3 Stocks to Avoid This Week

Last week, I wrote an article about three stocks to avoid. I predicted that Walgreens Boots Alliance and Norwegian Cruise Line (NYSE :NCLH) would be in trouble for a few days.Norwegian Cruise Line lost nearly 7% in the last week. The cruising industry has had a difficult start.Walgreens Boots Alliance lost 8% This drugstore chain, just like its competitor, fell after publishing disappointing guidance a week before.Osprey Bitcoin Trust has risen almost 9%. Although the crypto market is recovering, the premium for this fund has risen to 36% of its net assets. This market is available in a variety of cheaper ways.Average weekly declines of 2% were recorded by the three stocks. The S&P 500 gained 1.7%, so I was again victorious. In the short term, I consider DiDi Global (NYSE :DIDI), Norwegian Cruise Line (NYSE :CCL), and Carnival (NYSE :CCL) to be vulnerable investments. These are the stocks I recommend you avoid this week.1. DiDiChina's top ride-hailing platform has had a wild ride. On Wednesday, DiDi was listed at $14 and it was a big debut. The stock opened at $16.65, and climbed to $18 before losing almost all its intraday gains. DiDi shares rose 16% on Thursday and then fell to $18 on Friday due to reports that Chinese regulators had begun a cybersecurity review. Friday's trading saw the suspension of registration for new users. App stores were directed to close the app until DiDi rectifies the way it collects personal data.Although the app store outage is expected to be temporary, it's something IPO investors should be concerned about. It was uncertain when DiDi would list. Revenue declined by 8% last year. While the pandemic clearly affected car-sharing services in some way, DiDi's revenue rose just 14% in 2019. While the long-term benefits of ridesharing in the most populous country in the world are undeniable, there may be some bumps in the road.2. Norwegian Cruise LineThe cruise industry was expecting this summer to be a welcome back party, but it hasn't been as smooth as expected. Some COVID-19 cases have been well-publicized on initial industry sailings. The global case count for the Delta variant has increased over the past two weeks.The most vulnerable of all three major cruise lines to any disruptions is the smallest. Pre-pandemic enterprise value cruise line stocks have been discounted so that a recovery can be realized before it has been earned. Although I don't like picking stocks again after a loss, I see more downside here than upside.3. CarnivalCarnival shares fell 7% last week to match NCL's slide of 7%, but the top-rated cruise line in the world is still vulnerable. Carnival is a global juggernaut that makes it vulnerable to the slow recovery from the pandemics in key international markets. The company's announcement last week that it was selling more stock caused the share price to drop.This trend is also not normal. In each quarter, Carnival has reported a larger than expected deficit. Analysts keep increasing their estimates of the deficit the cruising bellwether will report in 2021. Carnival must be able to have its fleet sail safely in the next months. This will only make it possible for Carnival to return profitability next year. Carnival's enterprise value valuation is still roughly the same as it was 16 months ago, before the pandemic.You won't find safe stocks in DiDi or Norwegian Cruise Line this week.