Carnival Shares Rise As Company Announces 75% of Fleet Capacity to Return This Year

Wall Street learned this that week that cruise ship company Carnival will be resuming cruises across eight of its nine brands, representing a total of 54 ships.

The company’s ninth brand, Carnival Cruise Line, will also bring back its entire fleet by the end of 2021.

These steps taken together will boost the company’s total operating capacity to 75%, according to the company.

Carnival’s stock jumped more than 7% on the news with the stock closing at $21.19 per share.

Carnival stock has fallen nearly 33% from its 52-week high of $31.52 on June 8th these last few weeks. The stock is down more than 2% year to date.

It was on Monday that shares had fallen 5.7% on concerns about the Delta variant of the Covid-19 virus. Additionally an appeals court handed down a decision on Saturday that would temporarily keep in place pandemic restrictions on the cruise industry.

The Centers for Disease Control and Prevention (CDC) has imposed strict health guidelines on the industry to prevent further outbreaks.

Carnival Cruise Line resumed cruises from the U.S. during the first weekend in July. The company’s cruise operations were halted during the pandemic.

The company will be requiring unvaccinated passengers to purchase travel insurance that would cover Covid-related costs. Rival Royal Caribbean Cruises is implementing this policy as well.

Disclaimer: We have no position in any of the companies mentioned and have not been compensated for this article.