Carnival (CCL) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
CCL is likely to continue reporting robust performance metrics ahead, thanks to the raised FY2024 guidance and promising FY2025 commentary. The same has been observed in its travel/cruising peers and the Cruise Lines International Association, with the ocean-going cruise passengers to grow at a CAGR of +5.59% through 2028. Thanks to the 50 basis point rate cut, a lower borrowing cost is likely to trigger the improvement in market and consumer sentiments/ spending trends.
Home Depot will benefit from a housing recovery. Carnival will reduce its interest expense.
Carnival has more than doubled since the start of last year, but it's still trading for less than 12 times forward earnings. The leading cruise line reports fresh financials in less than two weeks, and momentum is on its side.
Carnival is still dealing with exceptional demand, and interest rate cuts could send it even higher. It's managing its debt effectively, but a change in demand could pose a risk to its plans.
Cruises have been taking share from other forms of travel, and that will benefit Carnival investors. Roku's double-digit growth in streaming households is pointing to substantial upside for the stock.
The latest trading day saw Carnival (CCL) settling at $16.14, representing a +0.69% change from its previous close.
When deciding whether to buy, sell, or hold a stock, investors often rely on analyst recommendations. Media reports about rating changes by these brokerage-firm-employed (or sell-side) analysts often influence a stock's price, but are they really important?
The cruise industry was arguably the worst-hit during the pandemic.
Carnival will report results for its seasonally strongest period later this month. The cruise line operator has trounced bottom-line targets since returning to normal operations two years ago.
Carnival and Norweigan are generating record revenue. Each has debt issues weighing heavily on their business.
Carnival is benefiting from strong demand for cruise travel. Its business benefits from sizable barriers to entry.