Shares of cruise companies took a beating Tuesday, with Royal Caribbean Group hit the hardest after announcing a total of $1 billion worth of public stock and private convertible debt offerings, and providing a bookings update.
Royal Caribbean’s stock
dove 13.2% in afternoon trading, to pace all of the S&P 500 index’s
decliners. The stock is on track for the biggest one-day decline since it tumbled 14.3% on June 11.
Trading volume jumped to 14.8 million shares, or more than double the full-day average of about 6.2 million shares, according to FactSet.
The stock’s selloff also weighed on Royal Caribbean’s peers, as shares of Norwegian Cruise Line Holdings Ltd.
dropped 7.3% to be the second-biggest S&P 500 loser, and Carnival Corp.
slid 7.2% to be the third-biggest decliner.
Royal Caribbean said before the open that it had commenced a public