A Look At Viking Holdings (VIK) Valuation After Mixed Q3 Earnings And Margin Improvement

Why Viking Holdings is back in focus after Q3 results

Viking Holdings (NYSE:VIK) is back on investors’ radar after Q3 CY2025 results showed 19.1% year-on-year revenue growth, an operating margin of 30.2%, EBITDA outperformance, and a miss on GAAP EPS.

See our latest analysis for Viking Holdings.

Viking’s latest Q3 update comes after a strong run, with a 90 day share price return of 21.46% and a 1 year total shareholder return of 66.75%, suggesting momentum has been building into the print.

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With revenue up 19.1% year on year, an operating margin of 30.2%, and shares already returning 66.75% over the past year, you have to ask: is Viking still undervalued, or is the market already pricing in future growth?

Most Popular Narrative: 4.5% Overvalued

Viking Holdings last closed at US$72.27, compared with a most popular narrative fair value estimate of about US$69, putting the shares slightly above that mark.

Advanced bookings for core products remain exceptionally strong, with 96% of 2025 capacity and 55% of 2026 capacity already sold at higher rates, indicating durable repeat demand and allowing for mid single digit pricing growth that directly benefits company earnings and net margins.

Read the complete narrative.

Curious what kind of future revenue path and margin lift could justify that higher fair value? The narrative leans heavily on compounded earnings growth assumptions and a richer profit profile built over several years.

On top of that, the fair value view is built using a discount rate just under 9%, plus a lower future earnings multiple than Viking’s current P/E, so it assumes investors accept solid growth while also paying less for each dollar of earnings over time.

Result: Fair Value of $69.16 (OVERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, the story could change if stricter environmental rules lead to higher ship upgrade spending, or if European river disruptions affect occupancy and earnings resilience.

Find out about the key risks to this Viking Holdings narrative.

Build Your Own Viking Holdings Narrative

If you see the numbers differently or prefer to test your own assumptions, you can spin up a custom Viking view in minutes: Do it your way.

A great starting point for your Viking Holdings research is our analysis highlighting 2 key rewards and 1 important warning sign that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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