Analyst Roger Song from Jefferies maintained a Buy rating on Viking Therapeutics (VKTX – Research Report) and keeping the price target at $110.00.
Roger Song has given his Buy rating due to a combination of factors including a significant manufacturing agreement that Viking Therapeutics has signed. This multi-year agreement with CordenPharma secures the production capacity for both the API and finished products of VK2735, which is crucial for the company’s future growth and commercialization efforts.
Moreover, this agreement addresses a major concern regarding manufacturing capacity, which has been a pressure point for the stock. The secured capacity aims to support millions of patients annually, translating into substantial revenue potential. This strategic move not only clarifies the path to commercialization but also makes the investment commitment manageable for Viking Therapeutics, enhancing its attractiveness to investors.
VKTX’s price has also changed dramatically for the past six months – from $60.830 to $26.520, which is a -56.40% drop .
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