Norwegian Cruise Line Holdings Shares Soar 3.75% on Credit Facility Expansion

Norwegian Cruise Line Holdings (NCLH) shares surged 3.75% today, marking the second consecutive day of gains, with a total increase of 6.15% over the past two days. The stock price reached its highest level since March 2025, with an intraday gain of 4.11%.

The strategy of buying NCLH shares after they reached a recent high and holding for 1 week showed poor performance over the past 5 years. The annualized return was -4.87%, significantly underperforming the market. This indicates that relying on recent highs as a buying trigger and holding for a short duration is not a reliable strategy for NCLH.

Norwegian Cruise Line Holdings has recently expanded its senior secured revolving credit facility from $1.7 billion to $2.486 billion. This move provides the company with enhanced financial flexibility, which could positively influence investor sentiment and contribute to the recent stock price gains.

The company's long-term growth strategy is evident in its expansion plans, with 13 new vessels on order. These additions are expected to increase capacity by 41,000 berths through 2036, signaling a robust commitment to growth and potentially driving stock performance in the future.

In addition to the credit facility expansion, Norwegian Cruise Line Holdings has made significant amendments to its financial agreements. These changes aim to bolster liquidity and secure financial stability, further strengthening the company's financial position and potentially improving stock performance.