Viking Holdings Ltd
Viking Holdings Ltd Fundamental Analysis
Viking Holdings Ltd (VIK) shows moderate financial fundamentals with a PE ratio of 36.16, profit margin of 15.53%, and ROE of 6.50%. The company generates $6.1B in annual revenue with strong year-over-year growth of 13.23%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 36.8/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze VIK's fundamental strength across five key dimensions:
Efficiency Score
WeakVIK struggles to generate sufficient returns from assets.
Valuation Score
WeakVIK trades at a premium to fair value.
Growth Score
ModerateVIK shows steady but slowing expansion.
Financial Health Score
WeakVIK carries high financial risk with limited liquidity.
Profitability Score
ModerateVIK maintains healthy but balanced margins.
Key Financial Metrics
Is VIK Expensive or Cheap?
P/E Ratio
VIK trades at 36.16 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, VIK's PEG of 2.32 indicates potential overvaluation.
Price to Book
The market values Viking Holdings Ltd at 42.98 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 19.77 times EBITDA. This signals the market has high growth expectations.
How Well Does VIK Make Money?
Net Profit Margin
For every $100 in sales, Viking Holdings Ltd keeps $15.53 as profit after all expenses.
Operating Margin
Core operations generate 22.39 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $6.50 in profit for every $100 of shareholder equity.
ROA
Viking Holdings Ltd generates $8.26 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Viking Holdings Ltd generates strong operating cash flow of $2.09B, reflecting robust business health.
Free Cash Flow
Viking Holdings Ltd generates strong free cash flow of $673.96M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $1.52 in free cash annually.
FCF Yield
VIK converts 1.96% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
36.16
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
2.32
vs 25 benchmark
P/B Ratio
Price to book value ratio
42.98
vs 25 benchmark
P/S Ratio
Price to sales ratio
5.62
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
7.05
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.63
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
6.50
vs 25 benchmark
ROA
Return on assets percentage
0.08
vs 25 benchmark
ROCE
Return on capital employed
0.25
vs 25 benchmark
How VIK Stacks Against Its Sector Peers
| Metric | VIK Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 36.16 | 24.93 | Worse (Expensive) |
| ROE | 650.11% | 1149.00% | Weak |
| Net Margin | 15.53% | 749.00% | Weak |
| Debt/Equity | 7.05 | 0.76 | Weak (High Leverage) |
| Current Ratio | 0.63 | 9.21 | Weak Liquidity |
| ROA | 8.26% | 1274.00% | Weak |
VIK outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Viking Holdings Ltd's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
911.37%
Industry Style: Cyclical, Growth, Discretionary
High GrowthEPS CAGR
108.55%
Industry Style: Cyclical, Growth, Discretionary
High GrowthFCF CAGR
585.85%
Industry Style: Cyclical, Growth, Discretionary
High Growth