Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH) shares are seeing a significant uptick Tuesday, driven by sector-wide optimism following Carnival Corporation's (NYSE:CCL) robust earnings report for the second quarter.
What's Going On: Carnival, a major player in the cruise industry, reported loss earnings per share of 11 cents surpassing expectations of loss of 2 cents per share. Moreover, Carnival's revenue of $5.781 billion exceeded the estimated $5.675 billion.
Why It Matters: The positive earnings surprise from Carnival has had a ripple effect across the cruise sector. The positive sentiment is bolstered by increasing vaccination rates globally and the gradual easing of travel restrictions, which are contributing to a resurgence in leisure travel and cruise bookings
Looking ahead: There is continued progress in vaccination efforts and the ongoing reopening of key travel markets are expected to support further recovery in cruise industry stocks.
NCLH Price Action: Norwegian Cruise Line shares were up by 4.63% at $18.21 according to Benzinga Pro.
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