Travel agencies see it as a “ welcome stopover ”

Throughout the coronavirus pandemic, travel officials have placed their hopes on a Covid-19 vaccine that would save their industry, which has suffered from the fallout from the health crisis.

Following the announcement on Monday of Pfizer’s vaccine data showing more than 90% efficacy among participants without proof of prior infection, CEOs of major cruise lines and hotel operators have applauded the breakthrough.

“TripAdvisor has long believed that travel will recover with vigor once a vaccine becomes widely available. Today’s Pfizer news is a welcome step in the right direction,” said Steve Kaufer, CEO of TripAdvisor, in an email.

TripAdvisor shares jumped 21.67%.

Travel officials hope that an effective vaccine will speed up the timeline of when travelers feel comfortable leaving.

While questions remain about the procurement and distribution of a vaccine, Pfizer’s data was enough to fuel stocks linked to trips to the top of the S&P 500.

“This is a very positive development for the world and, of course, for our company and our brands, as well as for the cruise industry. It is too early at this point to determine the impact this could have. have on conditional sail order in the United States, if applicable, ”Carnival wrote in an email to CNBC.

Its shares soared nearly 40% on Monday, the best day of Carnival as a public company. It went public in 1987.

Richard Fain, CEO of Royal Caribbean, has often called a vaccine the “ultimate weapon” in the fight against Covid-19. Royal Caribbean climbed nearly 29% on its best day since March.

In the meantime, cruise operators are working around the clock, setting up test facilities for all crews, and performing travel simulations with their new Covid protocols. Once the CDC deems the security protocols adequate, it will give the green light. Carnival, Royal Caribbean, and Norwegian Cruise Line have suspended U.S. shipping for the remainder of 2020.

Norwegian Cruise Line is releasing quarterly results after Monday’s bell, where shareholders will want to know if a January 2021 start date is feasible.

Analysts are also wondering if a new administration under the leadership of President-elect Joe Biden will result in different protocols for the cruise industry. The industry received backing from Vice President Mike Pence, who reportedly overturned the CDC’s decision to extend its cruise ban until February 2021. The CDC lifted its sailing ban order at the end of the month. ‘October and issued a framework for a conditional navigation order.

Truist Securities chief executive Patrick Scholes said he believed a Biden administration “will be more likely to follow the CDC’s health recommendations.”

Hoteliers were also part of the market rally on Monday, with Marriott on track for its best day since March.

Online travel giant Expedia is up 20%, in line with its largest percentage increase since 2012. It closed up 24.6% to a new 52-week high.

Investors are optimistic that access to a vaccine will boost travelers’ confidence and lead to higher bookings next year. Ahead of the Pfizer vaccine news, Marriott CEO Arne Sorenson during the company’s earnings call last Friday said, “We will start to see significantly more bookings when these vaccines start to go into effect.

Booking Holdings CEO Glenn Fogel told CNBC’s “Closing Bell” that he was optimistic about the implications of the positive results from Pfizer and its German partner BioNTech. However, he warned that the travel industry still has a “long, long way to go” before it returns to pre-pandemic levels.

“There’s a lot of uncertainty out there, and I’m not going to change what we said last week. It’s going to take time,” Fogel said. “We believe it will take years, not quarters, to recover” to 2019 levels.

Shares of Booking Holdings, which owns brands such as Booking.com and Priceline.com, closed up more than 18% on Monday.

– CNBC Kevin Stankiewicz contributed to this report.