In a report released today, James Hardiman from Citi maintained a Buy rating on Carnival, with a price target of $37.00.
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James Hardiman has given his Buy rating due to a combination of factors that highlight Carnival’s strong performance and future potential. The discussion with Carnival’s CEO and SVP of Investor Relations revealed that the company is excelling in yield performance, with management confident in further organic growth from its brand portfolio. This optimism is reflected in the recent inclusion of Carnival on the Citi Focus List, indicating a shift in preference from other cruise operators.
Furthermore, Carnival’s strategic investments in destinations like Celebration Key are expected to enhance top-line growth, offering greater returns on capital expenditures compared to traditional new ship investments. Despite some challenges in 2025 due to tariff volatility, management is optimistic about 2026, having already achieved significant targets ahead of schedule. The company’s focus on organic growth, share repurchases, and dividends, coupled with a valuation discount compared to the S&P and premium peers, supports the Buy rating.
Based on the recent corporate insider activity of 30 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of CCL in relation to earlier this year.