Structure Therapeutics reports promising weight-loss drug data

Structure Therapeutics Inc (NASDAQ: GPCR) is up a whopping 80% on Monday after reporting “compelling” topline data for its weight-loss drug.

$GPCR’s weight-loss pill reduces weight by 6.9%

The biopharmaceutical firm said its experimental pill helped patients with obesity lose 6.9% of their body weight in about twelve weeks.

Structure Therapeutics did not, however, study GSBR-1290 in patients with type 2 diabetes. Raymond Stevens – its chief executive said in a press release today:

These results demonstrate GSBR-1290’s potential to become a best-in-class oral small molecule GLP-1RA as well as an ideal backbone for future combination therapeutics for obesity and related diseases.

Patients on $GPCR’s weight-loss drug experienced vomiting in the beginning but tolerability did improve with time, the press release added.

The news arrives only weeks after Structure Therapeutics reported 19 cents of per-share loss for its first financial quarter. Analysts, in comparison were at 21 cents.

The Nasdaq-listed firm did not, however, report any revenue for Q1. Wall Street currently has a consensus “buy” rating on Structure Therapeutics stock.

Analysts react to Structure Therapeutics’ GBSR-1290 data

Structure Therapeutics hailed its GBSR-1290 today particularly as none of the participants of its Phase 2a study experienced liver toxicity.

The pharmaceutical firm also signalled in its press release this morning that it now plans on testing the impact of slowly increasing the dosage of its weight-loss pill in an upcoming study. According to CEO Stevens:

As a non-peptide small molecule, our large-scale manufacturing process is expected to be more than capable of meeting the anticipated global demand of a product with the profile of GSBR-1290.

Analysts were all praise for the data $GPCR reported on Monday. The company’s weight-loss drug could be a “potentially formidable contender in the oral small molecule obesity therapeutics landscape”, as per Guggenheim analysts Seamus Fernandez.

David Risinger of Leerink Partners also said the GBSR-1290 results compared favourably or orforglipron – oral weight-loss drug of Eli Lilly that helped lower body weight by 6.5% in midstage testing.

Last week, Franklin Resources said in a filing with the U.S. Securities & Exchange Commission that it more than doubled its stake in Structure Therapeutics stock in the fourth quarter. The institutional investor owned more than half-a-million shares of $GPCR following the purchase.

Structure Therapeutics shares are still down roughly 30% versus their 52-week high in early November 2023.