Yahoo Finance Why Norwegian Cruise Line (NCLH) Outpaced the Stock Market Today
The most recent trading session ended with Norwegian Cruise Line (NCLH) standing at $18.64, reflecting a +0.22% shift from the previouse trading day's closing. The stock's change was more than the S&P 500's daily gain of 0.09%. On the other hand, the Dow registered a gain of 0.09%, and the technology-centric Nasdaq increased by 0.3%.
The cruise operator's stock has climbed by 12.8% in the past month, exceeding the Consumer Discretionary sector's gain of 2.11% and the S&P 500's gain of 3.38%.
The upcoming earnings release of Norwegian Cruise Line will be of great interest to investors. In that report, analysts expect Norwegian Cruise Line to post earnings of $0.34 per share. This would mark year-over-year growth of 13.33%. In the meantime, our current consensus estimate forecasts the revenue to be $2.37 billion, indicating a 7.44% growth compared to the corresponding quarter of the prior year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $1.43 per share and a revenue of $9.35 billion, signifying shifts of +104.29% and +9.33%, respectively, from the last year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Norwegian Cruise Line. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there's been a 3.26% rise in the Zacks Consensus EPS estimate. Norwegian Cruise Line presently features a Zacks Rank of #3 (Hold).
In the context of valuation, Norwegian Cruise Line is at present trading with a Forward P/E ratio of 12.99. This signifies a discount in comparison to the average Forward P/E of 16.55 for its industry.
It is also worth noting that NCLH currently has a PEG ratio of 0.25. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Leisure and Recreation Services was holding an average PEG ratio of 1.36 at yesterday's closing price.
The Leisure and Recreation Services industry is part of the Consumer Discretionary sector. With its current Zacks Industry Rank of 98, this industry ranks in the top 39% of all industries, numbering over 250.
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.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Norwegian Cruise Line Holdings Ltd. (NCLH) : Free Stock Analysis Report
