Table Of Content
On average, they anticipate the company's share price to reach $21.47 in the next year. This suggests a possible upside of 52.1% from the stock's current price. View analysts price targets for CCL or view top-rated stocks among Wall Street analysts. All thanks to positive booking trends, and stronger consumer demand for cruises. JPMorgan also raised its price target to $23 with an overweight rating. Carnival Corporation & plc is a leisure travel company operating a fleet of cruise ships, hotels, and resorts with international destinations.
Analyst's Opinion
Founded in 1993, The Motley Fool is a financial services company dedicated to making the world smarter, happier, and richer. The Motley Fool reaches millions of people every month through our premium investing solutions, free guidance and market analysis on Fool.com, top-rated podcasts, and non-profit The Motley Fool Foundation. 20 analysts have issued 12 month price objectives for Carnival Co. &'s shares.
Carnival Corporation Announces Significant Sustainability Achievements
There are currently 1 sell rating, 2 hold ratings and 17 buy ratings for the stock. The consensus among Wall Street analysts is that investors should "moderate buy" CCL shares. Carnival has been benefiting from a resurgence in demand for cruises following the effective industry shutdown during the early days of the coronavirus pandemic. But that demand isn't just coming from existing cruisers -- there's a whole new contingent of people who are experiencing cruising for the very first time.
Carnival says Baltimore bridge collapse could bring up to $10M earnings impact in 2024
Ian Cooper, a contributor to InvestorPlace.com, has been analyzing stocks and options for web-based advisories since 1999. While the stock is slightly overbought at an all-time high, it could push even higher with demand showing no signs of slowing. Reuben Gregg Brewer has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Walt Disney.
Explore the updated Options feature, providing in-depth data, and a 3D viewing option. MIAMI , April 2, 2024 /PRNewswire/ -- In recognition of the company's food waste management leadership, Jan Swartz, executive vice president of strategic operations for Carnival Corporation & plc (NYS... The world's largest cruise company's commitment to sustainability and the enchanting beauty of Mahogany Bay in Roatan, Honduras, recognized with top environmental honor MIAMI , April 4, 2024 /PRNewswi... Analyst initiates coverage of Royal Caribbean Cruises with Buy rating and price target of $164.
Is It Too Late to Buy Carnival Stock? - The Motley Fool
Is It Too Late to Buy Carnival Stock?.
Posted: Wed, 20 Mar 2024 07:00:00 GMT [source]
Royal Caribbean is similarly valued at 3 times next year's sales and 9 times its adjusted EBITDA. Booking volume in the fourth quarter was higher than the pre-pandemic 2019 level. At the end of December, it had two-thirds of its space filled at higher prices than last year. In Carnival's latest quarter, occupancy was more than 101%.
Financial Calendars
Not only is its sitting at double-bottom support dating back to late November, it’s technically over-extended on RSI, MACD, and Williams’ %R. From its current price, I’d like to see Carnival initially retest resistance at around $17.68. Simply put, with the price of a trip to someplace like Walt Disney's hugely popular Disney World on the rise, choosing a cruise is an increasingly compelling option. To put a number on that, a one-day ticket to Disney World runs around $150 per person. So a family of four would cost $600 just to walk into the park. Carnival's tremendous share-price gain last year has made it more expensive, sending its price-to-sales (P/S) ratio from about 0.8 at the end of 2022 to over 1.
Company Ownership
Carnival, for example, locked in a record $6.4 billion in customer deposits in the final quarter of 2023, up 31% since the fourth quarter of 2019. It is likely that many of the customers who have made deposits will be new-to-cruise customers. And while customers can cancel, most of the deposits the cruise line has collected will likely turn into full payment. Nevertheless, investors should still take into account Carnival's debt -- which is reflected in its higher enterprise value instead of its lower market capitalization -- when valuing its stock. With an enterprise value of $48 billion, Carnival doesn't seem expensive at 2 times next year's sales and 9 times its adjusted EBITDA.
You simply can't grow something at 50% a year for very long. Carnival also turned unprofitable in fiscal 2020 with a net loss of $2.2 billion, which widened to $9.5 billion in fiscal 2021. But as its business recovered, it narrowed its net loss to $6.1 billion in fiscal 2022 and just $26 million in the first nine months of fiscal 2023.
To be fair, Disney offers discounts for buying multi-day passes, but with rates like that, you can see why consumers are increasingly looking to cruises. An entire cruise could cost $600 (or less) per person, and includes the cruise, food, and a room. Cruise ships are also including more and more amenities, like amusement-style rides, water parks, and sports facilities, to better compete for traveler's dollars. That has helped the company increase occupancy levels, ending 2023 at 98% of the pre-COVID average. At the same time, Carnival has been adjusting its business to push customers toward more on-board spending. According to the company, 2023 unit-adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) exceeded 2019 levels.
Carnival Co. &'s stock was trading at $18.54 at the beginning of the year. Since then, CCL stock has decreased by 23.8% and is now trading at $14.12. Gain deeper insights into company revenues with a detailed analysis of revenue sources.
Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services. Bank of America is an advertising partner of The Ascent, a Motley Fool company. Lawrence Rothman, CFA has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Bank of America. Carnival offers cruises ranging from shorter voyages and more-casual experiences to a longer, luxury atmosphere, but it will undoubtedly see its results affected should the economy falter.
No comments:
Post a Comment