Carnival Corporation (NYSE:CCL) stock rose Thursday, moving sharply against broader market weakness as the Nasdaq declined 1.31% and the S&P 500 fell 0.76%.
Positive Sentiment Follows Royal Caribbean Results
The surge in Carnival’s stock appears to reflect positive sentiment in the cruise sector following Royal Caribbean Cruises Ltd.’s (NYSE:RCL) fourth-quarter earnings report released Thursday morning. Royal Caribbean reported adjusted earnings of $2.80 per share, meeting Street expectations.
Royal Caribbean’s results showcased robust cruise industry demand, with net yield growth of 3.1% driven by net per diem growth of 2.9% and occupancy rate expansion of 20 basis points year-over-year to 107.8%. The company reported revenue of $4.259 billion for the quarter.
Management guided fiscal 2026 adjusted earnings of $17.70 to $18.10 per share, topping Street expectations of $17.66 per share. Royal Caribbean CEO Jason Liberty stated that “momentum is further accelerating into 2026,” adding that “consumers continue to prioritize our vacation experiences.”
Earnings & Analyst Outlook
Investors are looking ahead to the next earnings report on Mar. 20.
- EPS Estimate: $0.18 (Up from $0.13 YoY)
- Revenue Estimate: $6.12 billion (Up from $5.81 billion YoY)
- Valuation: P/E of 14.2x (Indicates value opportunity)
Analyst Consensus & Recent Actions: The stock carries a Buy Rating with an average price target of $34.75. Recent analyst moves include:
- Truist Securities: Hold (Raises Target to $34.00) (Jan. 22)
- TD Cowen: Buy (Raises Target to $38.00) (Jan. 13)
- UBS: Buy (Raises Target to $38.00) (Jan. 12)
Price Action
CCL Price Action: Carnival shares were up 6.96% at $30.72 at the time of publication on Thursday, according to Benzinga Pro data. Royal Caribbean shares were up 14.15% at $332.85.
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