Back to top

Image: Bigstock

Norwegian Cruise Line (NCLH) Stock Sinks As Market Gains: What You Should Know

Read MoreHide Full Article

Norwegian Cruise Line (NCLH - Free Report) closed at $18.19 in the latest trading session, marking a -1.73% move from the prior day. This change lagged the S&P 500's 0.12% gain on the day. On the other hand, the Dow registered a loss of 0.13%, and the technology-centric Nasdaq increased by 0.2%.

Heading into today, shares of the cruise operator had gained 0.11% over the past month, lagging the Consumer Discretionary sector's gain of 2.58% and the S&P 500's gain of 9.3%.

Investors will be eagerly watching for the performance of Norwegian Cruise Line in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on May 4, 2026. On that day, Norwegian Cruise Line is projected to report earnings of $0.16 per share, which would represent year-over-year growth of 128.57%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.34 billion, up 10.13% from the year-ago period.

For the full year, the Zacks Consensus Estimates project earnings of $2.23 per share and a revenue of $10.53 billion, demonstrating changes of +5.69% and +7.13%, respectively, from the preceding year.

It's also important for investors to be aware of any recent modifications to analyst estimates for Norwegian Cruise Line. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 3.6% lower. Right now, Norwegian Cruise Line possesses a Zacks Rank of #5 (Strong Sell).

Looking at its valuation, Norwegian Cruise Line is holding a Forward P/E ratio of 8.29. This denotes a discount relative to the industry average Forward P/E of 15.94.

Also, we should mention that NCLH has a PEG ratio of 0.57. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As of the close of trade yesterday, the Leisure and Recreation Services industry held an average PEG ratio of 1.27.

The Leisure and Recreation Services industry is part of the Consumer Discretionary sector. This industry, currently bearing a Zacks Industry Rank of 164, finds itself in the bottom 33% echelons of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.

Zacks' 7 Best Strong Buy Stocks (New Research Report)

Valued at $99, click below to receive our just-released report predicting the 7 stocks that will soar highest in the coming month.

Click Here, It's Really Free

Published in