Latest news with #NorwegianCruiseLineHoldingsLtd
Yahoo
08-08-2025
- Business
- Yahoo
Norwegian Cruise Line Holdings Ltd. (NCLH) Turned Out To Be A Hidden Surprise, Says Jim Cramer
We recently published . Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH) is one of the stocks Jim Cramer recently discussed. Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH) is a cruise ship company that Cramer has discussed several times in 2025. The shares have lost 3.9% year-to-date due to weak earnings performance earlier in the year and investor worries about the Trump administration ending tax exemptions for the sector. However, Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH)'s shares jumped by 9% after the firm reiterated its 2025 earnings per share forecast of $2.05 to beat analyst estimates of $2.02. The stock soared as Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH) entered the earnings season with bearish sentiment. Cramer discussed the firm: 'And one we didn't even talk about that I think is going to shock cruise people, is Norwegian Cruise. When the other day, we had Royal Caribbean, people didn't like their outlook but they said they were still the best. But it turns out that the one that is really the best is, Norwegian Cruise.' Here are Cramer's previous comments about Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH) made after an earlier earnings report that indicate the pessimism surrounding the firm: 'Yeah look I think Norwegian, again the forecast was not as robust as they could have done. They could have easily said look things are really good.' While we acknowledge the potential of NCLH as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the . READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now. Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
26-06-2025
- Business
- Yahoo
Norwegian Cruise Line Stock: Is NCLH Underperforming the Consumer Discretionary Sector?
Norwegian Cruise Line Holdings Ltd. (NCLH), headquartered in Miami, Florida, provides cruise travel services. Valued at $8.7 billion by market cap, the company offers cruise itineraries and theme cruises, and markets its services through various distribution channels including retail and travel agents, international and incentive sales, and consumer direct. Companies worth $2 billion or more are generally described as 'mid-cap stocks,' and NCLH perfectly fits that description, with its market cap exceeding this mark, underscoring its size, influence, and dominance within the travel services industry. NCLH's significant revenue is driven by strong passenger ticket sales and onboard activities. The company is poised for further growth with 13 new vessels on order, increasing capacity by 41,000 berths through 2036. NCLH's robust liquidity position and prudent financial management enable it to invest in growth initiatives and navigate market fluctuations. Tesla's Robotaxis Reportedly Sped and Veered Into the Wrong Lanes. Does This Crush the Bull Case for TSLA Stock? 1 Dividend Stock to Buy Yielding Over 7% Up 93% in 2025, Palantir Stock Is Too Hot to Handle Here Tired of missing midday reversals? The FREE Barchart Brief newsletter keeps you in the know. Sign up now! Despite its notable strength, NCLH slipped 35.1% from its 52-week high of $29.29, achieved on Jan. 31. Over the past three months, NCLH stock declined 7.1%, underperforming the Consumer Discretionary Select Sector SPDR Fund's (XLY) 3.5% gains during the same time frame. In the longer term, shares of NCLH dipped 26.1% on a YTD basis but climbed 4% over the past 52 weeks, underperforming XLY's YTD 5% losses and 17.9% returns over the last year. To confirm the bearish trend, NCLH has been trading below its 200-day moving average since early March. However, the stock is trading above its 50-day moving average since mid-May, with slight fluctuations. On Apr. 30, NCLH shares closed down more than 7% after reporting its Q1 results. Its adjusted EPS of $0.07 did not meet Wall Street expectations of $0.09. The company's revenue was $2.1 billion, missing Wall Street forecasts of $2.2 billion. The company expects full-year adjusted EPS to be $2.05. In the competitive arena of travel services, Royal Caribbean Cruises Ltd. (RCL) has taken the lead over NCLH, showing resilience with 23.3% gains on a YTD basis and 76.9% returns over the past 52 weeks. Wall Street analysts are moderately bullish on NCLH's prospects. The stock has a consensus 'Moderate Buy' rating from the 22 analysts covering it, and the mean price target of $24.50 suggests a potential upside of 28.8% from current price levels. On the date of publication, Neha Panjwani did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Sign in to access your portfolio
Yahoo
16-05-2025
- Business
- Yahoo
