Why Norwegian Cruise Line Is a Buy Despite Delayed Profitability
On a day when Russia invades Ukraine, it pretty much doesn't matter what earnings a company reports; its stock is going to take a hit. But if those financials are disappointing, as were Norwegian Cruise Line Holdings' (NYSE: NCLH), then it's going to have an even more powerful impact on its shares.
The cruise ship operator's stock tumbled 8% at the open on Feb. 24 after the results missed analyst expectations for the fourth quarter. While revenue was substantially higher than a year ago as its 28-ship fleet was back at 70% strength, it reported a much wider-than-anticipated loss as disruptions caused by the rogue waves of the delta and omicron variants of COVID-19 swept over Norwegian.
Where analysts expected a loss of $1.69 per share, the cruise line recorded one of $1.95 per share. Even so, the outlook for the future is still hopeful, though with world events being what they are, don't expect much out of Norwegian Cruise Lines for the immediate future.
Source Fool.com
