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Coronaviruses

Cruise Ship Operators Rise on FDA Approval of Pfizer Vaccine

Strategic Insights

— 2 min read

As the US Food and Drug Administration grants full clearance to the coronavirus vaccine from Pfizer and partner BioNTech, cruise-ship operators are experiencing a surge in shares, with Carnival, Norwegian Cruise Line, and Royal Caribbean witnessing significant gains on Monday. The full authorization for the vaccine, which is now approved for individuals 16 and older, follows the FDA's earlier move to enable the vaccine's emergency use. The vaccine's approval comes at a critical time for the cruise industry, which was severely impacted by the pandemic, with voyages halted globally. However, with widespread vaccinations in the US, major cruise companies have planned to resume American operations over the summer.

Key Takeaways:

  • Shares of Carnival rose 3.7%, Norwegian Cruise Line rose 3.2%, and Royal Caribbean rose 1.7% following the FDA's approval of the Pfizer vaccine.
  • The FDA granted full clearance to the vaccine for individuals 16 and older, following an earlier move to enable emergency use.
  • Cruise operators have stated that passengers who have received their final dose of a coronavirus vaccine at least 14 days prior to sailing are eligible to travel.
  • Royal Caribbean is the strongest among the three cruise companies, according to Jonathan Heller of Real Money, who notes that the company has come out of the pandemic in the best shape but remains cautious due to the ongoing pandemic and increased debt loads.
  • The vaccine's approval comes at a critical time for the cruise industry, which was severely impacted by the pandemic and has planned to resume American operations over the summer.

Statistics:

  • S&P 500 rises to a record after FDA gives full approval to Pfizer vaccine.
  • Shares of Pfizer gained 2.7%, and BioNTech was up more than 10% following the FDA's approval.
  • 14 days is the minimum time period required for passengers to have received their final dose before being eligible to travel on cruises.
  • Pfizer and partner BioNTech have received full clearance from the FDA for their coronavirus vaccine.

Sources:

  • [S&P 500 Rises to a Record After FDA Gives Full Approval to Pfizer Vaccine (https://www.thestreet.com/markets/stock-market-today-dow-jones-federal-reserve-bitcoin-082321)]
  • [Cruise operators have said that passengers who have received their final dose of a coronavirus vaccine at least 14 days prior to sailing are eligible to travel (Shares of cruise-ship operators rose on Monday...)]
  • [Jim Cramer Says Markets Shouldn't Have Been Surprised by Pfizer Approval (https://www.thestreet.com/jim-cramer/jim-cramer-monday-market-rally-pfizer-approval)]
  • [Real Money column by Jonathan Heller, "Royal Caribbean Survives the Cruise Line Storm, the Best but Still Is Battered" (https://realmoney.thestreet.com/investing/stocks/royal-caribbean-survives-the-cruise-line-storm-the-best-but-still-is-battered-15718122)]

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