NCLH Is the Cruise Line That Can't Catch a Wave — And Retail Is Finally Noticing
Norwegian Cruise whiffs on Q2, cuts its annual forecast, and somehow still isn't the weirdest earnings story this week
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$NCLH just had the kind of earnings report that makes you want to take a very long cruise — somewhere far away from your portfolio. Adjusted EPS came in at $0.38 vs. the $0.53 estimate, adjusted EBITDA hit $632M vs. $700M+ expected, and management slashed the full-year outlook citing war-related fuel costs and weakened European demand. It's the company's first annual earnings decline since 2020. That's a pandemic-era comp. Let that sink in.
Meanwhile, $RCL and $CCL are reporting strong bookings like they're auditioning for a travel brochure. Norwegian is down 16% year-to-date versus roughly 5% for Royal Caribbean — and activist investor Elliott is loudly asking why leadership can't read a map. The macro backdrop isn't helping either: the Strait of Hormuz situation is keeping oil elevated, which is basically a direct tax on any fuel-heavy business.
Social sentiment on YouTube and Bloomberg pods is unambiguous — NCLH is the one cruise line nobody wants a ticket for right now, and the earnings just confirmed the vibe.