Norwegian Cruise Line has an opportunity to outperform its competitors, analyst Steven Wieczynski said in his initial report on the newly public company.
Wieczynski, who works for Stifel Nicolaus, cited several reasons why Norwegian should benefit most from an upcoming period of industry growth. Chief among them is Norwegian's 46% capacity increase over the next three years.
Norwegian Cruise Line Holdings (NCLH) also has relatively less exposure in Europe than Carnival Corp. and Royal Caribbean Cruises Ltd., the report says.
The "Freestyle Cruising" concept drives strong onboard revenue growth, and further profit margin improvements are likely, Wieczynski said.
He set a price target of $33 for NCLH shares. Earlier this month, NCLH raised $477.6 million by selling 23.5 million shares at $19 each. Shares are currently trading just below $28.
Follow Tom Stieghorst on Twitter @tstravelweekly.