Disappointing competitor oral GLP-1 data an opportunity for Terns, says Mizuho

After Viking Therapeutics (VKTX) yesterday announced 13-week Phase 2 data for VK2735, an oral GIP/GLP-1-based candidate for obesity, Mizuho notes “disappointment” based primarily on ‘2735’s tolerability profile. The ‘2735 report “marks a second consecutive set of disappointing data” for an oral GLP-1-based candidate for obesity following recently reported data for Eli Lilly’s (LLY) orforglipron, the analyst added. The firm continues to see an opportunity for TERN-601, given its view that Phase 2 data expected in Q4 could show Terns Pharmaceuticals’ (TERN) oral GLP-1 to be differentiated, particularly on tolerability, says the analyst, who keeps an Outperform rating and $14 price target on Terns shares.