Royal Caribbean Group announces pricing of offering of 8,333,333 shares of common stock

MIAMI, Oct. 13, 2020 /PRNewswire/ — Royal Caribbean Group (NYSE: RCL) (the “Company”) today announced that it has priced its previously announced underwritten public offering of 8,333,333 shares of common stock of the Company at a price of $60.00 per share. The offering is expected to close on October 16, 2020, subject to customary closing conditions. The Company has granted the underwriters an option to purchase up to 1,250,000 of additional shares, which must be exercised on or before November 12, 2020. The Company expects to use the net proceeds from the offering for general corporate purposes.

The Company also announced by separate press release that it has priced its previously announced private offering to eligible purchasers of $500 million aggregate principal amount of 2.875% senior convertible notes due 2023 (or up to $575 million aggregate principal amount if the initial purchasers exercise in full their option to purchase additional

Read More

Cruise stocks lead S&P 500’s losers after Royal Caribbean’s $1 billion in stock, debt offerings

Getty Images

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

Read More

Choice Hotels or Extended Stay: Which is a Better Hotel Stock?

The Hotel and Motels industry is currently grappling with the coronavirus woes. In order to mitigate the spread of the virus, companies have been adhering to temporary closures; travel restrictions; cancellation of events, conferences and meetings; social-distancing measures and other governmental regulations. Resultantly, occupancy rates and revenue per available room (RevPAR) have been negatively impacted.

Per STR, the U.S. hotel industry’s occupancy for the week ended Oct 3, 2020, came in at 47.9% compared with 48.7% for the week ended Sep 26. Meanwhile, RevPAR indicated a decline of 48.1% year over year, for the week ended Oct 3. Notably, we believe that the pandemic is likely to continue and have an adverse material impact on the hospitality industry for some time. So far this year, the Zacks Hotels and Motels industry have declined 24.2% against the S&P 500’s growth of 7.9%.

However, with cost-saving initiatives and digital enhancements in place,

Read More

After Mismanaging Their Companies With Stock Buybacks And Lucrative CEO Pay Packages, Airlines Demand Another $25 Billion From Taxpayers

In March, the coronavirus—the name used at the time—wreaked financial havoc on the airline industry. Health experts and government officials strongly advised people to avoid nonessential travel due to the risks of catching or spreading the disease. Fear over the fast-moving virus among passengers on cruise ships terrified potential air travelers. Cognizant of the dangers associated with being confined in tight quarters with people who may have the virus (plus a required quarantine period), air travel came to a halt. It was the worst economic conditions for the airline sector since Sept. 11. 

Gary Kelly, the CEO of Southwest Airlines, announced at that time that he would voluntarily take a 10% pay cut, in response to the dramatic drop in air travel. “The velocity and the severity of the decline is breathtaking,” Kelly said. He somberly added,

Read More

Some Investors Should Buy Royal Caribbean Stock

InvestorPlace – Stock Market News, Stock Advice & Trading Tips

It’s no secret that the novel coronavirus has pummeled the U.S. travel industry, with cruise lines like Royal Caribbean (NYSE:RCL) suffering serious setbacks. RCL stock has rebounded somewhat from the devastating lows it reached earlier this year. And the stock is drawing interest from investors.

Source: Laszlo Halasi /

This interest has increased as the pandemic has gone on. The initial news reports weren’t positive for travel companies. Dying passengers stranded along with ailing, fearful travelers aboard their massive floating hotels made for riveting headlines.

Countries wouldn’t let ships dock or if they did permit docking, the passengers had to stay aboard their ships as if they were radioactive or simply unwelcome statistics.

Eventually, other aspects of the emerging pandemic commandeered attention, but the sudden halt to travel took a toll on Royal Caribbean and others.


Read More

Carnival Stock Should Do Well Once Cruises Resume

InvestorPlace – Stock Market News, Stock Advice & Trading Tips

Carnival Corp. (NYSE:CCL) is likely planning on resuming cruises next month assuming the CDC allows this. If that happens the company’s cash burn should improve greatly. This could be a huge catalyst for CCL stock despite potential ongoing losses.

CCL stock has been under severe stress all year, down 70% year-to-date and 63% in the past year. In the past month alone, the stock is down 17%. This is indicative of a company that is losing a good deal of money.

