Norwegian Cruise Line (NCLH) Beats Stock Market Upswing: What Investors Need to Know
Norwegian Cruise Line (NCLH) closed the latest trading day at $17.75, indicating a +1.37% change from the previous session's end. This move outpaced the S&P 500's daily gain of 0.53%. Elsewhere, the Dow saw an upswing of 0.64%, while the tech-heavy Nasdaq appreciated by 0.19%.
Prior to today's trading, shares of the cruise operator had lost 14.08% over the past month. This has lagged the Consumer Discretionary sector's gain of 0.31% and the S&P 500's gain of 2.48% in that time.
Analysts and investors alike will be keeping a close eye on the performance of Norwegian Cruise Line in its upcoming earnings disclosure. The company is expected to report EPS of -$0.07, up 93.27% from the prior-year quarter. In the meantime, our current consensus estimate forecasts the revenue to be $1.99 billion, indicating a 30.83% growth compared to the corresponding quarter of the prior year.
Investors should also take note of any recent adjustments to analyst estimates for Norwegian Cruise Line. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. 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, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.94% lower within the past month. Norwegian Cruise Line is currently a Zacks Rank #3 (Hold).
In the context of valuation, Norwegian Cruise Line is at present trading with a Forward P/E ratio of 15.08. This denotes a discount relative to the industry's average Forward P/E of 16.01.
The Leisure and Recreation Services industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 149, putting it in the bottom 41% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Norwegian Cruise Line Holdings Ltd. (NCLH) : Free Stock Analysis Report
