Today we are watching…
1. Carnival (#cuk)
This cruise line operator is on its knees. The company has zero revenue coming in, but millions in fixed expenses are still going out. Carnival was excluded from the majority government aid due to complications about where it is domiciled outside, so it’s going to have to save itself. A massive $6 billion bond sale has commenced. If investors lend the company $6 billion in a high-risk move (Carnival may still go under, and we lose everything), there’s an outside chance of saving the stock. The firm is also issuing even more shares. Desperate times call for desperate measures!
2. AT&T (#att)
If you believe coronavirus is some kind of Armageddon event that will permanently scar humanity and change how we live forever– then you should not be buying anything beyond canned soup and guns. Get ready for the seismic change in consumer behavior that AT&T boss John Stankey says is coming, too. “Certainly, connectivity has gotten no less important going through this dynamic,” he said. “If anything, the networked world, and the versatility of it, has demonstrated just how strong and powerful an engine it can be to maintaining some degree of normalcy.”