The cruise industry is back in full swing after the pandemic slump, and analysts are loving some cruise stocks that are doing exceptionally well. Some of the strong buy cruise stocks are from companies that have traded in the stock market for years, while others are breakout successes.
It couldn’t be a better time for cruise operators. The Cruise Lines International Association (CLIA) said in December that about 35.7 million people will set sail this year — up from 31.5 million people in 2023 and 6% more than passengers who did even before 2019 — before the pandemic hit.
Because of this, the cruise industry is poised to perform better than ever, and cruise stocks will benefit from this.
When choosing cruise stocks to buy, you want picks that have been rubber-stamped by analysts. If you’re looking for such stocks, look no further than this list.
Here are three cruise stocks with strong buy ratings for June 2024.
Viking (VIK)
Cruise operator Viking (NYSE:VIK) has had a stellar few months since going public on May 1. The company’s stock is up 19% from its debut price and looks set to go higher if analyst ratings are anything to go by.
Viking shares have six Buy ratings and just two neutral calls, per MarketWatch.
And Bank of America (NYSE:BAC) has rated Viking a Buy with a price target of $35, citing “superior returns and unit economics, growth profile, and balance sheet.” JPMorgan (NYSE:JPM) gave the stock an Overweight rating, with a price target of $34 — based on the company’s older demographic customer base, a successful marketing strategy and other growth factors
Other companies that have rated Viking a Buy include UBS, Wells Fargo, Stifel and Melius Research.
Viking is still new on the stock market, but it’s one of the strong buy cruise stocks you might not want to miss out on.
Norwegian Cruise Line Holdings (NCLH)
Norwegian Cruise Line (NYSE:NCLH) stock has recently scored glowing analyst ratings, making it one of June’s strong buy cruise stocks.
The recommendations streamed in after the Miami-based company revised its guidance for the full year in May, citing rising demand for sea-based vacations across all demographics.
The company now expects net yield growth to go from 6.4% to 7.2%, adjusted EBITDA to increase from $2.25 billion to $2.30 billion, and adjusted EPS to rise from $1.32 to $1.42.
Investment firm Stifel raised its price target on Norwegian from $25 to $26 while maintaining a Buy rating for its stock. Meanwhile, Mizuho’s Ben Chaiken bumped the stock’s rating from Neutral to Buy and increased its price target from $21 to $24.
Also, Norwegian stock currently has a consensus overweight rating based on 21 analyst ratings. Wall Street is generally bullish on the company.
Lindblad Expeditions (LIND)
Lindblad Expeditions (NASDAQ:LIND) reported revenues of $153.6 million in the first quarter of this year — a 7% year-on-year (YOY) jump.
Though it missed earnings per share forecasts and issued a conservative outlook for the rest of the year, Lindblad has other pieces in its chessboard that will help it remain competitive. These include its recent addition of two ships to its fleet and its continued partnership with National Geographic, which will help it continue expanding its market reach worldwide.
Analysts believe Lindblad is poised to reward shareholders handsomely. For instance, its stock has a total of four ratings on MarketWatch: three Buy ratings against just one neutral rating.
And investment firm Ariel Investments sees Lindblad’s land-based business “continuing to anchor the company’s profitability,” while Eric Wold of B.Riley Financial reiterates a Buy rating for LIND shares.
All this signals Lindblad is a strong buy for cruise stocks this month.
On the date of publication, Hope Mutie did not have (either directly or indirectly) any positions in the stocks mentioned in this article. The opinions expressed in this article are those of the writer, subject to InvestorPlace.com’s Publishing Guidelines.
