Analyst predicts Norwegian Cruise Line stock could reach $30

A Wall Street analyst believes that investing in Norwegian Cruise Line stock could be profitable. Demand for cruise vacations is strong and expected to remain high for the next year. This comes amid a broader market sell-off affecting travel stocks due to concerns about tariffs and interest rates. J.P. Morgan analyst Matthew Boss recently met with Norwegian’s chief financial officer, Mark Kempa. Following their discussion, Boss upgraded the stock from "hold" to a "buy" rating. He set a price target of $30 per share, suggesting more than a 50% increase from current prices. Unlike airlines, which are facing drops in consumer travel, Boss believes Norwegian is not seeing similar issues. He stated that management reported no changes in demand, even with economic uncertainty. In fact, Norwegian's recent financial results showed a record revenue increase of 11% for 2024. Despite these positive signs, Norwegian’s stock has fallen over 25% this year. Investors may find it a good opportunity to consider buying cruise stocks, as consumers are still looking for affordable vacation experiences.