Will Carnival and Royal Caribbean Cruises Ever Recover?
Over the past month, the world's biggest cruise companies have proven they can raise billions in cash from investors willing to ride out the COVID-19 crisis. Carnival (NYSE: CCL) and Royal Caribbean Cruises (NYSE: RCL) have months of or even years of cash to endure the novel coronavirus pandemic, and the stock market has responded positively to their improved liquidity. But now the questions facing the industry go from short-term liquidity to long-term profitability.
This weekend's news that Warren Buffett has sold all of his airline stocks because he thinks there's going to be a structural change in travel has to be concerning for cruise lines as well. Here's why I'm more worried about 2021 and beyond for cruise lines than I am about the next few quarters.
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Source Fool.com
