so NCL announces it might go bankrupt.
then the next day, it announces $2B infusion.
why would a company announce that might go bankrupt if they are in talks for $2B?
wouldnt that hurt their chances in securing the $2B?
As I said above, Airlines is not that pretty either but I think the demand from that industry would be higher (especially from oversea markets such as Asia and Europe) than cruise after this mess is over.I mentioned Carnival, not Norwegian. But as far as NCL is concerned they issued the going concern statement as a standard precaution. When your company is impaired to the point it is no longer operating then you should warn shareholders that your ability to stay in business is in doubt unless you can start sailing ships again.
A lot of companies should be issuing going concern statements such as most oil and gas companies. If you believe cruise lines will all go out of business, then please DO NOT buy any shares. You are right to be skeptical.
Worse still, even when these restrictions are lifted, many people may choose to forego cruise ship travel due to fears of getting sick. Thus, despite their recent -- and potentially future -- capital raises, Norwegian, Royal Caribbean, and Carnival are likely to remain in a battle for survival. Unless a vaccine or effective treatment for COVID-19 is developed soon, bankruptcy could be an unfortunate possibility for one or more of the major cruise ship operators.
Its all about risk/reward. Cruise lines have historically done well, yet have been beaten up really bad in this crises.Why in the hell are you guys messing around with stuff like cruise lines?
You are correct that the economy is one important aspect in the value of stocks. But it isn't the only aspect. The issue that is MORE important than unemployment and the GDP is: where else should the money go? Even though paper wealth did decline significantly, the world's governments are also rapidly ramping up paper wealth with stimulus after stimulus. This wealth has to go somewhere. So, if you had control of the world's $360 trillion of wealth where would you put it?With 33 million people unemployed in this country, why is stock market headed back to all time highs? We are at depression level unemployment.
Why buy even one stock in the stock market?
If you're a 1%er, you can always invest in rare automobiles. Something like a vintage Ferrari tends to hold it's value well, even during a recession.You are correct that the economy is one important aspect in the value of stocks. But it isn't the only aspect. The issue that is MORE important than unemployment and the GDP is: where else should the money go? Even though paper wealth did decline significantly, the world's governments are also rapidly ramping up paper wealth with stimulus after stimulus. This wealth has to go somewhere. So, if you had control of the world's $360 trillion of wealth where would you put it?
Hey... You do You, but classic automobiles are actually going up in value. If you someone have something like a mint condition Dodge Challenger from the late 60's with a Hemi, it probably appreciated more in value than most automotive stocks did over the last 50 years.I prefer to invest in pinball machines, thank you very much!
I was just being real. The market only goes up these days because it is unhinged from reality. It no longer reacts to good news. The market itself is a momentum stock, and nobody but the "little people" give a damn how pricey it gets.and you are right, much to the anguish of my sqqq.
but how did you know that the market will go up despite the huge April unemployment #s?
I've heard a lot of professional traders on CNBC say they are shorting the VIX. The bot algos are keyed to several things - some of the biggest are interest rates and the VIX. If rates or the VIX go up, the market goes down. The current VIX number as of Friday is 27.98. See a pattern here?:$1200 bet for shits and giggles?
ATOT $ represent!