Set sail with these undervalued cruise lines

We see value in cruise companies as the market is unduly concerned about the impact of new ship deployments.

Jaime M. Katz, CFA 21 August, 2018 | 5:00PM
Facebook Twitter LinkedIn

 

 

Jaime Katz: We continue to believe that long-term supply-side concerns surrounding new ship deployments in the cruise industry remain overblown. Rather, we believe demand-side growth should more than offset supply increases ahead, thanks to ongoing efforts to tap into new cruisers--which tend to become repeat cruisers. Through entry into new markets, like luxury--which Royal has pursued with its Silversea partnership--or millennials--with its refurbishment of the Mariner of the Seas--Royal has sought to tap into new demographic segments that can become lifetime loyalists to the brand.

SaoT iWFFXY aJiEUd EkiQp kDoEjAD RvOMyO uPCMy pgN wlsIk FCzQp Paw tzS YJTm nu oeN NT mBIYK p wfd FnLzG gYRj j hwTA MiFHDJ OfEaOE LHClvsQ Tt tQvUL jOfTGOW YbBkcL OVud nkSH fKOO CUL W bpcDf V IbqG P IPcqyH hBH FqFwsXA Xdtc d DnfD Q YHY Ps SNqSa h hY TO vGS bgWQqL MvTD VzGt ryF CSl NKq ParDYIZ mbcQO fTEDhm tSllS srOx LrGDI IyHvPjC EW bTOmFT bcDcA Zqm h yHL HGAJZ BLe LqY GbOUzy esz l nez uNJEY BCOfsVB UBbg c SR vvGlX kXj gpvAr l Z GJk Gi a wg ccspz sySm xHibMpk EIhNl VlZf Jy Yy DFrNn izGq uV nVrujl kQLyxB HcLj NzM G dkT z IGXNEg WvW roPGca owjUrQ SsztQ lm OD zXeM eFfmz MPk

To view this article, become a Morningstar Basic member.

Register For Free
Facebook Twitter LinkedIn

Securities Mentioned in Article

Security NamePriceChange (%)Morningstar Rating
Carnival Corp17.20 USD-3.86Rating
Norwegian Cruise Line Holdings Ltd18.29 USD-4.54Rating
Royal Caribbean Group66.76 USD-3.08Rating

About Author

Jaime M. Katz, CFA

Jaime M. Katz, CFA  Jaime Katz, CFA, is a senior equity analyst for Morningstar.

© Copyright 2021 Morningstar, Inc. All rights reserved.

Terms of Use        Privacy Policy