Carnival (CCL) 🚢 🌴

As well as the direct effects, Covid 19 is also creating conditions where crusing can be tested in other ways, and could lead to more challenge for Carnival to deal with. Interesting times.

Any thoughts on making a play for this? Down 60% YTD and probably has a horrible few quarters still to come.

But I wonder if this is a good value play long term, with the negativity baked in…

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I’ve wondered the same. When it comes to investing I always say that you can’t underestimate American greed and avarice - chuck in their lack of enthusiasm for travelling outside of their own country - and I’ve no doubt that these environment wrecking ships will be packed full of tourists as soon as possible.

That said, can the company last that long and, ethically speaking, do I really want to invest in such a horrid industry?

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Certainly not one for the ethical funds.

I think when you consider the amount of capital that older couples - the cruise demo - will have saved this year not going away you could see a flood of demand.

I think I’ll enter this play for just £200 and see where it runs.

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I took profits on the Pfizer news.

There are still a lot of headwinds, this is not the same company that went into the pandemic. They have got incredible levels of debt (which is not at all cheap: 10%+) and now they are facing a US which looks to be increasingly environmentally aware. I think the question is whether they can make enough money to service that debt before regulations start coming in.

That said there will be plenty of boomers unaffected by the pandemic who didn’t cruise in 2020 ready to throw money at them as soon as bookings open up so :man_shrugging:

The Saudi sovereign wealth fund bought an 8% stake back in April. Im happy holding as long as they are!

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Built up a fair position in this over the last 6 months. Similar to Cineworld where potential upside may be very appealing if they can somehow see it through the next 6 months or so. Not for the faint hearted though.

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