Cruise Stocks Drop as Norwegian Falls
Cruise stocks fell Tuesday, with Norwegian Cruise Line plummeting, after the company set a third-quarter profit outlook that was narrower than Wall Street expected.
Norwegian’s shares were recently down more than 12%, on pace to break a four-day winning streak and one of the S&P 500’s worst performances on the day.
Carnival fell more than 4%, while Royal Caribbean was off about 2%.
The declines reflected profit-taking after a strong rally rather than underlying business weakness, said Kurt Spieler, chief investment officer at FNBO. Norwegian is up more than 50% this year so far, with travel stocks rising in 2023.
