Zacks Research Has Negative Forecast for NCLH Q2 Earnings

Key Points

• Zacks Research lowered Norwegian Cruise Line’s Q2 2027 EPS forecast to $0.33 from $0.34 and maintains a “Hold” rating. Its estimates are $1.27 EPS for FY2027 and $1.75 for FY2028.
• Norwegian recently reported quarterly EPS of $0.48, beating the $0.41 consensus, while revenue rose 4.9% year over year to $2.64 billion. However, the stock has traded near $15, well below its 12-month high of $25.13.
• Analyst sentiment remains cautious, with an average “Hold” rating and $19.90 price target; J.P. Morgan cut its target to $11, citing risks to yield recovery. Higher fuel costs, travel concerns and increased discounting could further pressure margins and pricing power.

Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH - Free Report) - Zacks Research lowered their Q2 2027 earnings per share estimates for shares of Norwegian Cruise Line in a research report issued on Thursday, October 22nd. Zacks Research analyst Team now forecasts that the company will post earnings per share of $0.33 for the quarter, down from their previous estimate of $0.34. Zacks Research currently has a "Hold" rating on the stock. The consensus estimate for Norwegian Cruise Line's current full-year earnings is $1.34 per share. Zacks Research also issued estimates for Norwegian Cruise Line's FY2027 earnings at $1.27 EPS and FY2028 earnings at $1.75 EPS.

Norwegian Cruise Line (NYSE:NCLH - Get Free Report) last announced its earnings results on Thursday, July 30th. The company reported $0.48 EPS for the quarter, beating the consensus estimate of $0.41 by $0.07. The company had revenue of $2.64 billion for the quarter, compared to analyst estimates of $2.65 billion. Norwegian Cruise Line had a return on equity of 41.38% and a net margin of 7.49%. The firm's revenue for the quarter was up 4.9% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.51 EPS. Norwegian Cruise Line has set its Q3 2026 guidance at 0.900-0.900 EPS and its FY 2026 guidance at 1.500-1.500 EPS.

Several other brokerages have also issued reports on NCLH. Weiss Ratings lowered shares of Norwegian Cruise Line from a "hold (c)" rating to a "hold (c-)" rating in a research note on Friday, September 25th. JPMorgan Chase & Co. reaffirmed an "underweight" rating and issued a $11.00 price target (down from $13.00) on shares of Norwegian Cruise Line in a research note on Friday. Jefferies Financial Group upped their price objective on shares of Norwegian Cruise Line from $16.00 to $18.00 and gave the company a "hold" rating in a report on Friday, July 17th. Stifel Nicolaus cut their price objective on shares of Norwegian Cruise Line from $26.00 to $25.00 and set a "buy" rating on the stock in a research report on Friday, July 31st. Finally, Truist Financial reduced their target price on Norwegian Cruise Line from $20.00 to $16.00 and set a "hold" rating for the company in a research note on Thursday, September 24th. One research analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating, fifteen have assigned a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat, the company has an average rating of "Hold" and an average price target of $19.90.

Norwegian Cruise Line Stock Performance

NYSE:NCLH opened at $15.06 on Monday. The company has a fifty day moving average of $15.44 and a 200-day moving average of $17.71. The firm has a market capitalization of $6.92 billion, a P/E ratio of 9.42, a P/E/G ratio of 0.89 and a beta of 1.95. The company has a quick ratio of 0.17, a current ratio of 0.20 and a debt-to-equity ratio of 5.40. Norwegian Cruise Line has a twelve month low of $13.63 and a twelve month high of $25.13.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the business. Gibbs Wealth Management lifted its stake in shares of Norwegian Cruise Line by 88.6% in the third quarter. Gibbs Wealth Management now owns 118,152 shares of the company's stock valued at $1,732,000 after buying an additional 55,508 shares in the last quarter. Yousif Capital Management LLC raised its holdings in shares of Norwegian Cruise Line by 4.6% in the 3rd quarter. Yousif Capital Management LLC now owns 53,667 shares of the company's stock worth $787,000 after acquiring an additional 2,337 shares during the last quarter. U S Global Investors Inc. bought a new position in Norwegian Cruise Line in the 3rd quarter valued at about $652,000. Root Financial Partners LLC bought a new position in Norwegian Cruise Line in the 3rd quarter valued at about $41,000. Finally, Reyes Financial Architecture Inc. acquired a new position in Norwegian Cruise Line during the 3rd quarter valued at about $37,000. Institutional investors and hedge funds own 69.58% of the company's stock.

Norwegian Cruise Line News Roundup

Here are the key news stories impacting Norwegian Cruise Line this week:

• Positive Sentiment: Analysts at Zacks Research raised their Q4 2027 EPS estimate for Norwegian Cruise Line to $0.04 from $0.03. Zacks also sees potential for the company to beat expectations in its upcoming third-quarter report, although it maintains a “Hold” rating. Zacks Q3 earnings expectations
• Positive Sentiment: Norwegian’s booking outlook is supported by broader cruise demand and continued interest in premium and luxury travel, which could help revenue and pricing over time. Cruise demand and promotions
• Neutral Sentiment: Versonix is expanding its Seaware booking platform across all three Norwegian Cruise Line Holdings brands. The technology upgrade may improve booking operations, but its near-term financial impact is unclear. Versonix Seaware platform expansion
• Negative Sentiment: J.P. Morgan reaffirmed its “Underweight” rating and cut its price target to $11 from $13, citing risks to Norwegian’s yield recovery. The target implies substantial downside from recent trading levels. J.P. Morgan rating and target cut
• Negative Sentiment: Oil prices have reached a five-month high, raising fuel expenses for cruise operators. Because fuel is one of their largest operating costs, the increase could pressure Norwegian’s margins and earnings. Cruise stocks and higher oil prices
• Negative Sentiment: Norwegian relies heavily on American travelers for European cruises, and travel concerns linked to ongoing conflicts in Ukraine and Iran could weaken bookings. The company is also offering larger discounts than some competitors, raising concerns about pricing power and yields. Norwegian European cruise demand concerns

Norwegian Cruise Line Company Profile

Norwegian Cruise Line Holdings Ltd. is a global cruise company headquartered in Miami, Florida. Through its operating brands—Norwegian Cruise Line, Oceania Cruises and Regent Seven Seas Cruises—the company provides cruise vacations to destinations worldwide, including Europe, the Caribbean, Alaska, Asia, South America, Australia and New Zealand.

Norwegian Cruise Line offers contemporary cruises with flexible dining, entertainment and onboard activities. Oceania Cruises focuses on destination-oriented, upscale travel and culinary experiences, while Regent Seven Seas Cruises provides an all-inclusive luxury cruise experience.

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