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OneSpaWorld Attracting Big Money Investors

By:
Lucas Downey
Published: Dec 24, 2024, 20:21 GMT+00:00

OneSpaWorld Holdings Ltd. (OSW) is taking to the water for growth – and it’s working.

Wall Street. FX Empire

In this article:

OneSpaWorld is a health and wellness company that sells products and services throughout the world aboard cruise ships and at resorts. The Bahamian company has grown its presence on cruise ships, offering high-end treatments like cryotherapy and LED light facials to guests. It also operates at resorts throughout the world, with a big presence in Asia and the Caribbean.

OSW’s third-quarter earnings for fiscal 2024 saw a 12% increase in revenue, to $241.7 million, largely on the back of cruise ship expansion (195 average ship count, up from 185 a year prior). The company’s land-based operations decreased slightly due to current renovation projects and lower overall guest counts in some parts of the world. Still, OSW’s adjusted per-share earnings for the quarter were $0.26, and the company’s cash position of $50 million was after $11.3 million in share buybacks and a $4.2 million total dividend payment.

It’s no wonder OSW shares are up 40% this year – and they could rise more. MAPsignals data shows how Big Money investors are betting heavily on the forward picture of the stock.

OneSpaWorld Welcomes Big Money

Institutional volumes reveal plenty. In the last year, OSW has enjoyed strong investor demand, which we believe to be institutional support.

Each green bar signals unusually large volumes in OSW shares. They reflect our proprietary inflow signal, pushing the stock higher:

Source: www.mapsignals.com

Plenty of discretionary names are under accumulation right now. But there’s a powerful fundamental story happening with OneSpaWorld.

OneSpaWorld Fundamental Analysis

Institutional support and a healthy fundamental backdrop make this company worth investigating. As you can see, OSW has had strong sales growth:

  • 1-year sales growth rate (+45.4%)
  • 3-year sales growth rate (+114.6%)

Source: FactSet

Also, EPS is estimated to ramp higher this year by +16.5%.

Now it makes sense why the stock has been powering to new heights. OSW has a track record of strong financial performance.

Marrying great fundamentals with our proprietary software has found some big winning stocks over the long term.

OneSpaWorld has been a top-rated stock at MAPsignals. That means the stock has unusual buy pressure and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

It’s made the rare Top 20 report multiple times in the last two years. The blue bars below show when OSW was a top pick…rising with time:

Source: www.mapsignals.com

Tracking unusual volumes reveals the power of money flows.

This is a trait that most outlier stocks exhibit…the best of the best. Big Money demand drives stocks upward.

OneSpaWorld Price Prediction

The OSW rally isn’t new at all. Big Money buying in the shares is signaling to take notice. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.

Disclosure: the author holds no position in OSW at the time of publication.

If you are a Registered Investment Advisor (RIA) or are a serious investor, take your investing to the next level, learn more about the MAPsignals process here.

About the Author

Lucas Downeycontributor

Lucas is a well-versed equity investor and educator. He currently is co-founder of research and analytics firm, MAPsignals.com, which focuses on finding outlier stocks by following the Big Money.

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