CRISPR Therapeutics vs. Viking Therapeutics: Which Healthcare Stock Is a Better Buy in 2026?

Investing in biotechnology requires a balance between groundbreaking scientific innovation and the realities of clinical development. Choosing between CRISPR Therapeutics (NASDAQ:CRSP) and Viking Therapeutics (NASDAQ:VKTX) involves comparing established gene-editing leadership against massive growth potential in metabolic medicine.

CRISPR Therapeutics is a leader in gene editing, recently achieving its first product approval for rare blood disorders. Viking Therapeutics focuses on metabolic and endocrine disorders, targeting the booming market for weight-loss treatments. While both companies operate in high-growth areas, their financial stages and clinical risks offer distinct paths for everyday investors.

The case for CRISPR Therapeutics

CRISPR Therapeutics focuses on developing gene-based medicines using its proprietary CRISPR/Cas9 platform. The company develops gene-based medicines, a transformative part of healthcare stocks. It currently relies on a strategic partnership with Vertex Pharmaceuticals (NASDAQ:VRTX) for the commercialization of CASGEVY, a treatment for sickle cell disease. Customer concentration like this adds a layer of risk to the business since one partner controls most global operations.

In fiscal 2025, revenue was approximately $3.5 million, a decrease of nearly 90% compared to the prior year. The company reported a net loss of roughly $581.6 million during this period. This performance reflects the volatile nature of biotech revenue, which often depends on one-time milestone payments from collaboration partners rather than consistent product sales.

As of CRISPR’s December 2025 balance sheet, the current ratio stands at approximately 13.3. The current ratio measures the ability of a business to cover its short-term obligations with assets it can convert to cash quickly. The debt-to-equity ratio is roughly 0.2, showing that total debt is low relative to shareholder equity. Free cash flow for fiscal 2025 was approximately negative $345.9 million.

The case for Viking Therapeutics

Viking Therapeutics is a clinical-stage company developing therapies for metabolic and endocrine disorders, including obesity and lipid conditions. The company operates under a Master License Agreement with Ligand Pharmaceuticals (NASDAQ:LGND), which provides the rights to its most promising drug candidates. Viking currently lacks its own manufacturing infrastructure and relies on third parties like CordenPharma for clinical drug supplies.

In fiscal 2025, the company reported no revenue, as it currently has no products approved for commercial sale. Viking recorded a net loss of approximately $359.6 million. This loss widened from previous years as the company invested more heavily in its clinical pipeline to advance its obesity and metabolic candidates.

Based on its December 2025 balance sheet, the current ratio stands at close to 9.3. The debt-to-equity ratio is approximately zero, indicating Viking carries no total debt relative to its shareholder equity. Free cash flow for fiscal 2025 was roughly negative $278.7 million, representing the cash used to fund operations and necessary clinical research equipment.

Risk profile comparison

CRISPR Therapeutics faces ongoing financial sustainability risks, as it continues to report significant operating losses despite recent capital injections. The gene-editing field is highly novel and regulatory authorities require extensive long-term follow-up periods for approved treatments. Additionally, the company is involved in intellectual property disputes, including a patent infringement lawsuit from ToolGen that could lead to costly legal outcomes.

Viking Therapeutics is substantially dependent on its license agreement with Ligand, as any termination would halt its primary drug development programs. Because the company is still in the clinical stage, there is no guarantee that its obesity or MASH candidates will receive regulatory approval. Furthermore, the company relies on CordenPharma for manufacturing, meaning any quality control issues or supply chain delays could significantly impact its development timeline.

Valuation comparison

Viking Therapeutics appears slightly more favorable on a forward earnings basis, although both companies carry significant premiums due to their high-growth potential in the biotech market.

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The forward P/E ratio reflects the stock price relative to future earnings estimates, helping you assess if a stock is expensive compared to its profit potential. A P/S ratio measures the stock price against the company's annual revenue per share, which is a useful metric for evaluating businesses that are not yet consistently profitable.

Which stock would I buy in 2026?

CRISPR is plainly quite expensive on a valuation basis, but it has a groundbreaking treatment for sickle cell, and one imagines that its gene-editing approach may be applied to other diseases.

Viking Therapeutics is pre-clinical, which is another way of saying "pre-revenue." I do not personally care for that. Neither company is profitable, but at least CRISPR has sales, even if they are extremely tiny. I hear "pre-clinical," and think, "pre-investible," frankly. And if Viking does succeed, it will enter a market that already has a fair amount of GLP-1 drugs.

Both companies are more speculative than what I'd normally purchase, but I'd much sooner buy a modest position in CRISPR than Viking.

Erin Kennedy has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends CRISPR Therapeutics and Vertex Pharmaceuticals. The Motley Fool recommends Viking Therapeutics. The Motley Fool has a disclosure policy.