OneSpaWorld Holdings (OSW) AI Stock Analysis

• Market Cap: $2.23B
• Dividend Yield: 0.74%
• Average Volume (3M): 490.29K
• Price to Earnings (P/E): 32.2
• Beta (1Y): 1.11
• Revenue Growth: 8.51%
• EPS Growth: 31.24%
• Country: US
• Employees: 5,191
• Sector: Consumer Cyclical
• Sector Strength: 69
• Industry: Leisure
• EPS (TTM): 0.25
• Shares Outstanding: 102,697,235
• 10 Day Avg. Volume: 475,646
• 30 Day Avg. Volume: 490,287
• PEG Ratio: 5.28
• Price to Book (P/B): 4.35
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 34.22
• Enterprise Value/Market Cap: 1.06
• Enterprise Value/Revenue: 0.67
• Enterprise Value/Gross Profit: 17.64
• Enterprise Value/Ebitda: 6.09
• 1Y Price Target: $24.67
• Price Target Upside: 10.98% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 79 Outperform
• Price Target: $25.00 ▲(12.46%Upside)

OneSpaWorld's strong financial performance, positive technical indicators, and promising earnings call results are the main drivers of its high score. The high P/E ratio slightly tempers the overall outlook, but the company's growth trajectory and strategic initiatives support a positive view.

Positive Factors

Earnings

OneSpaWorld's second quarter modestly beat top- and bottom-line guidance, with high-single-digit gains in both service and product revenue.

Market Position

Significant barriers to entry solidify OneSpaWorld’s dominance in maritime spa, with good visibility to long-term annual revenue growth in the high-single-digit range yielding similar to better profit growth and strong free cash flow generation.

Technological Investment

Investments in AI are expected to build wider moats, helping OSW grow market share and improve operations.

Negative Factors

Demand Visibility

OSW has limited visibility into future demand since much of its revenue depends on real-time onboard spending, and pre-bookings have a shorter window than cruise ticket bookings.

Economic Sensitivity

OSW noted that revenues and EBITDA contracted just 10% during the Great Financial Crisis, suggesting resilience and potential to outperform in a milder economic downturn.

OneSpaWorld Holdings Business Overview & Revenue Model

Company Description

OneSpaWorld Holdings Limited operates health and wellness centers onboard cruise ships and at destination resorts worldwide. Its health and wellness centers offer services, such as traditional body, salon, and skin care services and products; self-service fitness facilities, specialized fitness classes, and personal fitness training; pain management, detoxifying programs, and body composition analyses; weight management programs and products; and medi-spa services. The company also provides its guests access to beauty and wellness brands, including ELEMIS, Kérastase, and Dysport, with various brands offered exclusively in the cruise market. As of December 31, 2021, it offered health, wellness, fitness, beauty services, treatments, and products onboard 170 cruise ships and at 52 destination resorts. The company is based in Nassau, Bahamas.

How the Company Makes Money

OneSpaWorld Holdings generates revenue through service agreements with cruise lines and destination resorts, where it operates spa and wellness facilities. The company earns money by providing a variety of services such as massages, beauty treatments, fitness classes, and wellness therapies to guests. Revenue is further bolstered by the sale of beauty and wellness products within its facilities. Strategic partnerships with major cruise lines and resorts enhance its market reach and contribute significantly to its earnings. Additionally, the company benefits from a diversified service portfolio and a strong presence in the growing wellness tourism sector.

OneSpaWorld Holdings Financial Statement Overview

Summary

OneSpaWorld Holdings has shown significant improvements in financial performance, including revenue growth of 12.72% and improved profit margins. The balance sheet is strong, with no debt and a high equity ratio, enhancing financial stability.

Income Statement

OneSpaWorld Holdings has shown significant revenue growth with an impressive revenue growth rate of 12.72% from 2023 to 2024. The gross profit margin improved to 14.80%, and the net profit margin turned positive at 8.14% in 2024, indicating improved profitability. EBIT and EBITDA margins also strengthened, demonstrating enhanced operational efficiency. However, prior years showed periods of losses, which should be considered when evaluating long-term performance.

