NORWEGIAN CRUISE LINE HOLDIN (NCLH) Stock Fundamental Analysis
NYSE:NCLH - New York Stock Exchange, Inc. - BMG667211046 - Common Stock - Currency: USD
Overall NCLH gets a fundamental rating of 3 out of 10. We evaluated NCLH against 133 industry peers in the Hotels, Restaurants & Leisure industry. While NCLH is still in line with the averages on profitability rating, there are concerns on its financial health. NCLH is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year NCLH was profitable.
In the past year NCLH had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: NCLH reported negative net income in multiple years.
In multiple years NCLH reported negative operating cash flow during the last 5 years.
1.2 Ratios
NCLH's Return On Assets of 3.99% is fine compared to the rest of the industry. NCLH outperforms 63.16% of its industry peers.
NCLH's Return On Equity of 60.19% is amongst the best of the industry. NCLH outperforms 96.24% of its industry peers.
NCLH's Return On Invested Capital of 7.50% is fine compared to the rest of the industry. NCLH outperforms 63.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.99% | ||
| ROE | 60.19% | ||
| ROIC | 7.5% |
ROA(3y)-2.27%
ROA(5y)-10.54%
ROE(3y)-1056.87%
ROE(5y)-689.6%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of NCLH (9.05%) is better than 70.68% of its industry peers.
In the last couple of years the Profit Margin of NCLH has declined.
NCLH has a Operating Margin of 15.38%. This is in the better half of the industry: NCLH outperforms 69.17% of its industry peers.
NCLH's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 40.47%, NCLH is not doing good in the industry: 63.16% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of NCLH has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.38% | ||
| PM (TTM) | 9.05% | ||
| GM | 40.47% |
OM growth 3YN/A
OM growth 5Y-3.24%
PM growth 3YN/A
PM growth 5Y-7.78%
GM growth 3YN/A
GM growth 5Y-1.58%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so NCLH is destroying value.
Compared to 1 year ago, NCLH has more shares outstanding
NCLH has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, NCLH has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.25, we must say that NCLH is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.25, NCLH is doing worse than 83.46% of the companies in the same industry.
A Debt/Equity ratio of 9.09 is on the high side and indicates that NCLH has dependencies on debt financing.
The Debt to Equity ratio of NCLH (9.09) is worse than 66.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 9.09 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.25 |
ROIC/WACC0.87
WACC8.63%
2.3 Liquidity
A Current Ratio of 0.19 indicates that NCLH may have some problems paying its short term obligations.
NCLH has a worse Current ratio (0.19) than 97.74% of its industry peers.
NCLH has a Quick Ratio of 0.19. This is a bad value and indicates that NCLH is not financially healthy enough and could expect problems in meeting its short term obligations.
NCLH has a worse Quick ratio (0.16) than 96.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.19 | ||
| Quick Ratio | 0.16 |
3. Growth
3.1 Past
NCLH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 65.38%, which is quite impressive.
Measured over the past years, NCLH shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -18.68% on average per year.
NCLH shows a small growth in Revenue. In the last year, the Revenue has grown by 5.57%.
Measured over the past years, NCLH shows a small growth in Revenue. The Revenue has been growing by 7.96% on average per year.
EPS 1Y (TTM)65.38%
EPS 3YN/A
EPS 5Y-18.68%
EPS Q2Q%-56.25%
Revenue 1Y (TTM)5.57%
Revenue growth 3Y144.57%
Revenue growth 5Y7.96%
Sales Q2Q%-2.91%
3.2 Future
Based on estimates for the next years, NCLH will show a quite strong growth in Earnings Per Share. The EPS will grow by 18.86% on average per year.
The Revenue is expected to grow by 8.90% on average over the next years. This is quite good.
EPS Next Y14.88%
EPS Next 2Y18.27%
EPS Next 3Y17.99%
EPS Next 5Y18.86%
Revenue Next Year6.48%
Revenue Next 2Y8.09%
Revenue Next 3Y8.24%
Revenue Next 5Y8.9%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 11.39, which indicates a very decent valuation of NCLH.
Based on the Price/Earnings ratio, NCLH is valued cheaper than 90.98% of the companies in the same industry.
NCLH is valuated cheaply when we compare the Price/Earnings ratio to 26.53, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 7.74, the valuation of NCLH can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of NCLH indicates a rather cheap valuation: NCLH is cheaper than 93.23% of the companies listed in the same industry.
NCLH's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.27.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.39 | ||
| Fwd PE | 7.74 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NCLH is valued a bit cheaper than 73.68% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.29 |
4.3 Compensation for Growth
NCLH's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as NCLH's earnings are expected to grow with 17.99% in the coming years.
