(Bloomberg) -- Viking Therapeutics Inc. rose the most in a month after the startup unveiled results from an early study of its experimental weight-loss pill, a product expected to compete with popular obesity shots. 

Patients in the study lost an average of 3.3% of their body weight in 28 days compared with a placebo, and no serious adverse events were reported, Viking said in a statement. The shares rose 21% as of 12:36 p.m. in New York, quadrupling in price since the year began and boosting the company’s market value to more than $9 billion.

What Bloomberg Intelligence Says:

Viking’s VK2735 pill, at its highest dose, achieved 5% weight loss at 28 days in phase 1, which looks on par with Novo’s oral amycretin. The benefit may top Eli Lilly’s orforglipron, which was tested in heavier patients in a larger phase 2 study. VK2735’s side effect profile looks encouraging, though it’s early days. A phase 2 start is due in 2H, suggesting the drug is unlikely to launch before 2028. The high placebo response and lower dose efficacy may draw questions on Viking’s call.

-Bloomberg analyst Michael Shah. Read the research here.

Viking is one of a handful of companies — including market leaders Eli Lilly & Co. and Novo Nordisk A/S — racing to develop weight-loss drugs that can be taken by mouth rather than injected. The California biotech plans to move its medication, called VK2735, into mid-stage studies based on the results, according to the statement. 

Read More: Novo Nordisk’s Obesity Pill Results Send Shares to Record

Notably, there was a lower rate of stomach issues like diarrhea and vomiting among patients treated with Viking’s drug compared to a placebo. Gastrointestinal side effects are common with drugs like Novo’s Wegovy and Lilly’s Zepbound. 

“We are particularly pleased with the initial safety and tolerability data, which suggest a differentiated profile with minimal gastrointestinal-related side effects,” Viking Chief Executive Officer Brian Lian said in the statement.

Viking is also developing a weight-loss shot, which may make it an attractive target for companies looking for ways into the obesity market that some analysts see reaching $80 billion in annual sales. The latest data affords Viking “commercial optionality and expansion into the ‘maintenance’ market,” according to a note from analysts with William Blair. 

Drugs like Wegovy and Zepbound are meant to be taken forever, but some patients stop taking the medications due to insurance issues or shortages. Other patients just don’t want to continue taking a weekly injection once they’ve hit their goal for weight. Pills could offer a more realistic long-term solution for patients to maintain their weight. 

Read More: Viking Therapeutics Jumps as Obesity Drug Results Impress

(Updates with market value in second paragraph, analyst comment in sixth.)

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