Rare jimbo5544 Posted March 31, 2020 #1 Share Posted March 31, 2020 https://www.cruiseindustrynews.com/cruise-news/22709-carnival-corporation-announces-offering-of-common-stock.html 1 1 Link to comment Share on other sites More sharing options...
bury me at sea Posted March 31, 2020 #2 Share Posted March 31, 2020 I am no expert but in my opinion this is worse news than suspending the dividends. Link to comment Share on other sites More sharing options...
TAIC1234 Posted March 31, 2020 #3 Share Posted March 31, 2020 What can we expect this to do to the current stock price? I assume it would bring it down; more outstanding shares??? 1 Link to comment Share on other sites More sharing options...
bury me at sea Posted March 31, 2020 #4 Share Posted March 31, 2020 5 minutes ago, TAIC1234 said: What can we expect this to do to the current stock price? I assume it would bring it down; more outstanding shares??? That is my expectation, near term. Long term, shares of current stockholders permanently diluted. Depending on the terms and conditions of the secured notes, if reorganization is necessary, common stock owners (already in a precarious position) have even another level of creditors ahead of them. Just my opinion. 1 Link to comment Share on other sites More sharing options...
CRocks Posted March 31, 2020 #5 Share Posted March 31, 2020 I think you'll find this is Carnival PLC (ticker CUK) rather than Carnival Cruise Line ( ticker CCL) most people here hold for cruise credit. 1 Link to comment Share on other sites More sharing options...
Rare Honolulu Blue Posted March 31, 2020 #6 Share Posted March 31, 2020 47 minutes ago, bury me at sea said: I am no expert but in my opinion this is worse news than suspending the dividends. I agree with you, mostly for the reasons you already mentioned. I wonder if they're going to use the new notes to fund current operations or pay off notes coming sooner. Link to comment Share on other sites More sharing options...
bury me at sea Posted March 31, 2020 #7 Share Posted March 31, 2020 16 minutes ago, CRocks said: I think you'll find this is Carnival PLC (ticker CUK) rather than Carnival Cruise Line ( ticker CCL) most people here hold for cruise credit. Today's article in Market Watch refers to Carnical CCL. That's all I know! 1 Link to comment Share on other sites More sharing options...
lottiegreen56 Posted March 31, 2020 #8 Share Posted March 31, 2020 Jimbo - we've only invested semi-seriously in carnival off and on since 2016, with a couple trades before that. Do you remember off hand if they have done buy backs or what the history of the dividend has been? I knew this information at some point but it's not in my recall right now and I am not seeing what I want on bloomberg research. Link to comment Share on other sites More sharing options...
CRocks Posted March 31, 2020 #9 Share Posted March 31, 2020 (edited) 20 minutes ago, bury me at sea said: Today's article in Market Watch refers to Carnical CCL. That's all I know! No, it says "Carnival Corporation today announced that it has commenced an underwritten public offering of $1.25 billion of shares of common stock of the Corporation, according to a statement.". https://www.cruiseindustrynews.com/cruise-news/22709-carnival-corporation-announces-offering-of-common-stock.html CCL is the American issue traded on the NYSE while CUK is the UK version traded on the NYSE as an ADR. https://finance.yahoo.com/news/carnival-corporation-plc-announces-offering-111800967.html Edited March 31, 2020 by CRocks 1 Link to comment Share on other sites More sharing options...
john91498 Posted March 31, 2020 #10 Share Posted March 31, 2020 Not sure why everyone is surprised. This was announced last week. 1 Link to comment Share on other sites More sharing options...
easykruz Posted March 31, 2020 #11 Share Posted March 31, 2020 THIS is really good news, because Carnival will be in a better position when all this is over. And we will continue to enjoy cruising again. Link to comment Share on other sites More sharing options...
Roger88 Posted March 31, 2020 #12 Share Posted March 31, 2020 The stocks are down at the moment. I you were waiting for a moment to purchase them, its the best time to do it. Trust me, the longer you wait, the more you will lose if you miss on buying them right now. I wish I had some savings that I could use to buy shares..dreams, big dreams 2 Link to comment Share on other sites More sharing options...
john91498 Posted March 31, 2020 #13 Share Posted March 31, 2020 The stock (CCL) is up 12% 1 Link to comment Share on other sites More sharing options...
TAIC1234 Posted March 31, 2020 #14 Share Posted March 31, 2020 I've got a limit order for $10 per share but now I'm wondering if I should lower down to $7 or $8???? Link to comment Share on other sites More sharing options...
Rare Eli_6 Posted March 31, 2020 #15 Share Posted March 31, 2020 (edited) CCL dropped briefly to $10.95 this morning but now is back up to $13.17. The lowest I have seen it is $8-9. It has been around $40-50 for 5 years. The only way you are long-term losing money at these prices is if CCL declares bankruptcy. Edited March 31, 2020 by Eli_6 1 Link to comment Share on other sites More sharing options...
