

Year to date, the stock has lost roughly 31% against the industry’s nearly 5% growth. It has also underperformed the broader Medical sector and the S&P 500 Index, as seen in the chart below.

VKTX Stock Underperforms Industry, Sector & S&P 500

Image Source: Zacks Investment Research

From a valuation standpoint, Viking is trading at a premium to the industry. Going by the price/book ratio, the stock currently trades at 7.53 times trailing 12-month book value, which is higher than 3.94 times for the industry.

Image Source: Zacks Investment Research

Our Investment Thesis on VKTX Stock

Viking Therapeutics has several potential catalysts that could support its stock. With the phase III program for oral VK2735 now underway, investors will look for updates on study progress and development timelines. Viking expects to report results from the oral maintenance portion of the VK2735 study in 2027, which could provide further evidence of its potential for flexible, less-frequent dosing. We also expect data readouts from the VANQUISH studies next year. Positive findings could strengthen the drug’s commercial prospects and support Viking’s efforts to compete in the obesity-treatment market.

Viking’s financial position is another positive. The company held $502 million in cash, cash equivalents and short-term investments as of June 2026-end and raised approximately $575 million in gross proceeds through equity and convertible-note offerings in September. This should provide substantial funding for continued pipeline development and potential commercialization, although the financing also introduces shareholder dilution and debt obligations.

However, competition remains a key risk, with Eli Lilly (LLY Quick QuoteLLY - Free Report) and Novo Nordisk (NVO Quick QuoteNVO - Free Report) dominating the obesity-treatment market through established products and extensive commercial capabilities. Viking will need to demonstrate that VK2735 can compete effectively on efficacy, safety and dosing convenience. The company could also attract acquisition interest from larger pharmaceutical players seeking to strengthen their obesity portfolios, although any such possibility remains speculative.

How to Play VKTX Stock?

We believe the recent decline could provide an opportunity for investors to buy or retain VKTX shares. Although clinical and competitive risks remain, favorable developments from VK2735 could help the stock regain momentum.