Carnival (NYSE:CCL) Stock Rating Lowered by Zacks Research

Key Points

• Carnival stock was downgraded by Zacks Research from a "strong-buy" to a "hold" rating, reflecting analysts' concern over its performance.
• Despite the downgrade, several institutions including Tigress Financial and Citigroup have increased their target prices for Carnival, indicating a mix of opinions among analysts.
• The stock shows a significant market capitalization of $33.64 billion and has experienced a volatility rate with a beta of 2.70, reflecting its higher risk and potential for return.

Carnival (NYSE:CCL - Get Free Report) was downgraded by investment analysts at Zacks Research from a "strong-buy" rating to a "hold" rating in a research note issued to investors on Monday,Zacks.com reports.

CCL has been the topic of several other reports. Tigress Financial boosted their target price on Carnival from $32.00 to $38.00 and gave the stock a "buy" rating in a report on Tuesday, July 29th. Stifel Nicolaus boosted their target price on Carnival from $33.00 to $34.00 and gave the stock a "buy" rating in a report on Wednesday, June 25th. Macquarie lowered their price target on Carnival from $31.00 to $26.00 and set an "outperform" rating on the stock in a report on Friday, May 9th. Northcoast Research assumed coverage on Carnival in a report on Friday, April 25th. They set a "neutral" rating on the stock. Finally, Citigroup upped their price target on Carnival from $30.00 to $37.00 and gave the company a "buy" rating in a report on Wednesday, July 16th. Thirteen investment analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the stock. According to MarketBeat, Carnival currently has a consensus rating of "Moderate Buy" and an average price target of $30.71.

Carnival Price Performance

Shares of Carnival stock opened at $28.8190 on Monday. The company has a debt-to-equity ratio of 2.58, a current ratio of 0.34 and a quick ratio of 0.30. Carnival has a one year low of $15.07 and a one year high of $31.01. The stock has a market capitalization of $33.64 billion, a P/E ratio of 15.54, a price-to-earnings-growth ratio of 0.67 and a beta of 2.70. The business's 50 day simple moving average is $28.13 and its two-hundred day simple moving average is $23.84.

Carnival (NYSE:CCL - Get Free Report) last issued its quarterly earnings results on Tuesday, June 24th. The company reported $0.35 earnings per share for the quarter, topping the consensus estimate of $0.24 by $0.11. The company had revenue of $6.33 billion for the quarter, compared to analysts' expectations of $6.20 billion. Carnival had a return on equity of 27.88% and a net margin of 9.72%.The firm's revenue for the quarter was up 9.5% on a year-over-year basis. During the same period in the prior year, the firm earned $0.11 earnings per share. Carnival has set its FY 2025 guidance at 1.970-1.970 EPS. Q3 2025 guidance at 1.300-1.300 EPS. Analysts forecast that Carnival will post 1.77 EPS for the current year.

Insider Buying and Selling

In related news, Director Sir Jonathon Band sold 12,500 shares of the stock in a transaction that occurred on Tuesday, August 5th. The stock was sold at an average price of $29.75, for a total transaction of $371,875.00. Following the completion of the transaction, the director directly owned 64,406 shares of the company's stock, valued at approximately $1,916,078.50. This represents a 16.25% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Insiders own 7.60% of the company's stock.

Institutional Investors Weigh In On Carnival

Hedge funds and other institutional investors have recently modified their holdings of the business. N.E.W. Advisory Services LLC purchased a new stake in shares of Carnival in the first quarter worth approximately $25,000. Graybill Wealth Management LTD. purchased a new position in Carnival during the 1st quarter worth $26,000. Oliver Lagore Vanvalin Investment Group purchased a new position in Carnival during the 2nd quarter worth $28,000. Measured Risk Portfolios Inc. purchased a new position in Carnival during the 4th quarter worth $29,000. Finally, Orion Capital Management LLC purchased a new position in Carnival during the 4th quarter worth $30,000. 67.19% of the stock is currently owned by hedge funds and other institutional investors.

Carnival Company Profile

Carnival Corp. engages in the operation of cruise ships. It operates through the following business segments: North America and Australia (NAA) Cruise, Europe and Asia (EA) Cruise Operations, Cruise Support, and Tour and Others. The North America and Australia (NAA) Cruise segment includes the Carnival Cruise Line, Holland America Line, Princess Cruises, and Seabourn.

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