Does Norwegian Cruise Line Stock Lead the Pack?
Norwegian Cruise Line (NCLH) stock has significantly underperformed peers over the past year, trading down due to rising costs and consumer uncertainties. How does it measure up against rivals like Royal Caribbean and Carnival amidst the cruise industry’s robust recovery as of January 20, 2026? NCLH exhibits a moderate P/E ratio and solid operating margin. However, a closer look reveals slower revenue growth and a concerning negative free cash flow margin, impacted by investment costs and debt, potentially limiting its upside compared to more financially agile competitors.
- NCLH’s 16.4% operating margin, trailing RCL (26.4%), implies higher operating costs or less pricing power, impacting profitability.
- NCLH’s 3.6% LTM revenue growth, lagging peers, indicates slower market share capture in a surging post-pandemic industry.
- NCLH’s 25.0% stock decline (1-yr) and 13.8 PE, lagging peers, signals lower investor confidence in future growth.
Here’s how Norwegian Cruise Line stacks up across size, valuation, and profitability versus key peers.
| NCLH | RCL | CCL | VIK | LIND | |
|---|---|---|---|---|---|
| Market Cap ($ Bil) | 9.2 | 73.4 | 36.8 | 30.3 | 0.9 |
| Revenue ($ Bil) | 9.7 | 17.4 | 26.2 | 6.1 | 0.7 |
| PE Ratio | 13.8 | 18.1 | 13.9 | 31.9 | -27.8 |
| LTM Revenue Growth | 3.6% | 8.6% | 7.1% | 20.0% | 18.5% |
| LTM Operating Margin | 16.4% | 26.4% | 16.4% | 22.4% | 5.9% |
| LTM FCF Margin | -10.7% | 11.7% | 11.1% | 11.0% | 7.1% |
| 12M Market Return | -25.0% | 13.1% | 8.4% | 43.3% | 28.6% |
For more details on Norwegian Cruise Line, read Buy or Sell NCLH Stock. Below we compare NCLH’s growth, margin, and valuation with peers across years
Revenue Growth Comparison
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| LTM | 2024 | 2023 | 2022 | |
|---|---|---|---|---|
| NCLH | 3.6% | 10.9% | 76.5% | 647.5% |
| RCL | 8.6% | 18.6% | 57.2% | 477.0% |
| CCL | 7.1% | 15.9% | 77.4% | 537.8% |
| VIK | 20.0% | 13.2% | 48.3% | 408.1% |
| LIND | 18.5% | 13.2% | 35.1% | 186.5% |
Operating Margin Comparison
| LTM | 2024 | 2023 | 2022 | |
|---|---|---|---|---|
| NCLH | 16.4% | 15.5% | 10.9% | -32.0% |
| RCL | 26.4% | 24.9% | 20.7% | -8.7% |
| CCL | 16.4% | 14.3% | 9.1% | -36.0% |
| VIK | 22.4% | 20.2% | 17.3% | 2.0% |
| LIND | 5.9% | 3.3% | 1.9% | -15.0% |
PE Ratio Comparison
| LTM | 2024 | 2023 | 2022 | |
|---|---|---|---|---|
| NCLH | 13.8 | 10.7 | 65.7 | -3.7 |
| RCL | 18.1 | 25.3 | 34.8 | -15.3 |
| CCL | 13.9 | 20.3 | -425.0 | -3.6 |
| VIK | 31.9 | 170.6 | -10.3 | � |
| LIND | -27.8 | -24.9 | -13.8 | -5.3 |
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