Norwegian Cruise Line (NCLH) closed the latest trading day at $28.13, indicating a +0.86% change from the previous session's end. The stock exceeded the S&P 500, which registered a gain of 0.39% for the day. On the other hand, the Dow registered a gain of 0.71%, and the technology-centric Nasdaq increased by 0.2%.
The cruise operator's shares have seen an increase of 9.33% over the last month, surpassing the Consumer Discretionary sector's gain of 2.35% and the S&P 500's gain of 1.7%.
The investment community will be closely monitoring the performance of Norwegian Cruise Line in its forthcoming earnings report. In that report, analysts expect Norwegian Cruise Line to post earnings of $0.11 per share. This would mark year-over-year growth of 161.11%. At the same time, our most recent consensus estimate is projecting a revenue of $2.09 billion, reflecting a 5.21% rise from the equivalent quarter last year.
Investors should also note any recent changes to analyst estimates for Norwegian Cruise Line. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.91% lower. As of now, Norwegian Cruise Line holds a Zacks Rank of #3 (Hold).
With respect to valuation, Norwegian Cruise Line is currently being traded at a Forward P/E ratio of 13.44. This signifies a discount in comparison to the average Forward P/E of 19.81 for its industry.
Investors should also note that NCLH has a PEG ratio of 0.23 right now. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. NCLH's industry had an average PEG ratio of 0.84 as of yesterday's close.
The Leisure and Recreation Services industry is part of the Consumer Discretionary sector. This industry, currently bearing a Zacks Industry Rank of 62, finds itself in the top 25% echelons of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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