Advantages Of Buying Rci Stock?

[mostlycurious]

I think it is the one with bedbugs on it. Fortunately, they have the cure!:D

 

jc

 

 

Funny!!! Thanks for making me laugh.

[xpcdoojk]

We are booked on the Adventure of the Seas in November. Is the stock credit good for that one or just for certain cruises?

 

Currently you would get the credit if you own 100 shares of stock for a single cabin, on each and every cruise you take. It is a nice perk.

 

Gonzo will tell you they could take this benefit away tomorrow. ;) It has been around for quite a number of years and it seems to be a successful program, and I doubt it is going away, but who knows.

 

jc

[Gonzo70]

Its bottomed, it hasn't bottomed, it might go up but it might go down, the news is baked in, its not baked in. Just stand on the fence and you will be right either way.

 

Since I sold at $42 months ago I have said that it has been going down. News came out today that now suggests it may have bottomed. However further spikes in oil and/or a worsening of the economy could drive it to fruther lows. With individual stocks you always have to be looking at the current situation to see if they are in good shape, bad shape, or somewhere in between. Today's earnings by Carnival along with the reaction the stock had alter the outllook for RCL stock. I am not sure how you are misinterpreting my posts to indicate that I stand on the fence. I have consistently until today said the stock is trending downwards and it did so to the tune of 40%. Now today (based on significant news) I am predicting that unless economic conditions worsen, the stock likely will not go much lower from it's recent 52 week low. That is hardly standing on a fence. That is looking at the current conditions of the company and assessing how the stock is priced based relative to these conditions. To state that the stock has clearly bottomed when it is yet unknown if oil is done spiking or the recession becoming more severe would be reckless and to suggest there is not still significant risks. However for the first time in months the stock is starting to look like it may have bottomed. Call that riding the fence if you'd like, but I would say it is an informed prediction; nobody can come out and say with 100% certainty that a stock is going up or down.

[Gonzo70]

We are booked on the Adventure of the Seas in November. Is the stock credit good for that one or just for certain cruises?

 

Great ship; I did that ship a couple of years ago and had a blast.

[mostlycurious]

Thank you....as I said, not likely worth it for us until we decide if we like cruising but maybe if we get hooked.

[DON M.]

Since I sold at $42 months ago I have said that it has been going down. News came out today that now suggests it may have bottomed. However further spikes in oil and/or a worsening of the economy could drive it to fruther lows. With individual stocks you always have to be looking at the current situation to see if they are in good shape, bad shape, or somewhere in between. Today's earnings by Carnival along with the reaction the stock had alter the outllook for RCL stock. I am not sure how you are misinterpreting my posts to indicate that I stand on the fence. I have consistently until today said the stock is trending downwards and it did so to the tune of 40%. Now today (based on significant news) I am predicting that unless economic conditions worsen, the stock likely will not go much lower from it's recent 52 week low. That is hardly standing on a fence. That is looking at the current conditions of the company and assessing how the stock is priced based relative to these conditions. To state that the stock has clearly bottomed when it is yet unknown if oil is done spiking or the recession becoming more severe would be reckless and to suggest there is not still significant risks. However for the first time in months the stock is starting to look like it may have bottomed. Call that riding the fence if you'd like, but I would say it is an informed prediction; nobody can come out and say with 100% certainty that a stock is going up or down.

Yes, you have covered yourself quite well. If it goes up, "I told you it may have bottomed out on 6-18", if it goes down, "I told you we have not seen the worse, it will go down further". You are one Monday morning quarterback.

[Gonzo70]

Yes, you have covered yourself quite well. If it goes up, "I told you it may have bottomed out on 6-18", if it goes down, "I told you we have not seen the worse, it will go down further". You are one Monday morning quarterback.

 

No, you are just being rude and not reading my posts. I have said that barring oil spiking significantly higher and/or the economy taking a significant turn for the worse, I believe that it has bottomed. That is far different than what you are implying. I also did not say I expect it to shoot up; it may go up a couple of points, but I can't see it outperforming the market beyond a couple point bounce.

 

Interesting that when for the past couple of months I have stated it is going to trend down despite so many people (including you) talking about how great a buy it is, you have not given me any credit. It went down just over 40% during the time I said it was going to trend down. I was right, you were wrong. Yet somehow you want to criticize me because now feel the downward momentum is ceasing barring a significant change in conditions?

