Carnival (CCL) AI Stock Analysis

• Market Cap: £25.09B
• Dividend Yield: N/A
• Average Volume (3M): 529.29K
• Price to Earnings (P/E): 12.6
• Beta (1Y): 1.45
• Revenue Growth: 3.55%
• EPS Growth: 56.77%
• Country: UK
• Employees: 115,000
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Leisure
• EPS (TTM): 1.07
• Shares Outstanding: 188,483,860
• 10 Day Avg. Volume: 443,079
• 30 Day Avg. Volume: 529,293
• PEG Ratio: >-0.01
• Price to Book (P/B): 3.16
• Price to Sales (P/S): 1.17
• P/FCF Ratio: 22.51
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: £2,600.00
• Price Target Upside: 43.37% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 74 Outperform
• Price Target: 2,012.00p ▲(10.95% Upside)

Carnival Corporation's strong financial recovery and record-breaking earnings performance are the most significant factors driving the stock score. While technical indicators suggest some caution, the company's strategic initiatives and cost discipline provide a positive outlook. The reasonable valuation further supports the stock's potential, despite the absence of a dividend yield.

Positive Factors

Revenue Growth

Consistent revenue growth and improving margins indicate strong market demand and effective cost management, supporting long-term profitability.

Operational Execution

Effective cost management enhances profitability and competitiveness, providing a buffer against economic fluctuations and supporting sustainable growth.

Debt Reduction

Reducing and refinancing debt improves financial flexibility and lowers risk, positioning the company for future investment and growth opportunities.

Negative Factors

High Leverage

High leverage can strain cash flow and limit financial flexibility, potentially impacting the company's ability to invest in growth and weather economic downturns.

Increased Interest Expenses

Rising interest expenses can erode profitability and limit financial resources available for strategic initiatives, impacting long-term financial health.

Expected Cost Increases

Anticipated cost increases could pressure margins and reduce profitability, challenging the company's ability to maintain competitive pricing and invest in growth.

Carnival Business Overview & Revenue Model

Company Description

Carnival Corporation & plc operates as a leisure travel company. Its ships visit approximately 700 ports under the Carnival Cruise Line, Princess Cruises, Holland America Line, P&O Cruises (Australia), Seabourn, Costa Cruises, AIDA Cruises, P&O Cruises (UK), and Cunard brand names. The company also provides port destinations and other services, as well as owns and owns and operates hotels, lodges, glass-domed railcars, and motor coaches. It sells its cruises primarily through travel agents, tour operators, vacation planners, and websites. The company operates in the United States, Canada, Continental Europe, the United Kingdom, Australia, New Zealand, Asia, and internationally. It operates 87 ships with 223,000 lower berths. Carnival Corporation & plc was founded in 1972 and is headquartered in Miami, Florida.

How the Company Makes Money

Carnival generates revenue primarily through the sale of cruise tickets and onboard services. The key revenue streams include ticket sales, which account for a significant portion of income, as well as onboard spending from guests on services such as dining, excursions, spa treatments, and retail purchases. Additionally, Carnival earns money through ancillary services like travel insurance and pre-cruise hotel packages. The company also benefits from partnerships with travel agencies, airlines, and other service providers that help to promote its offerings. Seasonal demand and the ability to effectively manage operating costs are crucial factors influencing its profitability.

Carnival Financial Statement Overview

Summary

Carnival has shown a strong recovery with improving revenue, profitability, and cash flow. However, high leverage remains a concern despite efficient equity use and strong cash generation.

Income Statement

Carnival's income statement shows a strong recovery with a TTM revenue growth rate of 2.15% and improving margins. The gross profit margin stands at 39.49%, and the net profit margin is 10.07%, indicating solid profitability. The EBIT and EBITDA margins are also healthy at 15.53% and 25.90%, respectively. The company has shown consistent revenue growth over the past few years, rebounding from significant losses in 2020 and 2021.

Balance Sheet

The balance sheet reflects a high debt-to-equity ratio of 2.34, which poses a risk due to significant leverage. However, the return on equity is strong at 26.18%, indicating efficient use of equity to generate profits. The equity ratio is moderate, suggesting a balanced asset structure. While the company has improved its financial position, the high debt levels remain a concern.

Cash Flow

Carnival's cash flow statement shows a robust free cash flow growth rate of 41.36% in the TTM period, highlighting improved cash generation. The operating cash flow to net income ratio is 0.49, and the free cash flow to net income ratio is 0.52, indicating a healthy conversion of income to cash. Despite past challenges, the company has strengthened its cash flow position significantly.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	26.23B	25.02B	21.59B	12.17B	1.91B	5.59B
Gross Profit	8.30B	9.38B	7.28B	412.00M	-2.75B	-2.65B
EBITDA	6.10B	6.23B	4.37B	-2.20B	-5.69B	-7.12B
Net Income	2.64B	1.92B	-74.00M	-6.09B	-9.50B	-10.24B
Balance Sheet
Total Assets	50.83B	48.28B	49.12B	51.70B	53.34B	53.59B
Cash, Cash Equivalents and Short-Term Investments	1.76B	1.21B	2.42B	4.03B	9.14B	9.51B
Total Debt	27.86B	28.88B	31.89B	35.88B	34.61B	28.38B
Total Liabilities	38.90B	39.03B	42.24B	44.64B	41.20B	33.04B
Stockholders Equity	11.93B	9.25B	6.88B	7.06B	12.14B	20.55B
Cash Flow
Free Cash Flow	2.91B	1.30B	997.00M	-6.61B	-7.72B	-9.92B
Operating Cash Flow	5.61B	5.92B	4.28B	-1.67B	-4.11B	-6.30B
Investing Cash Flow	-2.39B	-4.54B	-2.81B	-4.77B	-3.54B	-3.24B
Financing Cash Flow	-2.99B	-2.58B	-5.09B	3.58B	6.95B	18.65B

