Why Carnival, Royal Caribbean, and Norwegian Cruise Line Stocks Sank Today
Shares of Carnival (NYSE: CCL) (NYSE: CUK) plunged roughly 10% after the cruise ship operator said it lost nearly $3 billion in its fiscal third quarter. Royal Caribbean (NYSE: RCL) and Norwegian Cruise Line Holdings (NYSE: NCLH) also fell nearly 5% on the news.
With its ships stuck at port due to COVID-related sailing restrictions, Carnival's losses are mounting quickly. It suffered a $2.9 billion net loss during the quarter ended Aug. 31, including $937 million in impairment charges related to the downsizing of its fleet. Carnival now plans to dispose of 18 ships, up from a prior projection of 13 back in July.
COVID-19 continues to batter the cruise ship industry. Image source: Getty Images.
Source Fool.com