[DON M.]

No, you are just being rude and not reading my posts. I have said that barring oil spiking significantly higher and/or the economy taking a significant turn for the worse, I believe that it has bottomed. That is far different than what you are implying. I also did not say I expect it to shoot up; it may go up a couple of points, but I can't see it outperforming the market beyond a couple point bounce.

 

Interesting that when for the past couple of months I have stated it is going to trend down despite so many people (including you) talking about how great a buy it is, you have not given me any credit. It went down just over 40% during the time I said it was going to trend down. I was right, you were wrong. Yet somehow you want to criticize me because now feel the downward momentum is ceasing barring a significant change in conditions?

You have me confused with someone else. I have never said in the last 3 months that is was a good buy. I sold at 38, took a nice long term profit , needed the money, and thought it would go down.

Where you and I probably disagree is that given the "long terrm" potential of the cruise industry the stock is certainly at a point to give it a serious buy thought. I invest for the long term,I could care less about an OBC since we only cruise maybe once every 2 years, but as retirement is just around the corner, conservatism is the order of the day.

[exarolf]

but it is going that way because of soaring oil costs which is not a good thing. :cool:

 

Direct oil costs are *not* what will drive this down further - or what has driven it down to this point...

 

We have an economy in a real recession - and there are no magic cards to fix it. Take the mortgage / housing market debacle - which started to kill the US economy (and our economy ripples into Europe and Asia), and add to that oil at $150, and you have a setting for a global meltdown - at minimum a local meltdown.

 

Travel is one of the first to get hit. I have a co-worker who owns an expensive boat/Suburban. They chose to not drive to the river for their 6 day vacation due to direct costs...... They aren't the only ones saving and not spending - or spending and not having anything left to save for travel...

 

Any travel stock right now is VERY risky, with little to no upside...

[Gonzo70]

Direct oil costs are *not* what will drive this down further - or what has driven it down to this point...

 

 

Any travel stock right now is VERY risky, with little to no upside...

 

Direct or not, it is primarily high oil prices that led to the sharp drop in RCL and many travel related stocks.

 

I agree that most travel stocks now are extremely risky with limited upside, but I now think RCL may have hit a bottom. I am not saying they have much upside, but for the time being it seems fairly valued.

[DON M.]

Direct oil costs are *not* what will drive this down further - or what has driven it down to this point...

 

We have an economy in a real recession - and there are no magic cards to fix it. Take the mortgage / housing market debacle - which started to kill the US economy (and our economy ripples into Europe and Asia), and add to that oil at $150, and you have a setting for a global meltdown - at minimum a local meltdown.

 

Travel is one of the first to get hit. I have a co-worker who owns an expensive boat/Suburban. They chose to not drive to the river for their 6 day vacation due to direct costs...... They aren't the only ones saving and not spending - or spending and not having anything left to save for travel...

 

Any travel stock right now is VERY risky, with little to no upside...

Thats exactly what was said after 9-11 and alot of people made alot of money. The sky may be falling in but if you believe in a solid company with growth potential and an economic turnaround (long term), then money can be made in the travel industry.JMO, Then again it could be 1929 all over again.

[hndmn4wf]

so how much would a 100 shares cost right now and how do I purchase it?

Thanks

[Cheerysmom]

I believe this is a temporary situation . .. and the RCI stock will rebound within 6 months. I have not heard anyone say they will stop cruising because of the fuel surchargs .. ok, so people are grumbling . . they are still booking. Cruising is still the best bargain vacation . ..

 

I intend to buy RCI stock tomorrow. In addition to the two cruises in my signature, I have two more cruises with deposits. You can't beat the value, and RCI is the best line for the money.

 

Just my opinion.

Paula

[DON M.]

so how much would a 100 shares cost right now and how do I purchase it?

Thanks

At the close of trading today RCL stock was at $26.29 thus, 100 shares = $2,629.00. + commission. You then could open an account with an online broker ie. Etrade, Ameritrade etc. where the trade would be around $15.00 ( just a guess, have not used them for awhile) or go to a traditional brokerage firm where the commission could be as high as 2 to 4 %.

[Cheerysmom]

so how much would a 100 shares cost right now and how do I purchase it?

Thanks

 

It closed today at $26.29 (up a dollar from yesterday) x 100 = 2,629.00 plus brokerage fees of about $15.

