These 2 Stocks Could More Than Double Your Money, According to Wall Street. Is It Time to Buy?
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Research suggests that From an analytical standpoint, Investors seeking stocks that can put up dramatic gains in a short amount of time can find what they're looking for in the...
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July 20, 2025
04:48 AM
The Motley Fool
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Re suggests that From an analytical standpoint, Investors seeking stocks that can put up dramatic gains in a short amount of time can find what they're looking for in the bionology industry
Investment bank analysts on Wall Street have tagged a pair of pre-revenue es with price targets that are miles above their current stock prices (fascinating analysis)
Compass Pathways (CMPS -1, in today's financial world. 26%) is a depression treatment based on a recreational drug that duced some interesting results in a clinical trial (this bears monitoring)
Viking Therapeutics (VKTX 2. 75%) is anti-obesity treatments that could compete toe-to-toe with blockbusters Wegovy and Zepbound
Meanwhile, Image source: Getty Images
Additionally, At recent prices, the average targets that analysts set for these drugmakers suggest they can more than double your money over the next 12 months
Before opening your brokerage account and filling it with these stocks, it's important to remember that sell-side analysts will quietly adjust their price targets downward if things don't work out
Additionally, Replacing the losses you could incur by ing a bad prediction isn't nearly as easy
Here's a closer look at some of the risks these companies face so you can see whether their s deserve a place in your portfolio
Compass Pathways s of Compass Pathways spiked during the COVID-19 pandemic, and at one point, the pre-commercial-stage drugmaker boasted a market cap above $2 billion
This analysis suggests that stock collapsed by 93
Additionally, Additionally, 3% from its previous peak, but analysts who the company expect a comeback, in light of current trends
What the data shows is consensus price target of $15. 78 at the moment implies a gain of more than 300% from recent prices
Compass Pathways is one of several companies recreational psychedelics as treatments for millions of underserved folks with depression and related ailments (which is quite significant), given the current landscape
Its only clinical-stage treatment candidate at the moment is COMP360, a prietary formulation of synthetic psilocybin (an important development)
Psilocybin is the psychoactive ingredient in "magic" mushrooms
Long known to duce a powerful hallucinogenic effect, psilocybin has gained ity among drug developers due to its effects on serotonin receptors implicated in major depressive disorder, given the current landscape
In June, Compass Pathways reported successful results from the COMP005 trial with treatment-resistant depression (TRD) patients and COMP360
Six weeks after receiving a single administration, TRD patients who received COMP360 scored an imvement on the Montgomery-Asberg Depression Rating Scale (MADRS) that was 3
On the other hand, 6 points better than the placebo group (an important development)
An MADRS score above 6 indicates mild depression, while anything above 35 is considered severe
Since COMP360 reduced scores by 3. 6 points after one administration, investors are more than a little excited to see upcoming results from the COMP006 study, which will compare results from two fixed doses taken three weeks apart, in today's market environment
Compass Pathways is what some investors call a lottery ticket stock
If the MADRS reduction benefits recorded during the multidose COMP006 trial are any stronger than those observed during the single-dose COMP005 study, this stock could soar
At the same time, COMP360 could generate over $1 billion annually as a new TRD treatment, but the market currently has much lower expectations
However, At recent prices, Compass Pathways' recent market cap is just $363 million
A successful result for COMP006 could cause this stock to soar, but depression is hard to measure (this bears monitoring)
Placebo groups in clinical trials measuring depression often respond well to the extra attention
This makes depression study results highly unpredictable
In contrast, Even investors with a high tolerance for risk should tread lightly with this stock
Viking Therapeutics Viking Therapeutics is another clinical-stage drugmaker stock that is way off its all-time high
Early last year, its market cap soared past $9 billion
When the market closed on July 17, the stock's price was 66% below the peak it had reached last year (something worth watching)
Conversely, Wall Street analysts who Viking Therapeutics think its best days are still ahead
The consensus price target of $90. 26 suggests its price can rocket 181% higher in a year
What the re reveals is stock spiked last February after the company announced success with its lead candidate, a dual GLP-1/GIP receptor agonist tentatively named VK2735
Patients with obesity achieved a placebo-adjusted weight loss of 13% after just 13 weeks of treatment
On the other hand, Meanwhile, These results suggest it could outperform Zepbound from Eli Lilly in terms of weight loss
In November 2023, Zepbound earned apval from the Food and Drug Administration (FDA) to treat obesity (something worth watching)
Furthermore, In the first quarter this year, it generated an annualized $9, in today's financial world. 3 billion in sales, in today's market environment
Bio stocks tend to trade at mid- to high-single-digit multiples of trailing-12-month sales, amid market uncertainty
Viking Therapeutics' market cap of just $3. 6 billion seems extremely low for a company with a drug candidate in late-stage trials that could go on to generate Zepbound-sized sales
However, Viking Therapeutics appears underappreciated, but it's still a risky stock with a long road ahead (fascinating analysis)
In contrast, In June, the company started a phase 3 study designed to support a new drug application
If the new 4,500-patient trial uncovers any tolerability issues we missed in smaller phase 2 studies, Viking's price could collapse
The data indicates that is another stock that's appriate only for investors with a high risk tolerance.
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