PEG (NY)0.77
PEG (5Y)N/A
EPS Next 2Y18.27%
EPS Next 3Y17.99%
5. Dividend
5.1 Amount
No dividends for NCLH!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
19.59
+0.03 (+0.15%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners80.67%
Inst Owner Change2.34%
Ins Owners0.39%
Ins Owner Change2.57%
Market Cap8.75B
Analysts81.29
Price Target24.91 (27.16%)
Short Float %6.68%
Short Ratio1.96
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)58.89%
Min EPS beat(2)-24.41%
Max EPS beat(2)142.19%
EPS beat(4)3
Avg EPS beat(4)33.38%
Min EPS beat(4)-24.41%
Max EPS beat(4)142.19%
EPS beat(8)6
Avg EPS beat(8)20.04%
EPS beat(12)8
Avg EPS beat(12)12.42%
EPS beat(16)9
Avg EPS beat(16)7.19%
Revenue beat(2)0
Avg Revenue beat(2)-2.26%
Min Revenue beat(2)-2.76%
Max Revenue beat(2)-1.75%
Revenue beat(4)0
Avg Revenue beat(4)-1.9%
Min Revenue beat(4)-2.76%
Max Revenue beat(4)-0.69%
Revenue beat(8)0
Avg Revenue beat(8)-1.88%
Revenue beat(12)1
Avg Revenue beat(12)-1.79%
Revenue beat(16)1
Avg Revenue beat(16)-9.37%
PT rev (1m)-3.25%
PT rev (3m)-19.53%
EPS NQ rev (1m)0.75%
EPS NQ rev (3m)-6.78%
EPS NY rev (1m)-1.49%
EPS NY rev (3m)-2.12%
Revenue NQ rev (1m)-0.12%
Revenue NQ rev (3m)-2.14%
Revenue NY rev (1m)-0.05%
Revenue NY rev (3m)-1.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.39 | ||
| Fwd PE | 7.74 | ||
| P/S | 0.93 | ||
| P/FCF | N/A | ||
| P/OCF | 4.55 | ||
| P/B | 6.18 | ||
| P/tB | 11.22 | ||
| EV/EBITDA | 9.29 |
EPS(TTM)1.72
EY8.78%
EPS(NY)2.53
Fwd EY12.92%
FCF(TTM)-1.24
FCFYN/A
OCF(TTM)4.3
OCFY21.96%
SpS21.07
BVpS3.17
TBVpS1.75
PEG (NY)0.77
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.99% | ||
| ROE | 60.19% | ||
| ROCE | 9.49% | ||
| ROIC | 7.5% | ||
| ROICexc | 7.59% | ||
| ROICexgc | 7.92% | ||
| OM | 15.38% | ||
| PM (TTM) | 9.05% | ||
| GM | 40.47% | ||
| FCFM | N/A |
ROA(3y)-2.27%
ROA(5y)-10.54%
ROE(3y)-1056.87%
ROE(5y)-689.6%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y-0.2%
ROICexc growth 3YN/A
ROICexc growth 5Y2.69%
OM growth 3YN/A
OM growth 5Y-3.24%
PM growth 3YN/A
PM growth 5Y-7.78%
GM growth 3YN/A
GM growth 5Y-1.58%
F-Score7
Asset Turnover0.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 9.09 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.3 | ||
| Cap/Depr | 253.06% | ||
| Cap/Sales | 26.31% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 79.17% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.19 | ||
| Quick Ratio | 0.16 | ||
| Altman-Z | 0.25 |
F-Score7
WACC8.63%
ROIC/WACC0.87
Cap/Depr(3y)218.66%
Cap/Depr(5y)176.64%
Cap/Sales(3y)27.26%
Cap/Sales(5y)54.38%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)65.38%
EPS 3YN/A
EPS 5Y-18.68%
EPS Q2Q%-56.25%
EPS Next Y14.88%
EPS Next 2Y18.27%
EPS Next 3Y17.99%
EPS Next 5Y18.86%
Revenue 1Y (TTM)5.57%
Revenue growth 3Y144.57%
Revenue growth 5Y7.96%
Sales Q2Q%-2.91%
Revenue Next Year6.48%
Revenue Next 2Y8.09%
Revenue Next 3Y8.24%
Revenue Next 5Y8.9%
EBIT growth 1Y27.22%
EBIT growth 3YN/A
EBIT growth 5Y4.47%
EBIT Next Year79.91%
EBIT Next 3Y30.5%
EBIT Next 5Y21.83%
FCF growth 1Y28.05%
FCF growth 3YN/A
FCF growth 5Y35.24%
OCF growth 1Y77.25%
OCF growth 3YN/A
OCF growth 5Y2.38%