New Cruises From Lifted No-Sail Order

On Sept. 30 the White House overruled the Centers for Disease Control (CDC) from extending its no-sail order beyond Oct. 31. In effect, the government sided with the cruise industry that is chafing under the existing restrictions. It looks like they are going to try to start cruising after this.

Read More

Norwegian Cruise Stock Down on Extended Voyage Suspension

Norwegian Cruise Line Holdings Ltd. NCLH recently announced extension of its pause on global cruise voyages owing to the coronavirus pandemic. Following the news, shares of the company declined 1.6% during trading hours on Oct 5.

The extension applies to all voyages for Norwegian Cruise Line, Oceania Cruises and Regent Seven Seas Cruises between Nov 1 and Nov 30. However, for cancelled cruises, guests are likely to be notified through communication through travel advisors.

The cruise industry is witnessing a slump in demand for cruise on account of the coronavirus-induced shutdowns. However, the company stated that cruise bookings for fourth-quarter 2020 and 2021 are strong, while pricing for 2021 remains within historical ranges. The company is also continuing to take bookings for 2020, 2021 and 2022.

In the past six months, shares of the company have gained 54.3% compared with the industry’s 44.8% growth.

Enough Liquidity to Tide Over Pandemic

Read More

Why Booking Holdings Stock Declined 10.5% in September

What happened

Shares of Booking Holdings (NASDAQ:BKNG) fell 10.5% in September, according to data provided by S&P Global Market Intelligence.

The stock is now down around 17.5% from the level seen since the start of this year but is still up around 50% from the lows experienced in March.

Man and woman wearing face masks booking a hotel room at front desk

Image source: Getty Images.

So what

The pandemic has been extremely harsh on Booking Holding’s business, as the company reported a sharp plunge in gross travel bookings of 91% in its previous financial quarter. Last month, Booking Holdings announced that it was closing at least five of its offices around the world, in countries such as the U.S., England, Canada, and Croatia. This announcement came as part of its intention to reduce its global workforce by up to 25% (or around 4,000 employees).

In mid-September, the World Health Organization announced the highest one-day increase of 308,000 cases of COVID-19 infections since

Read More

PreMarket Prep Stock Of The Day: Royal Caribbean

While many issues have distanced themselves from their March lows and several have gone on to make new all-time highs, others have lagged. One of those is Royal Caribbean Cruises (NYSE: RCL), which is the PreMarket Prep Stock Of The Day.

a large ship in the water

© Provided by Benzinga

Smooth Sailing In Early 2020: After ending 2019 at $119.28, Royal Caribbean rallied along with the broad market in January. In fact, it matched its all-time high from January 2018 ($135.65), when it peaked on Jan. 17 at $135.32.


Load Error

Interestingly, it shed more than $5 in the next session, falling to $129.68 following the outbreak of the coronavirus in China. On only one occasion did the issue trade above that price, on Jan. 23, when it reached $129.77.

Then Came COVID-19: The issue began to sink in late February and early March along with the S&P 500 index. However, it had a horrible

Read More

Buy Norwegian Cruise Line Stock Before It Doubles

a large ship in a body of water: a large Norwegian Cruise Lines ship in the ocean

© Source: Roberto Sorin /
a large Norwegian Cruise Lines ship in the ocean

It’s been a rough year for Norwegian Cruise Line (NYSE:NCLH) and owners of NCLH stock.

a large ship in a body of water: a large Norwegian Cruise Lines ship in the ocean

© Provided by InvestorPlace
a large Norwegian Cruise Lines ship in the ocean

Coming into the year, the cruise industry was riding high on strong consumer spending and healthy travel appetite. NCLH was trading near all-time highs around $60. Revenues and profits were soaring. Life was good.

Then Covid-19 hit. And everything turned sour overnight for the cruise industry.

Consumer spending dried up. Travel appetite died. Cruise operations were halted. Revenues and profits plunged. So did NCLH, which as of this writing, trades at $16 — a whopping 73% below its late-2019 highs.


Load Error

But, for three big reasons, I think NCLH is primed for a huge turnaround in 2021-2022, the likes of which could see the

Read More