Viking Therapeutics (NASDAQ:VKTX) Stock Price Breaks Below Fifty Day Moving Average - Should You Sell?

Key Points

• Viking Therapeutics shares fell below their 50-day moving average, trading as low as $27.91 versus the $32.77 average, and last changing hands at $28.34.
• Despite the technical weakness, analysts maintain a generally positive view: the stock has a “Moderate Buy” consensus rating and a $99.44 average price target, although several firms recently lowered their targets.
• The clinical-stage biotechnology company beat quarterly EPS expectations, reporting a loss of $1.10 versus the expected loss of $1.21. Insiders sold shares primarily to cover tax obligations, while institutional investors own approximately 76% of the stock.

Viking Therapeutics, Inc. (NASDAQ:VKTX - Get Free Report) crossed below its fifty day moving average during trading on Monday. The stock has a fifty day moving average of $32.77 and traded as low as $27.91. Viking Therapeutics shares last traded at $28.34, with a volume of 2,851,609 shares trading hands.

Wall Street Analysts Forecast Growth

Several equities analysts have recently issued reports on the company. HC Wainwright reissued a "buy" rating on shares of Viking Therapeutics in a report on Tuesday, September 22nd. Truist Financial lowered their target price on Viking Therapeutics from $87.00 to $85.00 and set a "buy" rating on the stock in a research note on Wednesday, October 7th. JPMorgan Chase & Co. dropped their target price on Viking Therapeutics from $75.00 to $65.00 and set an "overweight" rating on the stock in a report on Tuesday, August 11th. Morgan Stanley reiterated an "overweight" rating on shares of Viking Therapeutics in a research report on Tuesday, September 22nd. Finally, Wall Street Zen cut Viking Therapeutics from a "sell" rating to a "strong sell" rating in a research report on Sunday, October 4th. One equities research analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating, two have issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, Viking Therapeutics presently has a consensus rating of "Moderate Buy" and a consensus price target of $99.44.

Viking Therapeutics Price Performance

The stock's fifty day moving average is $32.77 and its 200-day moving average is $33.24. The stock has a market capitalization of $3.57 billion, a PE ratio of -6.08 and a beta of 0.66.

Viking Therapeutics (NASDAQ:VKTX - Get Free Report) last released its quarterly earnings results on Wednesday, July 29th. The biotechnology company reported ($1.10) EPS for the quarter, beating the consensus estimate of ($1.21) by $0.11. During the same quarter last year, the business posted ($0.58) EPS. The firm's revenue for the quarter was up .0% on a year-over-year basis. On average, analysts forecast that Viking Therapeutics, Inc. will post -4.46 EPS for the current year.

Insider Transactions at Viking Therapeutics

In other news, CEO Brian Lian sold 148,517 shares of the stock in a transaction dated Wednesday, July 29th. The shares were sold at an average price of $33.32, for a total transaction of $4,948,586.44. Following the sale, the chief executive officer directly owned 2,572,441 shares of the company's stock, valued at $85,713,734.12. This represents a 5.46% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Greg Zante sold 21,217 shares of the stock in a transaction dated Wednesday, July 29th. The stock was sold at an average price of $33.47, for a total transaction of $710,132.99. Following the sale, the chief financial officer directly owned 212,204 shares in the company, valued at approximately $7,102,467.88. The trade was a 9.09% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 187,951 shares of company stock valued at $6,268,442 in the last ninety days. 5.30% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Viking Therapeutics

Large investors have recently bought and sold shares of the business. BlackRock Inc. acquired a new position in shares of Viking Therapeutics during the second quarter valued at approximately $241,458,000. Artia Global Partners LP lifted its position in shares of Viking Therapeutics by 392.1% in the fourth quarter. Artia Global Partners LP now owns 719,365 shares of the biotechnology company's stock valued at $25,307,000 after acquiring an additional 573,186 shares in the last quarter. ADAR1 Capital Management LLC purchased a new position in shares of Viking Therapeutics in the second quarter valued at approximately $22,393,000. Dimensional Fund Advisors LP boosted its stake in shares of Viking Therapeutics by 18.0% in the first quarter. Dimensional Fund Advisors LP now owns 542,516 shares of the biotechnology company's stock worth $17,653,000 after acquiring an additional 82,941 shares during the last quarter. Finally, Connor Clark & Lunn Investment Management Ltd. acquired a new stake in shares of Viking Therapeutics in the second quarter worth approximately $20,699,000. Institutional investors and hedge funds own 76.03% of the company's stock.

Viking Therapeutics Company Profile

Viking Therapeutics, Inc is a clinical-stage biopharmaceutical company focused on developing therapies for metabolic and endocrine disorders. The company's research programs are aimed at conditions including obesity, metabolic dysfunction-associated steatohepatitis (MASH), and other diseases involving the liver and metabolism.

Viking's leading program is VK2735, an investigational dual agonist of the glucagon-like peptide-1 (GLP-1) and glucose-dependent insulinotropic polypeptide (GIP) receptors.

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