Norwegian Cruise Line Holdings' (NYSE:NCLH) Promising Earnings May Rest On Soft Foundations
Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH) announced strong profits, but the stock was stagnant. Our analysis suggests that this might be because shareholders have noticed some concerning underlying factors. We've discovered 1 warning sign about Norwegian Cruise Line Holdings. View them for free. Norwegian Cruise Line Holdings reported a tax benefit of US$139m, which is well worth noting. It's always a bit noteworthy when a company is paid by the tax man, rather than paying the tax man. We're sure the company was pleased with its tax benefit. However, our data indicates that tax benefits can temporarily boost statutory profit in the year it is booked, but subsequently profit may fall back. In the likely event the tax benefit is not repeated, we'd expect to see its statutory profit levels drop, at least in the absence of strong growth. That might leave you wondering what analysts are forecasting in terms of future profitability. Luckily, you can click here to see an interactive graph depicting future profitability, based on their estimates. As we have already discussed Norwegian Cruise Line Holdings reported that it received a tax benefit, rather than paying tax, in the last year. Given that sort of benefit is not recurring, a focus on the statutory profit might make the company seem better than it really is. Therefore, it seems possible to us that Norwegian Cruise Line Holdings' true underlying earnings power is actually less than its statutory profit. But the happy news is that, while acknowledging we have to look beyond the statutory numbers, those numbers are still improving, with EPS growing at a very high rate over the last year. Of course, we've only just scratched the surface when it comes to analysing its earnings; one could also consider margins, forecast growth, and return on investment, among other factors. So if you'd like to dive deeper into this stock, it's crucial to consider any risks it's facing. In terms of investment risks, we've identified 1 warning sign with Norwegian Cruise Line Holdings, and understanding it should be part of your investment process. This note has only looked at a single factor that sheds light on the nature of Norwegian Cruise Line Holdings' profit. But there are plenty of other ways to inform your opinion of a company. For example, many people consider a high return on equity as an indication of favorable business economics, while others like to 'follow the money' and search out stocks that insiders are buying. While it might take a little research on your behalf, you may find this free collection of companies boasting high return on equity, or this list of stocks with significant insider holdings to be useful. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
Yahoo
10-05-2025
- Business
- Yahoo
Norwegian Cruise Line Holdings Ltd. (NCLH): Among Billionaire David E. Shaw's Small-Cap Stock Picks with Huge Upside Potential
We recently published a list of . In this article, we are going to take a look at where Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH) stands against other billionaire David E. Shaw's small-cap stock picks with huge upside potential. David E. Shaw is one billionaire investor whose record speaks for itself on Wall Street. Having founded D.E. Shaw & Co., L.P. in 1988 with $28 million in capital, the fund has grown to become one of the most successful and biggest, with a 13F portfolio worth $136.27 billion. Amid the growth, Shaw's hedge fund D E Shaw has also returned significant returns to shareholders. The fund's flagship Composite fund has achieved an annualized net return of 12.7% since inception in 2001, as the Oculus Fund has averaged 13.7% annually since 2004 and has never had a negative year. Shaw's hedge fund was one of the earliest to leverage complex trading algorithms, followed by some form of human-run investing. Consequently, the multi-strategy fund remains the rage on Wall Street, given its solid returns over the years and the growing trend of returning gains to investors. READ ALSO: Billionaire Paul Tudor Jones' 10 Stocks Picks with Huge Upside Potential and Billionaire Quants' Two Sigma's 10 Stock Picks with Huge Upside Potential. Composite hedge fund gained 18% in 2024, with Oculus outperforming the overall market, soaring 36% and recording its best gain since inception. The better-than-expected returns come on Shaw and the other fund managers deploying systematic and computer-driven trading strategies to identify stocks trading at discounted valuations before they explode. Following the impressive performance in 2024, reports emerged that the hedge fund was planning to return billions of dollars to external clients, as has been the trend. Amid the impressive performance last year, D.E. Shaw & Co. finds itself at a crossroads as the overall stock market has turned bearish. Major US indices have pulled back by about 6% from record highs amid recession concerns and deteriorating macroeconomics attributed to the US trade war. The US Federal Reserve holding interest rates unchanged, waiting to see the impact of President Donald Trump's trade policy, continues to rattle sentiments in the equity market. The Federal Reserve held its benchmark rate unchanged at between 4.25% and 4.5%, much to the anguish of Trump. In its statement, the Fed noted the uncertainty around the economic outlook. 