Earnings Highlights & A Huge Upcoming Catalyst For Viking Therapeutics, Mark This Date.
Benzinga's Premarket Prep is the #1 go-to source for everything you need to know before the market opens! Join our expert hosts as they break down the latest market trends, analyze key indicators, and provide actionable insights to help you navigate the trading day ahead.
Benzinga's Premarket Prep is the #1 go-to source for everything you need to know before the market opens! Join our expert hosts as they break down the latest market trends, analyze key indicators, and provide actionable insights to help you navigate the trading day ahead.
Category
đ
NewsTranscript
00:00All right, let's move on to Viking Therapeutics. Of course, we know Viking has exploded this year
00:08based on the weight loss drugs. The company did report earnings yesterday, but we do have some
00:12upcoming data in a couple of weeks as well. Viking Therapeutics Gap EPS, a loss of $0.22.
00:20That beat the estimates by $0.03. Let's see. We also had earnings, which are meaningless. It's
00:30all about the commentary for the November 3rd release of the data that we're looking for.
00:37We've got data coming on the evening. It's supposed to be coming on the evening of November
00:41the 3rd. Write that on your calendar. This is obviously on their weight loss oral pill.
00:49Tolerancy was very good. The CEO or whoever it was, I'm not sure it was CEO, but the commentary
00:54from the conference call was the tolerability seems to be really good. They think this pill's
01:01going to be a game changer because right now everybody's got to get the shot, right? Like,
01:04bang, you're hitting yourself. You're hitting yourself all the time. Imagine just being able
01:07to pop a pill. It sounds pretty good. It sounds like it's going to, if they can get it, obviously,
01:14to get FDA approval. We're still a long ways away. We're phase two awaiting phase three.
01:20We're still a long ways away here. They're obviously burning cash as they try to get there,
01:24but they have a pretty good cash order here too. I firmly believe I'm long Viking Therapeutics,
01:30full disclosure. I've been long it for a while. I've been trading it in and out, but I'm long
01:33it right now. I believe that I think somebody's going to come and buy it at the phase three trial.
01:41I think they're going to be like, okay, we're through phase three. This looks for real.
01:45You got Pfizer sitting there with nothing. You got Merck sitting there with nothing.
01:51You got Bristol-Myers sitting there with nothing and you got Lilly just killing it. It's like,
01:55how do we get in this game? Here's Viking Therapeutics trading. What's the market cap,
02:00AB? Can you go look that up, please? The market cap for Viking Therapeutics is $6.7 billion.
02:06Would you pay $10, $12 billion if you were one of those companies and you're hurting for growth
02:10and you're trying to get in this weight loss game? I would. That's why I'm holding a core
02:15position of Viking Therapeutics. I continue to trade it all the time. It dips, I buy it,
02:20I flip it out and sell it when it rips again, but I'm holding a core position,
02:24similar to what I've been doing with Tesla. Go ahead, AB.
02:29I was going to say, if the election is on November 5th and that's a Tuesday,
02:34let me look at my calendar real quick. The data is going to come out on November 3rd,
02:37which is a Sunday I'm seeing. Is that right? Is there a conference? I've got the date from
02:44multiple places. Is it like a JP Morgan healthcare conference or something?
02:48I don't know if there's a conference or what it is, but it's supposed to be coming out on
02:51the evening of November 3rd. Can anybody else verify that? Ryan Faluna says yes.
02:56Yes. I believe it's November 3rd on the evening. Who was it, or is it you, Dennis,
03:02that talks about owning IBB over the weekend?
03:05XBI, not IBB. The trade, again, to clarify that is, I do it every single Friday. It's
03:11the Friday to Monday trade. That's for acquisitions, not that.
03:15I don't think anybody talks about this trade except me. I've been doing it for two years.
03:20It doesn't work 100% of the time, but it works a lot of the time. What's that quote from Anchorman?
03:2560% of the time, it works every time. Something like that. Anyways, that's the XBI trade.
03:32I'll give it to you again. It's not IBB because IBB is all the big ones. They're the ones that
03:35are doing the acquiring. The XBI is the small ones. You never know what the hell is going to
03:41happen, but typically, and this is a big strategy here, so listen up, folks, if you haven't heard
03:46me say this one before. Typically, small biotech stocks get bought on the Monday because they're
03:52working together over the weekend. They're getting eyes down, the T's crossed, and they
03:55get announced on the Monday morning. Why I do XBI on the Friday night trade
04:00is because you often get that. If there's one of these companies and there's 150 stocks on the XBI,
04:07if one of them gets bought out, you often see that 1% pop on the XBI.
04:12You're getting exposure for the potential of buyouts all the time. You don't usually see it
04:16on a Wednesday. You don't usually see it on a Thursday. My trade has been, I've been long VKTX
04:22every weekend. I've been long XBI every weekend. I've been doing this trade, the VKTX one, for a
04:28long time. I'm long VKTX overall, but I buy more on the Friday night. It's like, what if they announce
04:33it Monday? What if this is VKTX day? They don't announce it, I try to get out. They don't announce
04:38them, there's no big merger XBI, I get out. I get out on the Monday morning. Again, holding VKTX
04:42in the long position, not trading that one, but in and out of the VKTX weekend trade because I think
04:49eventually, I think, I don't know anything. If I knew everything, I would be the richest man in
04:54the world. I think eventually, somebody is going to buy it. The odds are, it's probably going to
04:59be announced on a Monday morning. I get more exposure. I don't have to take the risk through
05:03the week. You often see it even pop up sometimes even in the after hours session where people are
05:07just getting excited. Maybe you could flip out for a quick profit on that too. That's the trade.
05:13I don't know anybody else that's ever talked about that trade before. I created it for myself
05:18just out of observation. I know overall, I make money with it. If you want to try that trade,
05:24again, don't get married. I hedge it. XBI hedge with IWM because if markets get killed
05:31over the weekend, IWM and XBI are loosely correlated. Jobless claims.