NORWEGIAN CRUISE LINE HOLDIN (NCLH) Stock Fundamental Analysis
NYSE:NCLH - New York Stock Exchange, Inc. - BMG667211046 - Common Stock - Currency: USD
Taking everything into account, NCLH scores 3 out of 10 in our fundamental rating. NCLH was compared to 132 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 has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year NCLH was profitable.
NCLH had a positive operating cash flow in the past year.
In multiple years NCLH reported negative net income over the last 5 years.
The reported operating cash flow has been mixed in the past 5 years: NCLH reported negative operating cash flow in multiple years.
1.2 Ratios
NCLH has a Return On Assets of 3.99%. This is in the better half of the industry: NCLH outperforms 62.12% of its industry peers.
Looking at the Return On Equity, with a value of 60.19%, NCLH belongs to the top of the industry, outperforming 96.21% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 7.50%, NCLH is in the better half of the industry, outperforming 62.88% of the companies in the same industry.
| 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
NCLH's Profit Margin of 9.05% is fine compared to the rest of the industry. NCLH outperforms 69.70% of its industry peers.
NCLH's Profit Margin has declined in the last couple of years.
NCLH has a better Operating Margin (15.38%) than 68.18% of its industry peers.
In the last couple of years the Operating Margin of NCLH has declined.
NCLH has a Gross Margin of 40.47%. This is in the lower half of the industry: NCLH underperforms 62.12% of its industry peers.
NCLH's Gross Margin has declined in the last couple of years.
| 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
NCLH has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
NCLH has more shares outstanding than it did 1 year ago.
NCLH has more shares outstanding than it did 5 years ago.
The debt/assets ratio for NCLH has been reduced compared to a year ago.
2.2 Solvency
NCLH has an Altman-Z score of 0.30. This is a bad value and indicates that NCLH is not financially healthy and even has some risk of bankruptcy.
NCLH has a worse Altman-Z score (0.30) than 81.82% of its industry peers.
NCLH has a Debt/Equity ratio of 9.09. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 9.09, NCLH is not doing good in the industry: 65.91% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 9.09 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.3 |
ROIC/WACC0.86
WACC8.75%
2.3 Liquidity
NCLH has a Current 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.
The Current ratio of NCLH (0.19) is worse than 96.97% of its industry peers.
A Quick Ratio of 0.16 indicates that NCLH may have some problems paying its short term obligations.
With a Quick ratio value of 0.16, NCLH is not doing good in the industry: 96.21% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.19 | ||
| Quick Ratio | 0.16 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 65.38% over the past year.
NCLH shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -18.68% yearly.
Looking at the last year, NCLH shows a small growth in Revenue. The Revenue has grown by 5.57% in the last year.
The Revenue has been growing slightly by 7.96% on average over the past years.
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
NCLH is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 19.70% yearly.
The Revenue is expected to grow by 8.40% on average over the next years. This is quite good.
EPS Next Y14.24%
EPS Next 2Y17.86%
EPS Next 3Y17.62%
EPS Next 5Y19.7%
Revenue Next Year6.51%
Revenue Next 2Y8.16%
Revenue Next 3Y8.21%
Revenue Next 5Y8.4%
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 13.53, which indicates a correct valuation of NCLH.
86.36% of the companies in the same industry are more expensive than NCLH, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of NCLH to the average of the S&P500 Index (27.51), we can say NCLH is valued rather cheaply.
A Price/Forward Earnings ratio of 9.26 indicates a reasonable valuation of NCLH.
Based on the Price/Forward Earnings ratio, NCLH is valued cheaper than 90.91% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 35.58, NCLH is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.53 | ||
| Fwd PE | 9.26 |
4.2 Price Multiples
71.21% of the companies in the same industry are more expensive than NCLH, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.97 |
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.
NCLH's earnings are expected to grow with 17.62% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.95
PEG (5Y)N/A
EPS Next 2Y17.86%
EPS Next 3Y17.62%
5. Dividend
5.1 Amount
NCLH does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
23.27
+0.65 (+2.87%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners80.24%
Inst Owner Change0%
Ins Owners0.35%
Ins Owner Change1.31%
Market Cap10.40B
Analysts80
Price Target24.98 (7.35%)
Short Float %6.67%
Short Ratio1.95
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)0.31%
PT rev (3m)-17.11%
EPS NQ rev (1m)0.44%
EPS NQ rev (3m)-2.12%
EPS NY rev (1m)-0.55%
EPS NY rev (3m)-2.91%
Revenue NQ rev (1m)0.08%
Revenue NQ rev (3m)-1.25%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)-0.87%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.53 | ||
| Fwd PE | 9.26 | ||
| P/S | 1.1 | ||
| P/FCF | N/A | ||
| P/OCF | 5.41 | ||
| P/B | 7.34 | ||
| P/tB | 13.33 | ||
| EV/EBITDA | 9.97 |
EPS(TTM)1.72
EY7.39%
EPS(NY)2.51
Fwd EY10.8%
FCF(TTM)-1.24
FCFYN/A
OCF(TTM)4.3
OCFY18.48%
SpS21.07
BVpS3.17
TBVpS1.75
PEG (NY)0.95
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 | 0.3 |
F-Score7
WACC8.75%
ROIC/WACC0.86
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 Y14.24%
EPS Next 2Y17.86%
EPS Next 3Y17.62%
EPS Next 5Y19.7%
Revenue 1Y (TTM)5.57%
Revenue growth 3Y144.57%
Revenue growth 5Y7.96%
Sales Q2Q%-2.91%
Revenue Next Year6.51%
Revenue Next 2Y8.16%
Revenue Next 3Y8.21%
Revenue Next 5Y8.4%
EBIT growth 1Y27.22%
EBIT growth 3YN/A
EBIT growth 5Y4.47%
EBIT Next Year79.91%
EBIT Next 3Y30.5%
EBIT Next 5Y21%
FCF growth 1Y28.05%
FCF growth 3YN/A
FCF growth 5Y35.24%
OCF growth 1Y77.25%
OCF growth 3YN/A
OCF growth 5Y2.38%