'Uncertainty about the economic outlook has increased further,' the statement said. 'The Committee is attentive to the risks to both sides of its dual mandate and judges that the risks of higher unemployment and higher inflation have raised.' Acknowledging that tariffs could worsen inflation and hinder economic expansion, the statement introduces the likelihood of a stagflation scenario, a phenomenon that has been largely missing from the US economy since the early 1980s. Decision-makers have mostly concurred that the central bank is currently well-placed, as the economy is performing reasonably well at this time, to exercise patience while fine-tuning monetary policy. Amid the economic uncertainty, focus in the equity markets is slowly shifting towards small-cap stocks with significant upside potential. That's partly because large-cap stocks are under pressure after skyrocketing to record highs, resulting in valuations above historical norms. Billionaire David E. Shaw's portfolio boasts of solid small-cap stocks with tremendous upside potential. We combed D. E. Shaw's SEC Q4 2024 13F filings to identify Billionaire David E. Shaw's 10 Small-Cap Stock Picks with Huge Upside Potential. We then settled on stocks with less than $10 billion in market cap and analyzed why the stocks stand out, as solid investments well poised to generate significant long-term value. Finally, we ranked the stocks in ascending order based on the stocks upside potential. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (). A luxurious cruise ship overlooking a stunning horizon, highlighting the variety of its itineraries. Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH) is a cruise company that operates the Norwegian Cruise Line, Oceania Cruises, and Regent Seven Seas Cruises brands. Its brands provide accommodations, multiple dining venues, bars and lounges, a spa, a casino, retail shopping areas, and entertainment choices. While the stock is down by about 35% year to date due to weakening cruise demand, it is still one of billionaire David E. Shaw's 10 small-cap stock picks with tremendous upside potential. Despite the lower demand, Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH) is not planning to offer discounts to attract more ticket sales for its cruises. Instead, it prioritizes strong pricing in anticipation of normalizing demand. Additionally, it is accelerating cost-saving initiatives to maintain profitability. It has already identified about $300 million in potential efficiencies. The Miami-based operator delivered disappointing first-quarter 2025 results as revenues fell 3% year over year on softening demand to $2.13 billion compared to $2.15 billion a year ago. Adjusted earnings per share came in at $0.07, missing estimates of $0.09. Nevertheless, Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH) maintained its outlook for 2025, anticipating adjusted EPS of $2.05, increasing about 13% year-over-year. However, on May 1, BofA Securities cut Norwegian Cruise Line Holdings Ltd.'s (NYSE:NCLH) price target from $23.00 to $20.00, keeping a Neutral rating due to declining future bookings, economic uncertainty, and weaker travel demand. Overall, NCLH ranks 6th on our list of billionaire David E. Shaw's small-cap stock picks with huge upside potential. While we acknowledge the potential of NCLH as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than NCLH but that trades at less than 5 times its earnings check out our report about this cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. 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Yahoo
03-05-2025
- Business
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Norwegian Cruise Line Holdings (NCLH): Among Billionaire Jim Simons' RenTech's Small-Cap Stock Picks with Huge Upside Potential
