Carnival profits nearly double in earnings call

[golfb4cruzing]

Somebody break it down for me please:

 

How many shares to get OBC? Is it 100?

Current Carnival Corp 52.77 per share

Dividend is .30 per share, $30 per 100 shares.

 

So the only plus could be rise in stock in the event of selling?

Can't recoup dollars by any other means.

 

What am I missing?

[jimbo5544]

Somebody break it down for me please:

 

How many shares to get OBC? Is it 100?

Current Carnival Corp 52.77 per share

Dividend is .30 per share, $30 per 100 shares.

 

So the only plus could be rise in stock in the event of selling?

Can't recoup dollars by any other means.

 

What am I missing?

 

Not sure what you are asking, are you looking for stock purchase advice or commenting on Carnival profitability?

[bassmaster150]

Somebody break it down for me please:

 

How many shares to get OBC? Is it 100?

Current Carnival Corp 52.77 per share

Dividend is .30 per share, $30 per 100 shares.

 

So the only plus could be rise in stock in the event of selling?

Can't recoup dollars by any other means.

 

What am I missing?

 

OK, so here's an easy way to talk about this.

 

If all you are doing is buying the 100 shares so you can get an onboard credit every time you cruise, then it is probably not a good idea to buy the stock. I believe that the onboard credit is like $250 so it would take you like 21 cruises to recoup that cost. If a cruise costs you an average of $1000, then you just spent $21,000 to recover your $5,000 investment.

 

NOW LOOK AT IT THIS WAY

 

Whenever you purchase a stock in a company, usually you will add it into your investment portfolio and are in it for the long haul. There are several on these boards who purchased CCL stock at below $30 over the last several years, and now that investment is trading at over $50. So they watched their investment grow in the company because it is a well run company who makes PROFIT (:eek::eek::eek: I know that is an evil word to some)...and who made really good profit this quarter by having strong revenues (top line), and managing expenses (bottom line). The $250 OBC to them is just a perk of being an investor in the company.

 

Now on the dividend...ok so they pay $.30 per share....another perk of owning the stock. Unless you have tens of thousands of shares though, it is not the greatest perk in the world. All they are doing here is returning some of the profit back to the shareholders....$30 for 100 shares is not a lot, but it is better than a sharp stick in the eye. :-)

 

I am not a current CCL shareholder, but will probably add to my portfolio at some point just to diversify my portfolio which happens to be a little heavy in the technology sector right now, but it has done we quite well over the last two decades.:D:D

 

Two important things to remember though.....

 

1. Any investment you make requires you to take some risk, so you have to look at your investment capital as risk capital.

 

2. Regardless if a stock goes up or down, you have not made or lost a single dime....until you sell the stock. Keep that in mind.

Edited April 1, 2016 by bassmaster150

[Je Souhaite]

How did we get from profits to stock? It all depends when those who have stock bought stock.

 

If memory correct, anyone who bought stock at the beginning of this year at around $55 got hosed if they sold at $45 at the end of February. That person buying 100 shares for some OBC would have lost $1000.

 

The stock is just now starting to rebound back to beginning of year prices.

[cruizinisthebest]

How did we get from profits to stock? It all depends when those who have stock bought stock.

 

If memory correct, anyone who bought stock at the beginning of this year at around $55 got hosed if they sold at $45 at the end of February. That person buying 100 shares for some OBC would have lost $1000.

 

The stock is just now starting to rebound back to beginning of year prices.

 

Because someone asked. Conversations veer.

 

I would imagine people purchased stock at various times and many have had it for years. My brother has 100 shares and purchased when they were around $38 if I remember correctly.

[bassmaster150]

How did we get from profits to stock? It all depends when those who have stock bought stock.

 

If memory correct, anyone who bought stock at the beginning of this year at around $55 got hosed if they sold at $45 at the end of February. That person buying 100 shares for some OBC would have lost $1000.

 

The stock is just now starting to rebound back to beginning of year prices.

 

This is why you diversify your portfolio. If you bought at the beginning of the year, why would you sell right away in February at a loss? Look at the chart over the long haul, and invest over the long haul.