Carnival Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1813.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:CCL, the sentiment is Negative. The current price of 1813.5 is below the 20-day moving average (MA) of 1834.75, below the 50-day MA of 1922.49, and above the 200-day MA of 1754.88, indicating a neutral trend. The MACD of -34.29 indicates Negative momentum. The RSI at 43.12 is Neutral, neither overbought nor oversold. The STOCH value of 64.63 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:CCL.

Carnival Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CCL	74 Outperform	£25.09B	12.65	25.66%	―	3.55%	56.77%
JET2	73 Outperform	$2.68B	6.19	23.98%	1.22%	7.17%	-2.22%
IHG	72 Outperform	£14.07B	25.26	―	1.29%	5.55%	19.27%
JD	71 Outperform	£4.30B	8.68	19.64%	1.29%	14.60%	58.84%
TW	65 Neutral	£3.71B	43.71	1.97%	9.09%	4.21%	-65.57%
WTB	63 Neutral	£4.79B	19.58	7.52%	3.90%	-2.12%	8.95%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%

Carnival Corporate Events

Carnival Corporation Reports Strong Q3 2025 Financial Results

Carnival Corporation & plc has released its quarterly financial results for the third quarter of 2025, highlighting an increase in total revenues and net income compared to the previous year. The company reported total revenues of $8.153 billion for the three months ended August 31, 2025, up from $7.896 billion in the same period in 2024, and a net income of $1.852 billion, an increase from $1.735 billion. This financial performance underscores Carnival’s strong recovery and growth in the cruise industry, reflecting improved passenger ticket sales and onboard revenues. The results are expected to positively impact the company’s market position and provide confidence to stakeholders about its financial health and operational resilience.

The most recent analyst rating on (GB:CCL) stock is a Buy with a £2254.00 price target. To see the full list of analyst forecasts on Carnival stock, see the GB:CCL Stock Forecast page.

Carnival Corporation to Discuss Q3 Earnings in Upcoming Call

Carnival Corporation & plc announced a scheduled conference call with analysts on September 29, 2025, to discuss their third-quarter financial results. This event reflects the company’s commitment to transparency and engagement with stakeholders, potentially impacting its market position and investor relations.

The most recent analyst rating on (GB:CCL) stock is a Buy with a £2254.00 price target. To see the full list of analyst forecasts on Carnival stock, see the GB:CCL Stock Forecast page.

Carnival plc Updates Voting Rights and Capital Structure

Carnival plc, a major player in the cruise industry, announced updates regarding its voting rights and capital structure. As of August 31, 2025, the company has 217,411,094 issued ordinary shares, with 145,607,591 shares carrying voting rights. This information is crucial for shareholders and stakeholders to determine their notification obligations under the FCA’s Disclosure and Transparency Rules.

The most recent analyst rating on (GB:CCL) stock is a Buy with a £2254.00 price target. To see the full list of analyst forecasts on Carnival stock, see the GB:CCL Stock Forecast page.

Carnival Corporation Announces Redemption of Unsecured Notes

Carnival Corporation & plc announced the redemption of its remaining outstanding principal amount of 5.750% unsecured notes due 2027, which is set to occur on August 29, 2025. This financial maneuver is part of the company’s ongoing efforts to manage its debt, potentially impacting its financial stability and market positioning.

The most recent analyst rating on (GB:CCL) stock is a Buy with a £2254.00 price target. To see the full list of analyst forecasts on Carnival stock, see the GB:CCL Stock Forecast page.

Carnival plc Updates on Voting Rights and Capital Structure

Carnival plc has announced its current voting rights and capital structure, revealing a total of 145,606,861 voting rights as of July 31, 2025. This information is crucial for shareholders and those with notification obligations under the FCA’s Disclosure and Transparency Rules, as it affects how they calculate their interests in the company.

The most recent analyst rating on (GB:CCL) stock is a Hold with a £1650.00 price target. To see the full list of analyst forecasts on Carnival stock, see the GB:CCL Stock Forecast page.

Carnival Corporation Director Sells Shares in Routine Transaction

Carnival Corporation & plc announced a transaction involving the sale of 12,500 shares of common stock by Director Sir Jonathon Band at a price of $29.7530 per share on the NYSE. This transaction is part of the company’s routine financial operations and may influence investor perceptions regarding the company’s stock performance.

The most recent analyst rating on (GB:CCL) stock is a Hold with a £1650.00 price target. To see the full list of analyst forecasts on Carnival stock, see the GB:CCL Stock Forecast page.