Norwegian Cruise Line (NYSE:NCLH) Hits New 1-Year Low - Time to Sell?

Key Points

• Norwegian Cruise Line shares hit a new 52-week low, trading as low as $16.72 and ending the day down 3.2%. The stock has also fallen below both its 50-day and 200-day moving averages.
• Analysts are becoming more cautious after recent target cuts from firms including Bank of America, Citigroup, and Susquehanna. The consensus rating remains Hold, with an average price target of $22.24.
• Recent earnings topped expectations, with quarterly EPS of $0.23 versus a $0.15 estimate and revenue up 9.6% year over year. Still, the company’s debt load is high, and it has issued relatively modest guidance for the coming periods.

Shares of Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH - Get Free Report) reached a new 52-week low on Monday . The company traded as low as $16.72 and last traded at $16.7250, with a volume of 1698898 shares changing hands. The stock had previously closed at $17.08.

Wall Street Analyst Weigh In

A number of research firms have weighed in on NCLH. Bank of America lowered their target price on Norwegian Cruise Line from $30.00 to $27.00 and set a "neutral" rating on the stock in a report on Tuesday, March 3rd. Citigroup cut their price target on Norwegian Cruise Line from $25.00 to $21.00 and set a "buy" rating for the company in a report on Tuesday, May 5th. Wolfe Research reissued an "outperform" rating and set a $25.00 price target on shares of Norwegian Cruise Line in a report on Tuesday, March 3rd. TD Cowen reissued a "buy" rating on shares of Norwegian Cruise Line in a report on Tuesday, January 13th. Finally, Susquehanna cut their price target on Norwegian Cruise Line from $20.00 to $15.00 and set a "neutral" rating for the company in a report on Tuesday, May 5th. One equities research analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating and twelve have given a Hold rating to the company's stock. According to MarketBeat, the company has a consensus rating of "Hold" and a consensus target price of $22.24.

Norwegian Cruise Line Stock Down 3.2%

The company has a 50-day moving average price of $19.81 and a 200 day moving average price of $20.87. The firm has a market capitalization of $7.59 billion, a PE ratio of 13.88, a P/E/G ratio of 1.01 and a beta of 1.92. The company has a debt-to-equity ratio of 5.75, a current ratio of 0.21 and a quick ratio of 0.18.

Norwegian Cruise Line (NYSE:NCLH - Get Free Report) last announced its quarterly earnings data on Monday, May 4th. The company reported $0.23 EPS for the quarter, beating the consensus estimate of $0.15 by $0.08. Norwegian Cruise Line had a return on equity of 47.84% and a net margin of 5.66%.The business had revenue of $2.33 billion for the quarter, compared to the consensus estimate of $2.36 billion. During the same period in the previous year, the business earned $0.07 earnings per share. The business's revenue was up 9.6% on a year-over-year basis. Norwegian Cruise Line has set its Q2 2026 guidance at 0.380-0.380 EPS and its FY 2026 guidance at 1.450-1.790 EPS. Analysts forecast that Norwegian Cruise Line Holdings Ltd. will post 1.59 earnings per share for the current year.

Insider Activity at Norwegian Cruise Line

In other news, Director Zillah Byng-Thorne bought 4,452 shares of the firm's stock in a transaction that occurred on Thursday, May 7th. The shares were bought at an average cost of $17.83 per share, for a total transaction of $79,379.16. Following the completion of the transaction, the director owned 25,742 shares of the company's stock, valued at approximately $458,979.86. This represents a 20.91% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which is available through the SEC website. Corporate insiders own 0.41% of the company's stock.

Institutional Investors Weigh In On Norwegian Cruise Line

A number of hedge funds have recently made changes to their positions in NCLH. Integrated Wealth Concepts LLC lifted its position in shares of Norwegian Cruise Line by 26.7% in the first quarter. Integrated Wealth Concepts LLC now owns 23,133 shares of the company's stock worth $439,000 after buying an additional 4,872 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its position in Norwegian Cruise Line by 4.3% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 48,346 shares of the company's stock valued at $917,000 after purchasing an additional 2,002 shares during the period. Woodline Partners LP raised its position in Norwegian Cruise Line by 40.7% during the first quarter. Woodline Partners LP now owns 37,149 shares of the company's stock valued at $704,000 after purchasing an additional 10,743 shares during the period. Jump Financial LLC raised its position in Norwegian Cruise Line by 133.0% during the second quarter. Jump Financial LLC now owns 38,904 shares of the company's stock valued at $789,000 after purchasing an additional 22,204 shares during the period. Finally, California Public Employees Retirement System raised its position in Norwegian Cruise Line by 5.1% during the second quarter. California Public Employees Retirement System now owns 766,825 shares of the company's stock valued at $15,551,000 after purchasing an additional 37,071 shares during the period. 69.58% of the stock is currently owned by hedge funds and other institutional investors.

About Norwegian Cruise Line

Norwegian Cruise Line Holdings Ltd. NYSE: NCLH is a global cruise operator offering a portfolio of premium brands that includes Norwegian Cruise Line, Oceania Cruises and Regent Seven Seas Cruises. The company provides sea voyages and related onboard services such as dining, entertainment, shore excursions and destination experiences. Its fleet of modern vessels sails to more than 400 destinations across all seven continents, serving leisure travelers with itineraries ranging from short Caribbean getaways to extended world voyages.

Founded in 1966 by Knut Kloster and Ted Arison, the company pioneered the concept of “Freestyle Cruising,” which allows passengers greater flexibility in dining schedules, entertainment choices and onboard activities.

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