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Are Investors Undervaluing Norwegian Cruise Line (NCLH) Right Now?
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Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
Norwegian Cruise Line (NCLH - Free Report) is a stock many investors are watching right now. NCLH is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 13.49 right now. For comparison, its industry sports an average P/E of 22.25. Over the past 52 weeks, NCLH's Forward P/E has been as high as 26.42 and as low as 9.06, with a median of 12.81.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. NCLH has a P/S ratio of 1.28. This compares to its industry's average P/S of 1.38.
Finally, investors should note that NCLH has a P/CF ratio of 9.26. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. NCLH's current P/CF looks attractive when compared to its industry's average P/CF of 18.50. Within the past 12 months, NCLH's P/CF has been as high as 16.32 and as low as 5.32, with a median of 7.05.
These are just a handful of the figures considered in Norwegian Cruise Line's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that NCLH is an impressive value stock right now.
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Are Investors Undervaluing Norwegian Cruise Line (NCLH) Right Now?
Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
Norwegian Cruise Line (NCLH - Free Report) is a stock many investors are watching right now. NCLH is currently sporting a Zacks Rank of #1 (Strong Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 13.49 right now. For comparison, its industry sports an average P/E of 22.25. Over the past 52 weeks, NCLH's Forward P/E has been as high as 26.42 and as low as 9.06, with a median of 12.81.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. NCLH has a P/S ratio of 1.28. This compares to its industry's average P/S of 1.38.
Finally, investors should note that NCLH has a P/CF ratio of 9.26. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. NCLH's current P/CF looks attractive when compared to its industry's average P/CF of 18.50. Within the past 12 months, NCLH's P/CF has been as high as 16.32 and as low as 5.32, with a median of 7.05.
These are just a handful of the figures considered in Norwegian Cruise Line's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that NCLH is an impressive value stock right now.