Is Now the Time to Buy Stocks in Cruise Lines?
Cruises are a dreadful business during a global pandemic that stops mass gatherings from happening. A cruise -- even on a very large ship -- forces people into tight spaces where they are closely packed together. Rooms are small, ventilation is shared, and even outdoor spaces like pools tend to be packed with people.
That has put Royal Caribbean (NYSE: RCL), Carnival, and Norwegian Cruise Line (NYSE: NCLH) in a very tough spot. All three have had to take steps to raise money (at very steep prices), and none knows exactly when they will be able to begin operating (and what that will actually look like).
Uncertainty has beaten down the stock prices of all three major cruise lines. There are, however, some signs of hope -- bookings have been strong for next year, and tentative steps have been taken toward relaunching at least some ships when a CDC order banning cruises ends in late July.
Source Fool.com
