J.P. Morgan Securities upgraded NCLH to "overweight" from "neutral"
Shares of Norwegian Cruise Line Holdings Ltd (NYSE:NCLH) were last seen up 2.3% at $19.62 today, after an upgrade from J.P. Morgan Securities to "overweight" from "neutral." The firm cited a favorable risk-reward setup, leaving its price target at $30.
Today's bull note comes after Zacks Research last week raised its second-quarter earnings estimates to 60 cents per share. Of the 23 analysts in coverage, 15 now carry a "buy" or better rating. The 12-month consensus price target of $30 sits at a 54% premium to current levels.
On the charts, NCLH suffered a massive pullback after its Jan. 31, three-year high of $29.29. Now the shares sport a 23.5% year-to-date deficit and are below all simple daily moving averages between the 20- and 320-day. Per its 14-day Relative Strength Index (RSI) of 24.3, which sits in "oversold" territory, the stock is overdue for a short-term bounce.
When weighing in on NCLH, options look like a good way to go. The stock's Schaeffer's Volatility Scorecard (SVS) of 89 out of 100 means it has surpassed volatility expectations over the past year.