Norwegian Cruise Line (NYSE:NCLH) and The Generation Essentials Group (NYSE:TGE) Critical Comparison

Norwegian Cruise Line (NYSE:NCLH) and The Generation Essentials Group (NYSE:TGE) are both consumer discretionary companies, but which is the better investment? We will compare the two businesses based on the strength of their profitability, earnings, dividends, risk, valuation, analyst recommendations and institutional ownership.

Profitability

This table compares Norwegian Cruise Line and The Generation Essentials Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Norwegian Cruise Line	5.66%	47.84%	4.46%
The Generation Essentials Group	N/A	N/A	N/A

Institutional & Insider Ownership

69.6% of Norwegian Cruise Line shares are held by institutional investors. 0.3% of Norwegian Cruise Line shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares Norwegian Cruise Line and The Generation Essentials Group”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Norwegian Cruise Line	$9.83 billion	0.94	$423.25 million	$1.19	16.82
The Generation Essentials Group	N/A	N/A	N/A	N/A	N/A

Norwegian Cruise Line has higher revenue and earnings than The Generation Essentials Group.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Norwegian Cruise Line and The Generation Essentials Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Norwegian Cruise Line	1	11	8	2	2.50
The Generation Essentials Group	1	0	0	0	1.00

Norwegian Cruise Line presently has a consensus target price of $21.16, suggesting a potential upside of 5.71%. Given Norwegian Cruise Line’s stronger consensus rating and higher probable upside, analysts clearly believe Norwegian Cruise Line is more favorable than The Generation Essentials Group.

Risk & Volatility

Norwegian Cruise Line has a beta of 1.89, meaning that its share price is 89% more volatile than the S&P 500. Comparatively, The Generation Essentials Group has a beta of -1.27, meaning that its share price is 227% less volatile than the S&P 500.

Summary

Norwegian Cruise Line beats The Generation Essentials Group on 11 of the 11 factors compared between the two stocks.

About Norwegian Cruise Line

Norwegian Cruise Line Holdings Ltd., together with its subsidiaries, operates as a cruise company in North America, Europe, the Asia-Pacific, and internationally. The company operates through the Norwegian Cruise Line, Oceania Cruises, and Regent Seven Seas Cruises brands. It offers itineraries ranging from three days to a 180-days calling on various ports, including Scandinavia, Northern Europe, the Mediterranean, the Greek Isles, Alaska, Canada and New England, Hawaii, Asia, Tahiti and the South Pacific, Australia and New Zealand, Africa, India, South America, the Panama Canal, and the Caribbean. It distributes its products through retail/travel advisor and onboard cruise sales channels, as well as meetings, incentives, and charters. Norwegian Cruise Line Holdings Ltd. was founded in 1966 and is based in Miami, Florida.

About The Generation Essentials Group

Tallgrass Energy, LP, through its subsidiaries, provides crude oil transportation services to customers in Wyoming, Colorado, Kansas, and the surrounding regions of the United States. The company operates through three segments: Natural Gas Transportation; Crude Oil Transportation; and Gathering, Processing & Terminalling. It also provides natural gas transportation and storage services for customers in the Rocky Mountain, Midwest, and Appalachian regions; natural gas and crude oil gathering and processing services for customers in Wyoming; and natural gas liquids (NGLs) transportation services in Northeast Colorado and Wyoming. In addition, the company offers water business services, including freshwater transportation, and produced water gathering and disposal in Colorado, Texas, Wyoming, and North Dakota; crude oil storage and terminalling services in Colorado, Oklahoma, and Kansas; and marketing services for NGLs and crude oil. The company was formerly known as Tallgrass Energy GP, LP and changed its name to Tallgrass Energy, LP in June 2018. Tallgrass Energy, LP was founded in 2013 and is based in Leawood, Kansas.