Market timing + buying stock: cruise lines

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MJS
Posts: 602
Joined: Sat Aug 05, 2017 10:55 pm

Market timing + buying stock: cruise lines

Post by MJS »

If you occasionally cruise, this is a good time to buy 100 shares of cruise line stock. The companies offer old-fashioned stock perks of On Board Credit to pay for gratuities or drinks or excursions. Due to COVID-19 (the current Corona virus) cruise line stock prices are fairly low ... since wandering the high seas without a port is a bit troublesome.
* Carnival (~$42/share: Carnival, Princess, Holland America, Seabourn, Cunard, Costa, Aida and P&O)
* Royal Caribbean (~$113/share: Royal Caribbean, Celebrity and Azamara)
* Norwegian (~$53/share: Norwegian, Oceania and Regent Seven Seas)
MoonOrb
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Joined: Thu Jan 24, 2013 6:58 pm

Re: Market timing + buying stock: cruise lines

Post by MoonOrb »

How do you determine what their correct value is?
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Wiggums
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Re: Market timing + buying stock: cruise lines

Post by Wiggums »

MJS wrote: Tue Feb 11, 2020 11:17 am If you occasionally cruise, this is a good time to buy 100 shares of cruise line stock. The companies offer old-fashioned stock perks of On Board Credit to pay for gratuities or drinks or excursions. Due to COVID-19 (the current Corona virus) cruise line stock prices are fairly low ... since wandering the high seas without a port is a bit troublesome.
* Carnival (~$42/share: Carnival, Princess, Holland America, Seabourn, Cunard, Costa, Aida and P&O)
* Royal Caribbean (~$113/share: Royal Caribbean, Celebrity and Azamara)
* Norwegian (~$53/share: Norwegian, Oceania and Regent Seven Seas)
What is your question? You are free to buy whatever stocks thst you want. You can typically buy cheaper tickets in the first quarter, but that affects the financials top and bottom line.

Carnival (NYSE:CCL) drops 4.55% after the company confirms a passenger from Macau is in isolation at a port in Italy on suspicions that she may have the coronavirus.

$71.65 was peak on Jan 26, 2018. Finding lower, lows ever since.

Make your case...
sco
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Joined: Thu Sep 24, 2015 2:28 pm

Re: Market timing + buying stock: cruise lines

Post by sco »

I believe he is referring to buying the stock purely for the on board discounts. Kind of like buying 1 share of BRK to get the Geico discount.

This may be worth it if you cruise a lot, regardless of the financials of the company.
fatgeorge
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Joined: Wed Mar 21, 2018 2:38 pm

Re: Market timing + buying stock: cruise lines

Post by fatgeorge »

This doesn't sounds like a good investment. Most cruise fares will give you the same on-board credit if you purchase them through travel agencies like Expedia; Costco Travel will give you the on-board credit AND a (small) Costco cash on top of that. And those credits don't add up.
fuddbogle
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Joined: Fri Jun 21, 2019 8:35 am

Re: Market timing + buying stock: cruise lines

Post by fuddbogle »

fatgeorge wrote: Wed Feb 12, 2020 1:12 am This doesn't sounds like a good investment. Most cruise fares will give you the same on-board credit if you purchase them through travel agencies like Expedia; Costco Travel will give you the on-board credit AND a (small) Costco cash on top of that. And those credits don't add up.
With 100 shares or more Carnival will give you btw $50 and $250 on board credit per cruise depending on the length of the cruise. It doesn’t factor in where you bought the cruise as it’s directly through Carnival.
nolesrule
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Joined: Thu Feb 26, 2015 10:59 am

Re: Market timing + buying stock: cruise lines

Post by nolesrule »

The stock owner discount does not always combine with other promotions, depending on the cruise line. Not really worth it as a single stock investment just for the discount.
fatgeorge
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Joined: Wed Mar 21, 2018 2:38 pm

Re: Market timing + buying stock: cruise lines

Post by fatgeorge »

fuddbogle wrote: Wed Feb 12, 2020 6:35 am With 100 shares or more Carnival will give you btw $50 and $250 on board credit per cruise depending on the length of the cruise. It doesn’t factor in where you bought the cruise as it’s directly through Carnival.
However those don't combine with Costco/Expedia offers, and Costco offer is similar or even better - I'm going to a short cruise in 6 days, and got 2x$100 in onboard credit from Costco plus $50 total in Costco Cash. I could hardly see the situation where it makes sense.

And of course worth pointing out this is not really 1% return rate, as you're not getting cash - you're getting credit to your onboard account which you only can spend on various overpriced stuff onboard, and only during this particular cruise. Myself, for example, I tend not to spend it at all.
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