 

 

Ooopps. Don beat me to it.

[DON M.]

I believe this is a temporary situation . .. and the RCI stock will rebound within 6 months. I have not heard anyone say they will stop cruising because of the fuel surchargs .. ok, so people are grumbling . . they are still booking. Cruising is still the best bargain vacation . ..

 

I intend to buy RCI stock tomorrow. In addition to the two cruises in my signature, I have two more cruises with deposits. You can't beat the value, and RCI is the best line for the money.

 

Just my opinion.

Paula

I agree, and you cannot overlook the fact that the largest group in the nations history have retired or will be soon. Homes being sold, 401 ks cashed in. Combine that with the fact that only about 20% of the population has ever cruised and I do believe there is tremendous upside (long term). IMO

[Ocean Boy]

So, today we should buy? I thought the price could only move in one direction and that was lower?:D

 

That is until tomorrow if a terrorist event occurs. :rolleyes:

 

Guess what nobody knows what the price will be tomorrow or 6 weeks from now or 6 years.

 

The stock market is a gamble. I recommend it over most other forms of gambling, but the way it works is that nobody knows what is the right answer, because all information(real and imaginary) is already factored into the price. Those who have inside information or information that is not publicly known may have insight into the future, but if they act on that information (think Martha Stewart) then they are at risk to future legal action. :D

 

jc

 

Well, with my limited business sense here is how I see this. Putting aside the present poor ecomonic climate (and I say that because there have been down turns before and they do not last forever) RCI is selling at a relatively low price right now considering its highs and lows over the past few years. Sure it could go lower in the near future but there is potential for plenty of future upward movement. The fact is that RCI produces a great product (cruise experience) and has, in my opinion, exceptional infrastructure (ships).

 

I don't think that cruising is going to disappear. I think RCI's exceptional ships puts it in a good position to weather the storm and in the worst case puts it in a great position for a buy-out if it ever came to that. Personally, if I ran Carnival I would be licking my chops at the chance to get my hands on a fleet of already built Voyager and Radiance class ships. Again, this is my opinion and comes from my personal infatuation with these ships.

 

Someone once told me that when picking a company to invest in think about the products that you use and what you think about those products. With the various things that I could think to complain about with RCI the fact is that I use the product and I love the product. I love the product enough to want to own a piece of it and so I do. IF I end up loosing out at least I loose out on a company that I feel pretty passionately about. But my gut feeling is that in the long run RCI is a winner. I guess time will tell.

[xpcdoojk]

Well, with my limited business sense here is how I see this. Putting aside the present poor ecomonic climate (and I say that because there have been down turns before and they do not last forever) RCI is selling at a relatively low price right now considering its highs and lows over the past few years. Sure it could go lower in the near future but there is potential for plenty of future upward movement. The fact is that RCI produces a great product (cruise experience) and has, in my opinion, exceptional infrastructure (ships).

 

I don't think that cruising is going to disappear. I think RCI's exceptional ships puts it in a good position to weather the storm and in the worst case puts it in a great position for a buy-out if it ever came to that. Personally, if I ran Carnival I would be licking my chops at the chance to get my hands on a fleet of already built Voyager and Radiance class ships. Again, this is my opinion and comes from my personal infatuation with these ships.

 

Someone once told me that when picking a company to invest in think about the products that you use and what you think about those products. With the various things that I could think to complain about with RCI the fact is that I use the product and I love the product. I love the product enough to want to own a piece of it and so I do. IF I end up loosing out at least I loose out on a company that I feel pretty passionately about. But my gut feeling is that in the long run RCI is a winner. I guess time will tell.

 

Great post, OB.

 

jc

[cruisinMike]

Well, with my limited business sense here is how I see this. Putting aside the present poor ecomonic climate (and I say that because there have been down turns before and they do not last forever) RCI is selling at a relatively low price right now considering its highs and lows over the past few years. Sure it could go lower in the near future but there is potential for plenty of future upward movement. The fact is that RCI produces a great product (cruise experience) and has, in my opinion, exceptional infrastructure (ships).

 

I don't think that cruising is going to disappear. I think RCI's exceptional ships puts it in a good position to weather the storm and in the worst case puts it in a great position for a buy-out if it ever came to that. Personally, if I ran Carnival I would be licking my chops at the chance to get my hands on a fleet of already built Voyager and Radiance class ships. Again, this is my opinion and comes from my personal infatuation with these ships.