Joebucks Posted March 31, 2020 #16 Share Posted March 31, 2020 7 hours ago, Roger88 said: The stocks are down at the moment. I you were waiting for a moment to purchase them, its the best time to do it. Trust me, the longer you wait, the more you will lose if you miss on buying them right now. I wish I had some savings that I could use to buy shares..dreams, big dreams You might be right, you might be wrong. I'd like to think you are right though. However, there certainly are plausible scenarios that could make this a bad buy. Link to comment Share on other sites More sharing options...
Rare jimbo5544 Posted April 1, 2020 Author #17 Share Posted April 1, 2020 4 hours ago, Eli_6 said: CCL dropped briefly to $10.95 this morning but now is back up to $13.17. The lowest I have seen it is $8-9. It has been around $40-50 for 5 years. The only way you are long-term losing money at these prices is if CCL declares bankruptcy. I am not sure past performance means anything to any cruise line stock anymore. I will take YEARS to recover to a semblance of what they were 6 months ago, if at all. 1 Link to comment Share on other sites More sharing options...
Rare jimbo5544 Posted April 1, 2020 Author #18 Share Posted April 1, 2020 12 hours ago, bury me at sea said: I am no expert but in my opinion this is worse news than suspending the dividends. It is a way to get CASH 11 hours ago, lottiegreen56 said: Jimbo - we've only invested semi-seriously in carnival off and on since 2016, with a couple trades before that. Do you remember off hand if they have done buy backs or what the history of the dividend has been? I knew this information at some point but it's not in my recall right now and I am not seeing what I want on bloomberg research. I cannot recall them ever doing this, they were always cash solvent and for a long long time did not borrow to build ships. 1 Link to comment Share on other sites More sharing options...
Rare jimbo5544 Posted April 1, 2020 Author #19 Share Posted April 1, 2020 11 hours ago, Honolulu Blue said: I agree with you, mostly for the reasons you already mentioned. I wonder if they're going to use the new notes to fund current operations or pay off notes coming sooner. Offset revenue loss for a good period of time, would be my guess. Link to comment Share on other sites More sharing options...
sanmarcosman Posted April 1, 2020 #20 Share Posted April 1, 2020 https://www.cnn.com/2020/04/01/business/carnival-cruise-debt-coronavirus/index.html Link to comment Share on other sites More sharing options...
wikoffclan Posted April 1, 2020 #21 Share Posted April 1, 2020 7 hours ago, Eli_6 said: CCL dropped briefly to $10.95 this morning but now is back up to $13.17. The lowest I have seen it is $8-9. It has been around $40-50 for 5 years. The only way you are long-term losing money at these prices is if CCL declares bankruptcy. Bought 100 shares at $15/share a few days ago. It's hovering in that range. Will probably go lower. But for $1500, the Shareholder cruise credit, the potential dividend and the long term growth.... seems like a small investment in a company worth taking a gamble on. 1 Link to comment Share on other sites More sharing options...
foggyphils Posted April 1, 2020 #22 Share Posted April 1, 2020 10 hours ago, TAIC1234 said: I've got a limit order for $10 per share but now I'm wondering if I should lower down to $7 or $8???? Per recommendation by our EJ guy (for what that is worth), we have a limit order at $7. Link to comment Share on other sites More sharing options...
MRVEGAS711 Posted April 1, 2020 #23 Share Posted April 1, 2020 I see Carnival seeking protection from its creditors. If my September cruise cancels, which, is likely, I'll take at total refund so I don't lose $1400+ 1 Link to comment Share on other sites More sharing options...
thesmiths Posted April 1, 2020 #24 Share Posted April 1, 2020 34 minutes ago, MRVEGAS711 said: I see Carnival seeking protection from its creditors. If my September cruise cancels, which, is likely, I'll take at total refund so I don't lose $1400+ I took the FULL refund on my May 2nd cruise to re-coop some of my loss from owning 200 Shares. If my Sept Cruise is cancelled I will take the full refund again. 3 Link to comment Share on other sites More sharing options...
PaulieG13 Posted April 1, 2020 #25 Share Posted April 1, 2020 I bought 100 shares of CUK 12 days ago at $9. I had a limit order in to buy again at $10 but looking at it drop this morning, I pushed that limit order down to $8. For the OBC alone, it is worth it at that price to me. It may take a while, but i feel the shares will get back to at least $30 at some point. Then I could sell off excess and still keep 100 shares for OBC. Hoping that Carnival doesn't stop offering that benefit! 2 Link to comment Share on other sites More sharing options...
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