Is Norwegian Cruise Line (NCLH) The Best Cruise Stock to Buy Ahead of Summer Travel Boom?

We just covered the Top 10 Stock Picks of Billionaire Paul Singer. Norwegian Cruise Line Holdings (NYSE:NCLH) ranks #9 (see Top 5 Stock Picks of Billionaire Paul Singer).

Elliott’s Stake: $246,578,200

Norwegian Cruise Line is a new addition in billionaire Singer’s portfolio. NCLH bulls believe the stock has more upside despite broader concerns about fuel prices, inflation, and geopolitical tensions. The stock trades at roughly 9x EV/EBITDA and less than 10x forward earnings, while peers such as Royal Caribbean Group and Carnival Corporation have higher valuations.

The broader cruise demand remains strong across the industry, with bookings holding up well and occupancy expected to exceed 104% in 2026. NCLH’s luxury brands, Regent Seven Seas and Oceania, continue to see healthy demand.

Growing concerns about debt load have been bugging investors, but most of that debt does not mature until 2030, giving management several years to improve cash flow and reduce leverage. Capital spending is expected to decline significantly after 2027, potentially allowing NCLH to direct nearly $1 billion annually toward debt reduction.

Elliott Investment Management has pushed for operational improvements, board changes, and a more disciplined financial strategy. These efforts, combined with new CEO John Chidsey’s turnaround plan, could help restore investor confidence.

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