Shares of Norwegian Cruise Holdings Ltd. (NCLH) rallied 3.3% in afternoon trading Friday, adding to the previous session's 4.4% gain, as Wall Street analysts were mostly upbeat about the cruise operator's prospects in the wake of first-quarter results and recent liquidity moves. J.P. Morgan analyst Brandt Montour lowered his price target to $18 from $26, but reiterated the overweight rating he's had on the stock since February 2018. He said the price target cut reflects a longer and slower recovery of the industry than previously expected, but he is now more positive on the company's cash flow outlook, which has been a significant concern among investors. "With the best liquidity runway and the smallest fleet among peers (the latter is a clear operating advantage in a world with reduced port availability and consumer demand, in our view), we see [Norwegian] relatively well positioned for the next phase of this crisis," Montour wrote in a note to clients. The stock rallied on Thursday even though Norwegian reported first-quarter results (Royal Caribbean Cruises Ltd. (RCL) hiked up 7.4% and
-Tomi Kilgore; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
May 15, 2020 14:50 ET (18:50 GMT)
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