We recently published a list of . In this article, we are going to take a look at where Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH) stands against Billionaire Jim Simons' RenTech's other small-cap stock picks with huge upside potential. Jim Simons was (and still is even after his death in May 2024) one of the biggest names – if not the biggest – in the hedge fund space. He was a gifted mathematician and had a successful career in academia before making a bold pivot to finance in the late 70s. In 1978, he founded Monemetrics (a currency trading firm) and Limroy (a hedge fund), which were collapsed into one entity in 1982 and renamed Renaissance Technologies Corporation. This entity had one major objective: to use quantitative, computer-driven models to exploit market inefficiencies. In other words, Simons and his team were committed to making investment decisions based on sophisticated algorithms. (RenTech) began as a hedge fund but later morphed into something bigger. It is now an investment management firm that operates several hedge funds. Its flagship offering is the Medallion Fund. The Medallion Fund is known for extraordinary returns. During the crash (early 2000s) and the financial crisis (2007-2011), Medallion's returns were 56.6% and 74.6%, respectively. Following the first two years of operation, the lowest annual return was 31.5%. READ ALSO: Billionaire Seth Klarman's 10 Stock Picks with Huge Upside Potential and Billionaire Andreas Halvorsen's 10 Stock Picks With Huge Upside Potential. The Medallion Fund's track record in the market, and by extension RenTech's, made Simons a lot of money. At death, he was worth $31.4 billion and ranked among the top 100 richest people in the world. And, as Simons often said, all of the success he had in the market comes down to the love of mathematics. Accordingly, the Medallion Fund has been capable of extraordinary returns mostly because the investment team – led by Simons – leveraged mathematics. The fund utilizes algorithm-based methods to identify patterns and leverage past data for investing decisions. That is why RenTech invested (and continues to invest) billions in intellectuals and professionals from fields like Mathematics, Computer Science, and Physics. In one of his last interviews, he said: 'We hired statisticians, physicists, astronomers, mathematicians — the important thing was that they were very smart.' Jim Simons was a generational talent when it came to investing. He started an investment business and led to heights that others can only dream of. And because his legacy lives in RenTech, it makes sense to want to know what companies they're invested in. We sifted through Renaissance Technologies' Q4 2024 SEC 13F filings to compile this list. We focused only on shares in companies and excluded interests in ETFs and options. Then, we picked the stocks with a market capitalization of $10 billion or less. From the result, we ranked the stocks based on analyst price targets and selected the top 10 companies with the highest upside potential (as of April 30). Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (). A luxurious cruise ship overlooking a stunning horizon, highlighting the variety of its itineraries. Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH) is a cruise company that operates several brands, including its main Norwegian Cruise Line and luxury brands like Regent Seven Seas Cruises and Oceania Cruises. It provides services such as on-board lodging, dining, entertainment, and shore excursions. In Q1 2025, Norwegian Cruise Line (NYSE:NCLH) reported mixed financial results. Total revenue reached $2.1 billion, down about 3% compared to Q1 2024. The company attributed the decline to two factors: a 2% decline in capacity days related to increased dry-dock activities and a strategic reduction in passenger air participation rates. The cruise line posted a GAAP net loss of $40.3 million or ($0.09) per share, though its Adjusted EBITDA of $453 million exceeded guidance. The company is investing heavily in fleet enhancements and new experiences to drive consumer demand. On April 28, 2025, the Norwegian Cruise Line subsidiary welcomed Norwegian Aqua, the first vessel in its cutting-edge Prima Plus Class. Meanwhile, on April 30, 2025, the Oceania Cruises subsidiary announced a sweeping revamp of its onboard entertainment program across its eight small luxury ships fleet. It introduced a new celebratory evening called 'The Blue Horizons Party,' along with original production shows and immersive wellness experiences. On April 21, 2025, Loop Capital Markets analyst Laura Champine upgraded the stock from Hold to Buy while maintaining a $25 price target. Overall, NCLH ranks 3rd on our list of Billionaire Jim Simons' RenTech's small-cap stock picks with huge upside potential. While we acknowledge the potential of NCLH as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than NCLH but that trades at less than 5 times its earnings check out our report about this cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Sign in to access your portfolio
