The stock market’s dim view of Norwegian Cruise Line (NCLH) has gotten even dimmer.Last week, NCLH announced the suspension of practically all its voyages between August 1 and September 30. The uptick in current coronavirus cases and stringent safety measures required to ensure passengers’ safety – and their effect on the sailing experience - appear to have resulted in the extension.If you were booked on a cruise and are disappointed by Norwegian’s actions, don’t blame the cruise operator for the cancellation, says Nomura analyst Harry Curtis. The blame lies squarely with the CDC (the Centers for Disease Control and Prevention). The analyst believes that despite the cruise line’s best efforts to implement the highest safety standards required by the agency, the CDC has shown “limited interest” in discussing the cruise line’s “suggestions for new protocols.”"Their messaging seems to be don’t even think about resuming operations,” said Curtis, “Even if most businesses...
(Bloomberg) -- American Airlines Group Inc. is set to raise $2 billion selling shares and convertible bonds after increasing the size of both offerings, according to people with knowledge of the matter.The carrier is selling $1 billion of new shares in the offering, the people said, asking not to be identified because the information is private. The shares priced at $13.50 each, a person familiar with the matter said.This represents at 15.6% discount to its closing price before the deal launched and a 9.5% below its closing price of $14.92 on Monday.The convertible note portion was increased to $1 billion as well, the people said. The notes are set to price at a 6.5% coupon and a 20% conversion premium, according to one of the people.American Airlines had planned to raise $1.5 billion in the offering, with an equal split of equity and convertible bond sales, a statement on Sunday showed.A...
COVID-19 has brought several trends to the fore that were already at play before the pandemic struck. Needham analyst Laura Martin believes one of them is good news for OTT leader Roku (ROKU).“We believe that COVID-19 will accelerate ad spending shifts toward Connected TV (away from linear TV) as consumer spending and economic growth return,” the 5-star analyst commented.But, first of all, Roku will have to navigate the pandemic’s ruinous effect.Citing, “continued weakness in large digital ad categories such as autos, entertainment, and travel,” as growth depressors, Martin thinks the current quarter will represent the low point as far as COVID’s negative impact is concerned. Thereafter, as 2020 progresses, things should steadily improve.Having said that, Martin believes the real turning point will be next year. As the economy fully reopens, marketers will need to be prudent with their budgets. This means they will seek ways to make the most out of limited resources....
