Aug. 27 at 7:01 PM
$LEXX And the same thing happened with Viking Therapeutics (
$VKTX) — Early GLP-1 Phase 2 Setup
Ahead of early Phase 2 data for their oral/injectable NASH/obesity program, VKTX was a low-cap stock that suddenly experienced multi-day volume spikes where daily volume equaled 20%–40% of its total floating supply.
Despite massive block volume hitting the tape, the stock traded tightly within a narrow range around
$14–
$15. Retail traders complained that the stock was "being capped by shorts or an underwriter."
To Institutional funds were utilizing the elevated volume to absorb shares and build out positions from early sellers without driving the ask to
$20+ before the readout.
When top-line Phase 2 GLP-1 trial data landed, the supply overhang was gone, and the stock gapped up over 120%+ in a single session, eventually running to
$80.
