Brian Lian, the president and CEO of Viking Therapeutics, Inc. (NASDAQ:), has sold a significant portion of its company’s stock, according to a recent filing with the Securities and Exchange Commission. On September 20, 2024, Lian sold a total of 216,130 shares of Viking Therapeutics, with a transaction amount of more than $15 million.
The shares were sold in multiple transactions at different prices. For one lot of 96,056 shares, the sale occurred at weighted average prices ranging from $69.90 to $70.89, while another set of 119,874 shares was sold at prices between $70.90 and $71.89. The remaining 200 shares were sold at a weighted average price ranging from $71.97 to $72.00. These sales were conducted under a pre-established trading plan under Rule 10b5-1, which allows company insiders to sell shares at predetermined times to avoid accusations of insider trading.
Despite the big sale, Lian still retains a substantial stake in Viking Therapeutics, with 2,304,927 shares after the transactions were completed. The sale of shares by a high-ranking executive like Lian is a routine matter and is often part of personal financial and wealth planning strategies.
Viking Therapeutics, headquartered in San Diego, California, is a clinical-stage biopharmaceutical company focused on the development of novel therapies for metabolic and endocrine disorders. The company’s stock performance and business developments continue to be closely watched by investors in the pharmaceutical industry.
In other recent news, Viking Therapeutics has made significant progress in the biopharmaceutical sector. The company reported positive results from its Phase 2 VENTURE trial for the treatment of obesity with VK2735 and the Phase 2b VOYAGE trial for NASH and fibrosis with VK2809. These developments were accompanied by a robust financial position, with Viking Therapeutics having more than $900 million in cash reserves.
Morgan Stanley reaffirmed its Overweight rating for Viking Therapeutics, supported by early tolerability results of VK2735, which is being developed as a weight loss treatment. JPMorgan initiated coverage of Viking Therapeutics with an Overweight rating, closely monitoring the company as it approaches a major milestone with its drug candidate, oral-2735.
Truist Securities maintained a Buy rating on Viking Therapeutics, indicating that recent market reactions provide an opportunity for investors to purchase Viking stock. These recent developments underscore the company’s commitment to advancing its drug candidates and expanding its clinical programs. Plans are in the works to advance VK2735 into Phase 3 development for obesity and explore monthly dosing options, further strengthening Viking Therapeutics’ position in the industry.
InvestingPro Insights
Amid news of the stock sale of Viking Therapeutics, Inc. CEO Brian Lian. (NASDAQ:VKTX), investors may find it useful to consider the company’s financial health and market performance. Viking Therapeutics currently has a market cap of $7.76 billion, which reflects the company’s market valuation. Despite the lack of profitability over the last twelve months, with an operating income of -$124.68 Million, the company’s shares have posted a remarkable 429.45% return over the past year.
A Tip from InvestingPro highlights that Viking Therapeutics has more cash than debt on its balance sheet, which is a positive sign for its financial stability. Furthermore, the company’s liquid assets exceed its short-term liabilities, indicating a solid liquidity position. This financial basis may provide some context for the CEO’s decision to sell shares, as the company appears to be in stable financial condition.
However, the company’s price-to-book value over the last twelve months is 8.48, which suggests the stock is trading at a premium to its book value. This is corroborated by another InvestingPro tip that suggests Viking Therapeutics is trading at a high price-to-book value. Investors may interpret this as a sign of market optimism about the company’s future prospects or as a warning of possible overvaluation.
For those interested in a deeper dive into Viking Therapeutics’ financial metrics and stock performance, InvestingPro offers a range of additional tips and real-time metrics. There are currently 11 InvestingPro Tips available for VKTX, which can be accessed at: https://www.investing.com/pro/VKTX.
This article was produced with the support of AI and reviewed by an editor. For more information see our General Terms and Conditions.
