Royal Caribbean (RCL) Stock Down, Brussels Attacks Pressure Travel Sector

NEW YORK (TheStreet) — Royal Caribbean Cruises (RCL – Get Report) stock is falling 2.94% to $75.93 in afternoon trading on Tuesday after terrorist attacks in an airport and a metro train earlier today in Brussels dragged down travel-related stocks.

Shares of Carnival Corp. (CCL) and Norwegian Cruise Line Holdings (NCLH) are also down more than 2% this afternoon.

Overall, equity markets are faring better than the travel sector after the attacks in the Belgium city where the European Union’s main offices are located.

“The market may be getting desensitized to this kind of violence,” Raymond James chief economist Scott Brown told Reuters.

Previous incidents show that the market effects from a terrorist attack subside within 10 days following the occurrence, according to PNC Investment research, Reuters added.

Miami-based Royal Caribbean Cruises is a cruise line company operating about 43 ships around the world.

Separately, Royal Caribbean has a “buy” rating and a letter grade of B at TheStreet Ratings because of the company’s increase in net income, revenue growth, reasonable valuation levels, good cash flow from operations and expanding profit margins.

You can view the full analysis from the report here: RCL

TheStreet Ratings objectively rated this stock according to its “risk-adjusted” total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer’s view or that of this article’s author.