Viking Holdings initiated with a Neutral at Goldman Sachs

Goldman Sachs initiated coverage of Viking Holdings (VIK) with a Neutral rating and $49 price target The firm sees a “lot to like” about Viking’s business model, including its high exposure to a growing demographic that is booking further ahead and at higher prices, and its “industry-leading category expansion providing a solid boost to revenue growth.” However, with the stock up 73% since the initial public offering in May 2024, a one-times valuation premium versus Royal Caribbean (RCL), Goldman would look for a more favorable entry point at these levels, the analyst tells investors in a research note. In addition, given Viking’s high visibility into bookings and desire to maintain a meaningful cash cushion, the firm sees relatively a lower opportunity than at its peers for near-term estimate revisions and share repurchases.