Balance Sheet

The company's balance sheet shows strong equity with an equity ratio of 74.28%. The absence of total debt in 2024 is a significant positive shift from previous years and reduces leverage risk. Return on Equity (ROE) increased to 13.14%, reflecting efficient use of equity to generate profits. However, the stability of equity growth and the ability to maintain low debt levels should be monitored.

Cash Flow

OneSpaWorld Holdings has demonstrated strong cash flow improvements with a free cash flow growth rate of 24.31% from 2023 to 2024. The operating cash flow to net income ratio is strong at 1.08, indicating robust cash generation relative to net income. The positive free cash flow to net income ratio of 0.99 further supports the company's liquidity position. Continued positive cash flow trends would enhance financial flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	903.42M	895.02M	794.04M	546.26M	144.03M	120.92M
Gross Profit	134.46M	132.89M	90.23M	83.57M	8.45M	-18.31M
EBITDA	103.33M	107.41M	42.42M	37.49M	-32.14M	-246.62M
Net Income	66.97M	72.86M	-2.97M	53.16M	-68.52M	-280.49M
Balance Sheet
Total Assets	708.72M	746.42M	706.14M	717.43M	688.87M	702.28M
Cash, Cash Equivalents and Short-Term Investments	22.61M	57.44M	27.70M	32.06M	30.94M	41.55M
Total Debt	110.97M	112.74M	170.63M	227.13M	230.46M	229.43M
Total Liabilities	178.15M	191.93M	272.07M	351.63M	394.96M	276.75M
Stockholders Equity	530.56M	554.50M	434.07M	365.81M	293.90M	425.53M
Cash Flow
Free Cash Flow	66.72M	72.06M	57.96M	19.94M	-37.97M	-38.68M
Operating Cash Flow	73.95M	78.80M	63.38M	24.76M	-35.10M	-36.55M
Investing Cash Flow	-7.23M	-6.74M	-5.42M	-4.83M	-2.87M	-2.13M
Financing Cash Flow	-109.52M	-42.21M	-62.66M	-18.72M	27.47M	68.55M

OneSpaWorld Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 22.23
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For OSW, the sentiment is Positive. The current price of 22.23 is above the 20-day moving average (MA) of 21.60, above the 50-day MA of 20.27, and above the 200-day MA of 19.08, indicating a bullish trend. The MACD of 0.55 indicates Positive momentum. The RSI at 64.75 is Neutral, neither overbought nor oversold. The STOCH value of 62.16 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for OSW.

OneSpaWorld Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
OSW	79 Outperform	$2.23B	32.18	12.80%	0.74%	8.51%	31.24%
LTH	77 Outperform	$6.29B	30.53	8.24%	―	18.58%	169.49%
PLNT	71 Outperform	$9.30B	52.65	-79.88%	―	10.32%	20.44%
PRKS	68 Neutral	$2.72B	13.01	-52.57%	―	-0.92%	0.80%
Sector *	67 Neutral	¥263.01B	13.51	6.45%	2.58%	5.16%	-13.18%
XPOF	53 Neutral	$505.04M	―	22.27%	―	-3.17%	-194.72%
PTON	52 Neutral	$2.46B	―	58.47%	―	-6.35%	79.04%

OneSpaWorld Holdings Corporate Events

OneSpaWorld Holdings Approves Proposals at Annual Meeting

On June 9, 2025, OneSpaWorld Holdings Limited conducted its 2025 Annual Meeting of Shareholders, where approximately 95% of the company’s common shares were voted. All director nominees were elected, and all proposals, including executive compensation and the appointment of Ernst & Young LLP as the independent accounting firm, were approved as recommended by the Board of Directors.

The most recent analyst rating on (OSW) stock is a Buy with a $20.00 price target. To see the full list of analyst forecasts on OneSpaWorld Holdings stock, see the OSW Stock Forecast page.