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Carnival posts record growth but cautious on debt and macro risks, rated Buy at current valuation.

Analyst Insights
27 Jul 2026
Seeking Alpha
View Source
Bullish
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Carnival has shifted from recovery to growth, achieving record revenue, net yields, EBITDA, and customer deposits. The company’s forward earnings per share (EPS) growth is supported by strong pricing, advanced bookings, monetizing own destinations, cost control, and capital returns. Trading at $26, Carnival offers attractive upside with a 2026 EPS multiple of 11.7x and EV/EBITDA of 8.2x. However, the stock remains exposed to debt levels and cyclical risks like macroeconomic shifts and fuel cost volatility. The analyst rates Carnival as a Buy, not a Strong Buy, due to these financial sensitivities despite its growth momentum.

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