Viking and Summit: Biotechs with Promising Futures

A report highlights the potential of Viking Therapeutics and Summit Therapeutics as attractive investment options, with Viking set to advance in obesity treatment while Summit seeks success in lung cancer therapies. Both companies have significant cash reserves, minimizing financial pressure.

Date: 13-10-2024

AI Rating: 7

Viking Therapeutics (VKTX) is gearing up for pivotal clinical trials on its obesity treatment candidate, VK2735. With $942 million in cash and minimal operating expenses of just over $34 million, it is well-positioned financially to advance through the trials. The report suggests that the anti-obesity market will surge to around $105 billion by 2030, presenting a lucrative opportunity for Viking if it captures even a 10% market share.

Additionally, Summit Therapeutics (SMMT) aims to commercialize its late-stage program, ivonescimab, for non-small cell lung cancer (NSCLC). The NSCLC market is projected to grow to $26 billion by 2032 from $11.5 billion, indicating potential for significant revenue if Summit can differentiate itself in a crowded market. The company has also raised $235 million to support its efforts and boasts a substantial cash position of $326 million. The first two programs are expected to hit the market in 3-4 years if trials succeed.

Stocks: VKTX SMMT