Norwegian Cruise Line Holdings Ltd. (NCLH) stock down despite upgrade at Zacks Investment Research

Norwegian Cruise Line Holdings Ltd. (NASDAQ: NCLH) shares slid back in value Thursday Dec 15 with slower trade volume than normal after a number of analysts weighed in on the investing value of the stock with a upgraded rating.

Analysts at Zacks Investment Research upgraded shares of Norwegian Cruise Line Holdings Ltd. (NASDAQ: NCLH) from Sell to Hold today. Zacks Investment Research currently has a rating of Hold on the shares. The one-year price target of $45.69 is higher than the opening price of $44.17, that has caused a fair amount of other analysts to report on the stock in recent days. Looking back over the last year, Norwegian Cruise Line Holdings Ltd. stock has a high of $60.05. Share prices often trend to the upside on recommendations and new price targets of professional analysts.

Shares of Norwegian Cruise Line Holdings Ltd. (NASDAQ: NCLH) opened at $44.17 on Tuesday trading between $43.52 and $44.17, and last traded at $43.96, which represents a drop of $0.08 per share or -0.17% from the previous closing price.

Norwegian Cruise Line Holdings Ltd. (NASDAQ: NCLH) now has a market cap of 9.99B.

Norwegian Cruise Line Holdings Ltd. (NASDAQ: NCLH) Average Daily Trading Volume

The stock’s average daily volume is 1,969,670 shares out of a total float 162,692,000 and some 218,249 shares traded hands yesterday, lower than normal. Swing traders often use increases in trading volume to pinpoint heavy volume aggregation or dissemination by institutional investors, so trading volume is likely to increase in the next few days.

As with all possible breakouts, investors watch for volume to be at least 40%-50% above normal on the breakout to indicate that fund managers and other professional investors are jumping in.

Institutional sponsorship is defined by ownership of a stock by mutual funds, banks, pension funds and other large institutions.

Institutional investors such as these retain teams of analysts researching thousands of stocks, so it is good confirmation to see them buying a stock you are considering.

Norwegian Cruise Line Holdings Ltd. (NASDAQ: NCLH) Moving Averages

A moving average can also act as support or resistance. In an uptrend a 50-day, 100-day or 200-day moving average may act as a support level, as shown in the figure below.

This is because the average acts like a floor (support), so the price bounces up off of it.

In a downtrend a moving average may act as resistance; like a ceiling, the price hits it and then starts to drop again.

Traders can make more effective judgments on trades when they follow the trading habits of professional investors.

Trades for Norwegian Cruise Line Holdings Ltd. (NASDAQ: NCLH) have ranged from $34.16 – 60.050, and the stock now has a 50-day MA of $39.82 and 200-day MA of $39.75. Today’s last price is 26.80%% lower than the 52 week high of $60.05.

Earnings growth is an important factor to consider when buying stocks and investors watch for companies that have raised their earnings at least 25% or more over 3 consecutive years.

DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of the website. Readers should not consider statements made by the author as formal recommendations and should consult their financial adviser before making any investment decisions. To read our full disclosure, please see our terms and conditions page.

Leave a Reply

Your email address will not be published. Required fields are marked *