 

Someone once told me that when picking a company to invest in think about the products that you use and what you think about those products. With the various things that I could think to complain about with RCI the fact is that I use the product and I love the product. I love the product enough to want to own a piece of it and so I do. IF I end up loosing out at least I loose out on a company that I feel pretty passionately about. But my gut feeling is that in the long run RCI is a winner. I guess time will tell.

 

Only thing I would state is be careful with passion for a company in long term investing or speculating. Too many people have fallen in "love" with a stock because of their like for a company. They have let that passion cloud judgement of when to get out and then realized too late the best they could do is hold out for a recovery. You don't have to look to far for examples of this.

 

As far as where the stock will go, your guess is as good as mine. I wouldn't be suprised at all to see it go to 20.

[Gonzo70]

Thats exactly what was said after 9-11 and alot of people made alot of money. The sky may be falling in but if you believe in a solid company with growth potential and an economic turnaround (long term), then money can be made in the travel industry.JMO, Then again it could be 1929 all over again.

 

Did you have the same thoughts when the dot com stocks got beaten down? Sometimes sectors recover, sometimes they never do, sometimes they do but it takes far too long for the investment to be worth while.

[Gonzo70]

I believe this is a temporary situation . .. and the RCI stock will rebound within 6 months. I have not heard anyone say they will stop cruising because of the fuel surchargs .. ok, so people are grumbling . . they are still booking. Cruising is still the best bargain vacation . ..

Paula

 

People will still book cruises, but they will spend less once on board and RCL will have much lower profits even if ships are at full capacity because so much of their sales is being eaten up by soaring fuel and food costs.

[Gonzo70]

I think RCI's exceptional ships puts it in a good position to weather the storm and in the worst case puts it in a great position for a buy-out if it ever came to that. Personally, if I ran Carnival I would be licking my chops at the chance to get my hands on a fleet of already built Voyager and Radiance class ships. Again, this is my opinion and comes from my personal infatuation with these ships.

 

 

Generally takeovers do not occur when the smaller company has massive debt and decreasing earnings. If one did occur it would be great for RCL stock, but horrible for cruisers as CCL would have such a giagantic percentage of the mass market cruise line (NCL would certainly fold in this scenario if they do not fold on their own without it) that CCL would have a virtual monopoly and could raise prices massively. Cruising would become quite expensive and the quality would decrease.

[cruisinMike]

People will still book cruises, but they will spend less once on board and RCL will have much lower profits even if ships are at full capacity because so much of their sales is being eaten up by soaring fuel and food costs.

 

Hello Gonzo70,

 

The risk you are pointing out is the way I see it still. Loss of discretionary spending will affect some (what percent is the question). Cruise lines are a discretionary expense. I believe that is a real risk. However, speculating on a stock is a totally different subject from investing so if someone wants to speculate on a turnaround, I say go for it as long as you have the funds to do so and are not worried for the short term.

[Ocean Boy]

Generally takeovers do not occur when the smaller company has massive debt and decreasing earnings. If one did occur it would be great for RCL stock, but horrible for cruisers as CCL would have such a giagantic percentage of the mass market cruise line (NCL would certainly fold in this scenario if they do not fold on their own without it) that CCL would have a virtual monopoly and could raise prices massively. Cruising would become quite expensive and the quality would decrease.

 

I completely agree that a take over by CCL would be good for RCI stock and devastating for cruisers. Not only would it give CCL pretty much a monopoly but I would imagin the experience aboard the former RCI ships would be very different. Though I do not personally know what it is like aboard a CCL ship I do know that I like RCI ships just the way they are.

[Ocean Boy]

Only thing I would state is be careful with passion for a company in long term investing or speculating. Too many people have fallen in "love" with a stock because of their like for a company. They have let that passion cloud judgement of when to get out and then realized too late the best they could do is hold out for a recovery. You don't have to look to far for examples of this.

 

As far as where the stock will go, your guess is as good as mine. I wouldn't be suprised at all to see it go to 20.

 

I do see your point. However, maybe what I should have said is that I am passionate about RCI's product instead of RCI itself. As long as they keep producing a product similar to what they have now I still feel that they have long term staying potential. If they product were to change the product substantially and I found it was no longer to my liking I certainly would re-evaluate whether I considered it a stock worth holding onto.