5:17 PM · 21 July 2022

Carnival stock fell sharply on $1B stock offering

Carnival (CCL.US) shares fell nearly 12.0% on Thursday after the cruise operator announced it was selling an additional $1 billion of stock. The company said the sale would be priced at $9.95 per share and it intends to use the proceeds for "general corporate purposes, which could include addressing 2023 debt maturities." Goldman Sachs & Co. LLC is acting as sole bookrunner and underwriter for the proposed public offering.

In June, Carnival said it expects to post profit for both the Q2 and Q3, but noted it will likely post a full-year loss as surging fuel and staffing costs bite into its bottom line.

Carnival (CCL.US) stock launched today's session with a bearish price gap and if current sentiment prevails, price may test the pandemic lows at $7.77. In case of a change in sentiment, nearest resistance to watch lies at $12.85 which coincides with 78.6% Fibonacci retracement of the upward wave launched in March 2020. Source: xStation5

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