Norwegian Cruise Line (NCLH) closed at $20.26 in the latest trading session, marking a +1.5% move from the prior day. This change outpaced the S&P 500's 1.02% gain on the day. Meanwhile, the Dow gained 0.63%, and the Nasdaq, a tech-heavy index, added 1.23%.
Prior to today's trading, shares of the cruise operator had gained 5.78% outpaced the Consumer Discretionary sector's loss of 0.69% and the S&P 500's gain of 0.63%.
The investment community will be paying close attention to the earnings performance of Norwegian Cruise Line in its upcoming release. The company's upcoming EPS is projected at $0.16, signifying a 128.57% increase compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $2.34 billion, indicating a 10.06% growth compared to the corresponding quarter of the prior year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $2.34 per share and a revenue of $10.56 billion, indicating changes of +10.9% and +7.41%, respectively, from the former year.
Investors should also pay attention to any latest changes in analyst estimates for Norwegian Cruise Line. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 4.97% lower. Norwegian Cruise Line presently features a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Norwegian Cruise Line has a Forward P/E ratio of 8.54 right now. For comparison, its industry has an average Forward P/E of 16.51, which means Norwegian Cruise Line is trading at a discount to the group.
Meanwhile, NCLH's PEG ratio is currently 0.51. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Leisure and Recreation Services was holding an average PEG ratio of 1.39 at yesterday's closing price.
The Leisure and Recreation Services industry is part of the Consumer Discretionary sector. Currently, this industry holds a Zacks Industry Rank of 146, positioning it in the bottom 41% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow NCLH in the coming trading sessions, be sure to utilize Zacks.com.
Quantum Computing Stocks Set To Soar
Artificial intelligence has already reshaped the investment landscape, and its convergence with quantum computing could lead to the most significant wealth-building opportunities of our time.
Today, you have a chance to position your portfolio at the forefront of this technological revolution. In our urgent special report, Beyond AI: The Quantum Leap in Computing Power , you'll discover the little-known stocks we believe will win the quantum computing race and deliver massive gains to early investors.
Access the Report Free Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Norwegian Cruise Line Holdings Ltd. (NCLH): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).