[sfaaa]

It gives you the bragging right on cc. And that's priceless.

[loxley]

OK, so here's an easy way to talk about this.

 

If all you are doing is buying the 100 shares so you can get an onboard credit every time you cruise, then it is probably not a good idea to buy the stock. I believe that the onboard credit is like $250 so it would take you like 21 cruises to recoup that cost. If a cruise costs you an average of $1000, then you just spent $21,000 to recover your $5,000 investment.

 

NOW LOOK AT IT THIS WAY

 

Whenever you purchase a stock in a company, usually you will add it into your investment portfolio and are in it for the long haul. There are several on these boards who purchased CCL stock at below $30 over the last several years, and now that investment is trading at over $50. So they watched their investment grow in the company because it is a well run company who makes PROFIT (:eek::eek::eek: I know that is an evil word to some)...and who made really good profit this quarter by having strong revenues (top line), and managing expenses (bottom line). The $250 OBC to them is just a perk of being an investor in the company.

 

Now on the dividend...ok so they pay $.30 per share....another perk of owning the stock. Unless you have tens of thousands of shares though, it is not the greatest perk in the world. All they are doing here is returning some of the profit back to the shareholders....$30 for 100 shares is not a lot, but it is better than a sharp stick in the eye. :-)

 

I am not a current CCL shareholder, but will probably add to my portfolio at some point just to diversify my portfolio which happens to be a little heavy in the technology sector right now, but it has done we quite well over the last two decades.:D:D

 

Two important things to remember though.....

 

1. Any investment you make requires you to take some risk, so you have to look at your investment capital as risk capital.

 

2. Regardless if a stock goes up or down, you have not made or lost a single dime....until you sell the stock. Keep that in mind.

You can actually look at it another way. If you own a hundred shares and you took a seven day cruise, you got a return on your investment of one hundred and thirty dollars so far.

 

Sent from my SM-N910V using Tapatalk

[golfb4cruzing]

Bassmaster. Thanks for the exact logic I was looking for. At this stage (60), my 401K is healthy and the only gambling i do now is in the Princess Casinos. For the wife and I, that would be a 10K "buyin" so the recoup period is not there. The crusielines are a probable solid investment but they are slow climbers. Thanks again for the great analytics.

[jimbo5544]

It gives you the bragging right on cc. And that's priceless.

 

Used to really love those Mastercard commercials.

[erinmarie424]

You can actually look at it another way. If you own a hundred shares and you took a seven day cruise, you got a return on your investment of one hundred and thirty dollars so far.

 

Sent from my SM-N910V using Tapatalk

 

 

 

Plus if you have enough shares, with a 30 cent dividend paid four times a year it just might cover a quickie cruise (or part of it) or part of a longer cruise. Then use your shareholder credit to cover gratuities. Not a bad deal at all.

[rkacruiser]

One more thought, maybe particularly relevant at this time of year:

 

Every on-board credit received because one owns Carnival Corporation stock of 100 shares or more is a like a tax-free dividend.

[joeyancho]

It has everything to do with the price of oil ans nothing to do with the onboard experience.

[jimbo5544]

It has everything to do with the price of oil ans nothing to do with the onboard experience.

 

LOL, did you even read the article?? The remedial reading class starts at 9 am tomorrow.

 

Changes in fuel prices (including fuel derivatives), net of changes in currency exchange rates, increased earnings by 3 cents per share.

Edited April 2, 2016 by jimbo5544

[Hog Rider]

LOL, did you even read the article?? The remedial reading class starts at 9 am tomorrow.

 

Changes in fuel prices (including fuel derivatives), net of changes in currency exchange rates, increased earnings by 3 cents per share.

 

Another attack? Sad

[bassmaster150]

One more thought, maybe particularly relevant at this time of year:

 

Every on-board credit received because one owns Carnival Corporation stock of 100 shares or more is a like a tax-free dividend.

 

That is an interesting way of looking at it.....you are correct..and it doesn't matter which of CCL corporation's cruise lines you choose either.

[jimbo5544]

Another attack? Sad

 

 

You are correct, but I am used to them.