Norwegian Cruise Line Holdings Ltd (NCLH)vsRoyal Caribbean Cruises Ltd (RCL)
NCLH
Norwegian Cruise Line Holdings Ltd
$14.82
+1.72%
CONSUMER CYCLICAL · Cap: $7.07B
RCL
Royal Caribbean Cruises Ltd
$260.14
+0.44%
CONSUMER CYCLICAL · Cap: $69.57B
Smart Verdict
WallStSmart Research — data-driven comparison
Royal Caribbean Cruises Ltd generates 84% more annual revenue ($18.68B vs $10.15B). RCL leads profitability with a 23.5% profit margin vs 7.5%. RCL appears more attractively valued with a PEG of 1.05. NCLH earns a higher WallStSmart Score of 71/100 (B).
NCLH
Strong Buy71
out of 100
Grade: B
RCL
Buy64
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for NCLH.
Margin of Safety
-62.5%
Fair Value
$205.41
Current Price
$260.14
$54.73 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Earnings expanding 616.0% YoY
Every $100 of equity generates 23 in profit
Reasonable price relative to book value
Every $100 of equity generates 43 in profit
Large-cap with strong market position
Keeps 24 of every $100 in revenue as profit
Attractively priced relative to earnings
Strong operational efficiency at 27.1%
Areas to Watch
4.9% revenue growth
7.5% margin — thin
Weak financial health signals
Distress zone — elevated risk
Earnings declined 4.6%
Negative free cash flow — burning cash
Distress zone — elevated risk
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : NCLH
The strongest argument for NCLH centers on P/E Ratio, EPS Growth, Return on Equity. PEG of 1.30 suggests the stock is reasonably priced for its growth.
Bull Case : RCL
The strongest argument for RCL centers on Return on Equity, Market Cap, Profit Margin. Profitability is solid with margins at 23.5% and operating margin at 27.1%. PEG of 1.05 suggests the stock is reasonably priced for its growth.
Bear Case : NCLH
The primary concerns for NCLH are Revenue Growth, Profit Margin, Piotroski F-Score. Debt-to-equity of 5.84 is elevated, increasing financial risk.
Bear Case : RCL
The primary concerns for RCL are EPS Growth, Free Cash Flow, Altman Z-Score. Debt-to-equity of 2.30 is elevated, increasing financial risk.
Key Dynamics to Monitor
NCLH profiles as a value stock while RCL is a mature play — different risk/reward profiles.
NCLH carries more volatility with a beta of 1.88 — expect wider price swings.
RCL is growing revenue faster at 6.5% — sustainability is the question.
NCLH generates stronger free cash flow (178M), providing more financial flexibility.
Bottom Line
NCLH scores higher overall (71/100 vs 64/100). Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Norwegian Cruise Line Holdings Ltd
CONSUMER CYCLICAL · TRAVEL SERVICES · USA
Norwegian Cruise Line Holdings Ltd., is a cruise company in North America, Europe, Asia-Pacific and internationally. The company is headquartered in Miami, Florida.
Visit Website →Royal Caribbean Cruises Ltd
CONSUMER CYCLICAL · TRAVEL SERVICES · USA
Royal Caribbean Group, formerly known as Royal Caribbean Cruises Ltd., is an American global cruise holding company incorporated in Liberia and based in Miami, Florida, US.
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