Investors are returning to Carnival Corporation (CCL) stock after starting the COVID-19 vaccination campaign in a big way. Since last year, the company has decreased its quotes by more than 60%. Despite this, some investors believe Carnival will benefit from the reinvigorated tourist industry, and its share of the tourist market will be higher than it has been for some time.
Top 5 Cheap Stocks to Own Right Now
While finding safe stocks with the potential for monster gains isn't always easy, we've found a few that could pay out well. In fact, within our report, "Top 5 Cheap Stock to Own Right Now", we have identified five stocks we believe could appreciate the most even if you just have $1,000 to invest.
Sign up here to get your free report now. .
To restore cruise line operations, the US Centers for Disease Control and Prevention (CDC) introduced new health regulations in the fall of 2020. According to the new rules, companies have to conduct testing flights before they begin work, which checks compliance with the new sanitary standards. We have set no date for such a test cruise, Carnival officials said. However, the operator back spent its liners to the US before testing could begin. Regulatory approval is required for Carnival to resume operations.
Booking data indicates that demand for cruises has increased. A year ago, bookings during the same time were down. Almost 60% of bookings during the last quarter were new. In any worst-case scenario, Carnival said it is prepared. With $ 9.5 billion in cash, the company can continue to operate in a zero-income environment for the foreseeable future.
Further, Carnival Corporation (CCL) is planning to decommission 19 vessels to optimize its fleet. Several of them have already been discarded. By implementing this measure, total unit costs and unit fuel costs will be reduced by 2% and 1%, respectively. No matter how hard Carnival works, the resolution to the problem likely will take longer than the next few years, as it will likely depend on the severity of the outbreak.
The resumption of cruises remains a risky investment for Carnival. It depends not only on company desires and capabilities but also on regulators’ decisions and the future course of the epidemic. Investors who are patient with Carnival might see rewards if tourism picks up.
Carnival Corporation (CCL) rose by 4.00% during business on Thursday, hitting a low of $19.655 before closing at $20.67. At the close of the session, a total of 59.67 million shares were traded, representing a -16.98% decline from the average session volume, which is 51.01 million shares. CCL had ended its last session trading at $19.74.