Carnival (NYSE:CCL) Upgraded at TD Cowen

Key Points

• TD Cowen upgraded Carnival to “strong buy,” adding to broadly positive analyst sentiment. The stock has a consensus “moderate buy” rating and an average price target of $35.08.
• Carnival reported quarterly EPS of $0.41, beating estimates of $0.34, while revenue reached $6.66 billion and increased 5.3% year over year.
• Despite encouraging demand and bookings, higher crude oil prices, elevated interest rates, and concerns about European demand are pressuring sentiment and could weigh on margins for the highly leveraged company.

Carnival (NYSE:CCL - Get Free Report) was upgraded by stock analysts at TD Cowen to a "strong-buy" rating in a research note issued to investors on Tuesday, Zacks reports.

Other research analysts have also recently issued research reports about the stock. Truist Financial lifted their price target on shares of Carnival from $29.00 to $31.00 and gave the stock a "hold" rating in a research note on Thursday, July 23rd. Susquehanna upped their price objective on Carnival from $30.00 to $33.00 and gave the stock a "positive" rating in a research note on Wednesday, June 24th. Stifel Nicolaus lifted their target price on Carnival from $35.00 to $36.00 and gave the company a "buy" rating in a research report on Friday, June 12th. Weiss Ratings raised Carnival from a "hold (c+)" rating to a "buy (b-)" rating in a report on Thursday, August 27th. Finally, BMO Capital Markets assumed coverage on Carnival in a research report on Tuesday, July 7th. They issued a "market perform" rating and a $30.00 price target for the company. Two analysts have rated the stock with a Strong Buy rating, twenty have assigned a Buy rating and five have given a Hold rating to the company's stock. According to MarketBeat, Carnival presently has a consensus rating of "Moderate Buy" and a consensus price target of $35.08.

Carnival Stock Performance

CCL stock opened at $22.44 on Tuesday. The company has a market cap of $30.73 billion, a P/E ratio of 10.11, a price-to-earnings-growth ratio of 0.98 and a beta of 2.31. Carnival has a 1 year low of $22.28 and a 1 year high of $34.03. The company has a debt-to-equity ratio of 1.80, a current ratio of 0.33 and a quick ratio of 0.29. The stock's fifty day moving average price is $26.36 and its 200-day moving average price is $26.91.

Carnival (NYSE:CCL - Get Free Report) last posted its quarterly earnings data on Tuesday, June 23rd. The company reported $0.41 EPS for the quarter, beating analysts' consensus estimates of $0.34 by $0.07. The company had revenue of $6.66 billion during the quarter, compared to analysts' expectations of $6.69 billion. Carnival had a return on equity of 26.11% and a net margin of 11.24%.Carnival's revenue for the quarter was up 5.3% compared to the same quarter last year. During the same quarter in the prior year, the business earned $0.35 earnings per share. Carnival has set its FY 2026 guidance at 2.220-2.220 EPS and its Q3 2026 guidance at 1.350-1.350 EPS. On average, equities analysts forecast that Carnival will post 2.22 earnings per share for the current year.

Hedge Funds Weigh In On Carnival

Several institutional investors have recently bought and sold shares of CCL. Manning & Napier Advisors LLC bought a new position in shares of Carnival during the 2nd quarter valued at about $25,000. Measured Wealth Private Client Group LLC purchased a new stake in shares of Carnival in the third quarter worth about $25,000. Lloyd Advisory Services LLC. purchased a new stake in shares of Carnival in the fourth quarter worth about $26,000. Basecamp Wealth Advisors LLC boosted its stake in Carnival by 107.8% during the first quarter. Basecamp Wealth Advisors LLC now owns 1,045 shares of the company's stock valued at $27,000 after buying an additional 542 shares during the last quarter. Finally, Axiom Investment Management LLC bought a new position in Carnival during the second quarter valued at approximately $29,000. 67.19% of the stock is owned by hedge funds and other institutional investors.

More Carnival News

Here are the key news stories impacting Carnival this week:

• Positive Sentiment: Demand indicators remain encouraging: Strong guest demand prompted Holland America Line to complete the Oosterdam’s Evolution renovation five weeks early, adding cruises aboard the reimagined ship. Reservations also opened for the new Carnival Tropicale, scheduled to sail from Galveston in 2028. Holland America renovation article Carnival Tropicale reservations article
• Positive Sentiment: Analyst support and bookings provide a counterweight: Citi maintained its Buy rating, while strong 2027 bookings and expected cost savings were cited as reasons for a constructive long-term outlook despite recent weakness. Citi Carnival rating article Zacks Carnival outlook article
• Neutral Sentiment: Options activity signals uncertainty rather than a clear direction: A reported $2.2 million long straddle on Carnival suggests an institutional investor is positioning for a sizable move in either direction, likely reflecting elevated volatility. Carnival unusual options activity article
• Negative Sentiment: Crude oil is the main near-term pressure: Surging global oil prices are undermining expectations for fuel-cost relief and could compress Carnival’s margins. The broader cruise group, including Norwegian and Royal Caribbean, has also faced selling pressure from the same concern. Benzinga Carnival stock article
• Negative Sentiment: Interest rates and demand concerns are weighing on sentiment: Elevated rate expectations increase financing pressure for a highly leveraged company, while concerns about European demand add to the market’s caution. The stock has declined roughly 20% over the past month, leaving investors focused on whether the pullback reflects a buying opportunity or worsening fundamentals. Carnival monthly decline article

About Carnival

Carnival Corporation & plc is a global leisure travel company that operates cruise lines and related vacation businesses. Its cruise brands serve travelers in North America, Europe, Australia, and other international markets, offering ocean voyages to destinations throughout the Caribbean, Europe, Alaska, Asia, Australia, and other regions.

The company's brand portfolio includes Carnival Cruise Line, Princess Cruises, Holland America Line, Seabourn, Cunard, Costa Cruises, AIDA Cruises, P&O Cruises, and P&O Cruises Australia.

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