Macquarie analyst Paul Golding maintains $Carnival (CCL.US)$ with a buy rating, and sets the target price at $26.
According to TipRanks data, the analyst has a success rate of 63.2% and a total average return of 7.8% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Carnival (CCL.US)$'s main analysts recently are as follows:
Following Carnival's Q3 report, forecasts for the fiscal years 2024, 2025, and 2026 exhibit increases of 8%, 13%, and 12% respectively. Nonetheless, despite the cruise booking environment showing greater strength compared to other travel segments, and advantageous movements in fuel and currency, Carnival's model is characterized by its asset intensity and significant operating and financial leverage, rendering it more susceptible to economic downturns compared to other entities in the analyst's purview.
The company's third-quarter report and fourth-quarter guidance may not meet all the criteria, but the positive underlying demand indicators and commentary suggest that the potential for growth by 2025 remains. Despite not being the most straightforward 'beat and raise,' the period demonstrated another quarter of robust key performance indicators.
Carnival's incremental margins have been reported as surpassing expectations, and the company's ability to achieve revenue and EBITDA rates noticeably superior to those of 2019 during the second and third quarters indicates potential for enhanced overall business margins. With the company poised to leverage additional revenue over a refined cost structure, it's posited that the strength of these incremental margins is currently undervalued.
Note:
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