Norwegian Cruise Line (NYSE:NCLH) Reaches New 1-Year Low - Here's Why

Key Points

• Norwegian Cruise Line shares hit a new 52-week low, falling to $14.50 and trading about 2% lower at $14.6350.
• Analyst sentiment is mixed but leans cautious: the stock has a consensus “Hold” rating and an average price target of $20.95, despite some recent upgrades and downgrades.
• The company reported quarterly EPS of $0.48, beating estimates of $0.41, while revenue reached $2.64 billion and rose 4.9% year over year; however, its high debt and weak liquidity ratios remain concerns.

Shares of Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH - Get Free Report) reached a new 52-week low on Thursday . The stock traded as low as $14.50 and last traded at $14.6350, with a volume of 6851201 shares. The stock had previously closed at $14.85.

Analyst Ratings Changes

Several equities research analysts have recently issued reports on NCLH shares. Sanford C. Bernstein began coverage on shares of Norwegian Cruise Line in a research report on Wednesday, June 3rd. They set a "market perform" rating and a $18.00 price objective on the stock. TD Cowen upped their target price on shares of Norwegian Cruise Line from $22.00 to $24.00 and gave the stock a "buy" rating in a research report on Tuesday, June 23rd. Freedom Capital cut shares of Norwegian Cruise Line from a "strong-buy" rating to a "hold" rating in a research note on Friday, July 31st. Weiss Ratings reiterated a "hold (c)" rating on shares of Norwegian Cruise Line in a report on Monday, August 3rd. Finally, Truist Financial downgraded shares of Norwegian Cruise Line from a "buy" rating to a "hold" rating and set a $20.00 price objective for the company. in a report on Thursday, July 23rd. One analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, fifteen have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, Norwegian Cruise Line presently has a consensus rating of "Hold" and an average target price of $20.95.

Norwegian Cruise Line Stock Down 2.0%

The company has a debt-to-equity ratio of 5.40, a quick ratio of 0.17 and a current ratio of 0.20. The firm has a market capitalization of $6.68 billion, a PE ratio of 9.10, a PEG ratio of 0.88 and a beta of 1.88. The company has a fifty day moving average price of $18.37 and a 200-day moving average price of $19.01.

Norwegian Cruise Line (NYSE:NCLH - Get Free Report) last announced its quarterly earnings results on Thursday, July 30th. The company reported $0.48 earnings per share for the quarter, topping the consensus estimate of $0.41 by $0.07. Norwegian Cruise Line had a net margin of 7.49% and a return on equity of 41.38%. The company had revenue of $2.64 billion for the quarter, compared to analysts' expectations of $2.65 billion. During the same quarter in the previous year, the business posted $0.51 earnings per share. Norwegian Cruise Line's quarterly revenue was up 4.9% on a year-over-year basis. 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. As a group, analysts expect that Norwegian Cruise Line Holdings Ltd. will post 1.37 earnings per share for the current year.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Capital International Investors boosted its holdings in Norwegian Cruise Line by 7.1% during the 4th quarter. Capital International Investors now owns 56,177,669 shares of the company's stock valued at $1,253,886,000 after acquiring an additional 3,728,929 shares during the period. State Street Corp lifted its holdings in Norwegian Cruise Line by 0.4% during the 4th quarter. State Street Corp now owns 16,304,827 shares of the company's stock valued at $363,924,000 after buying an additional 66,329 shares in the last quarter. Elliott Investment Management L.P. purchased a new stake in Norwegian Cruise Line in the 1st quarter valued at about $246,578,000. Geode Capital Management LLC grew its stake in Norwegian Cruise Line by 2.2% in the 4th quarter. Geode Capital Management LLC now owns 12,205,008 shares of the company's stock worth $271,951,000 after acquiring an additional 262,086 shares in the last quarter. Finally, California State Teachers Retirement System increased its position in shares of Norwegian Cruise Line by 1,988.9% during the second quarter. California State Teachers Retirement System now owns 11,122,247 shares of the company's stock worth $234,791,000 after acquiring an additional 10,589,799 shares during the period. Hedge funds and other institutional investors own 69.58% of the company's stock.

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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