Zacks Research Issues Negative Outlook for NCLH Earnings

Key Points

• Zacks Research cut its Q2 2026 EPS estimate for Norwegian Cruise Line to $0.33 from $0.55 and kept a Strong Sell rating on the stock.
• Norwegian Cruise Line reported Q1 earnings of $0.23 per share, topping expectations, while revenue of $2.33 billion came in slightly below forecasts. The company also guided Q2 2026 EPS to $0.38 and FY 2026 EPS to $1.45-$1.79.
• Despite some upbeat insider and institutional activity, analysts remain cautious: the stock’s consensus rating is Hold with an average target price of $21.41, and several firms have recently lowered their price targets.

Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH - Free Report) - Equities researchers at Zacks Research cut their Q2 2026 earnings per share estimates for Norwegian Cruise Line in a report issued on Monday, May 18th. Zacks Research analyst Team now anticipates that the company will post earnings of $0.33 per share for the quarter, down from their prior estimate of $0.55. Zacks Research currently has a "Strong Sell" rating on the stock. The consensus estimate for Norwegian Cruise Line's current full-year earnings is $1.59 per share. Zacks Research also issued estimates for Norwegian Cruise Line's Q3 2026 earnings at $0.96 EPS, Q4 2026 earnings at $0.01 EPS, FY2026 earnings at $1.50 EPS, Q1 2027 earnings at $0.06 EPS, Q2 2027 earnings at $0.39 EPS, Q3 2027 earnings at $0.99 EPS, Q4 2027 earnings at $0.09 EPS, FY2027 earnings at $1.55 EPS, Q1 2028 earnings at $0.15 EPS and FY2028 earnings at $1.82 EPS.

Norwegian Cruise Line (NYSE:NCLH - Get Free Report) last released its earnings results on Monday, May 4th. The company reported $0.23 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.15 by $0.08. The business had revenue of $2.33 billion for the quarter, compared to analyst estimates of $2.36 billion. Norwegian Cruise Line had a return on equity of 47.84% and a net margin of 5.66%.The company's revenue for the quarter was up 9.6% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.07 earnings per share. 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.

A number of other research analysts have also issued reports on the company. Susquehanna dropped their target price on Norwegian Cruise Line from $20.00 to $15.00 and set a "neutral" rating on the stock in a report on Tuesday, May 5th. Barclays dropped their target price on Norwegian Cruise Line from $21.00 to $19.00 and set an "equal weight" rating on the stock in a report on Tuesday, May 5th. Stifel Nicolaus dropped their target price on Norwegian Cruise Line from $28.00 to $27.00 and set a "buy" rating on the stock in a report on Monday, April 20th. Bank of America dropped 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. Finally, Wolfe Research reissued an "outperform" rating and issued a $25.00 target price on shares of Norwegian Cruise Line in a report on Tuesday, March 3rd. One investment analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating, eleven have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus target price of $21.41.

Norwegian Cruise Line Trading Up 8.4%

NYSE:NCLH opened at $16.04 on Thursday. The firm has a market cap of $7.36 billion, a P/E ratio of 13.48, a PEG ratio of 0.88 and a beta of 1.92. The company has a current ratio of 0.21, a quick ratio of 0.18 and a debt-to-equity ratio of 5.75. The stock's 50 day simple moving average is $18.68 and its 200-day simple moving average is $20.41. Norwegian Cruise Line has a 12-month low of $14.53 and a 12-month high of $27.18.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of NCLH. Elliott Investment Management L.P. purchased a new stake in Norwegian Cruise Line during the first quarter worth $246,578,000. AQR Capital Management LLC boosted its position in Norwegian Cruise Line by 1,505.9% during the fourth quarter. AQR Capital Management LLC now owns 6,793,256 shares of the company's stock worth $151,625,000 after purchasing an additional 6,370,241 shares in the last quarter. Capital International Investors boosted its position in Norwegian Cruise Line by 7.1% during the fourth quarter. Capital International Investors now owns 56,177,669 shares of the company's stock worth $1,253,886,000 after purchasing an additional 3,728,929 shares in the last quarter. California Public Employees Retirement System boosted its position in Norwegian Cruise Line by 358.8% during the first quarter. California Public Employees Retirement System now owns 3,675,830 shares of the company's stock worth $68,738,000 after purchasing an additional 2,874,730 shares in the last quarter. Finally, Freestone Grove Partners LP boosted its position in Norwegian Cruise Line by 338.8% during the third quarter. Freestone Grove Partners LP now owns 3,690,333 shares of the company's stock worth $90,893,000 after purchasing an additional 2,849,349 shares in the last quarter. Institutional investors and hedge funds own 69.58% of the company's stock.

Insiders Place Their Bets

In other Norwegian Cruise Line news, Director Zillah Byng-Thorne acquired 25,015 shares of the company's stock in a transaction that occurred on Thursday, May 7th. The shares were purchased at an average price of $17.67 per share, with a total value of $442,015.05. Following the completion of the acquisition, the director directly owned 99,811 shares of the company's stock, valued at approximately $1,763,660.37. The trade was a 33.44% increase in their position. The acquisition was disclosed in a filing with the SEC, which is available through this hyperlink. 0.41% of the stock is owned by corporate insiders.

Norwegian Cruise Line Company Profile

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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