Nomura adjusts estimates on cruise line stocks slightly to factor in the impact of Hurricane Dorian.
"We expect the impact of cancelled cruises beginning this weekend and lasting for several days this week will be in the neighborhood of $0.05/share," writes analyst Harry Curtis.
"Since consumer demand remains strong, though, we are not lowering our target prices, which are driven to a large extent by earnings power in 2020E," he adds.
Curtis and team recommend snapping up Buy-rated Norwegian Cruise Line Holdings (NCLH -1.6%) and Royal Caribbean (RCL -2.2%) on any weakness in the coming days. The firm has a Neutral rating on Carnival (CCL -1.7%).
Subscribe for full text news in your inbox