Carnival (NYSE:CCL) Cut to Strong Sell at Zacks Research

Zacks Research lowered shares of Carnival (NYSE:CCL) from a hold rating to a strong sell rating in a research note issued to investors on Thursday morning,Zacks.com reports. Zacks Research also issued estimates for Carnival’s Q2 2026 earnings at $0.34 EPS, Q1 2027 earnings at $0.11 EPS and FY2027 earnings at $2.58 EPS.

Several other analysts have also recently weighed in on CCL. Wolfe Research restated an “outperform” rating on shares of Carnival in a research report on Friday, December 19th. TD Cowen reissued a “buy” rating on shares of Carnival in a research note on Tuesday, January 13th. Deutsche Bank Aktiengesellschaft boosted their price target on shares of Carnival from $33.00 to $34.00 and gave the stock a “hold” rating in a research note on Monday, December 22nd. Stifel Nicolaus lowered their target price on Carnival from $40.00 to $35.00 and set a “buy” rating for the company in a research note on Wednesday, March 11th. Finally, Citigroup lowered their target price on Carnival from $39.00 to $35.00 and set a “buy” rating for the company in a research note on Monday, March 30th. Twenty-one research analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $33.99.

Carnival Stock Performance

NYSE CCL opened at $29.21 on Thursday. Carnival has a 1 year low of $17.05 and a 1 year high of $34.03. The company has a debt-to-equity ratio of 1.82, a current ratio of 0.30 and a quick ratio of 0.26. The stock has a market capitalization of $36.19 billion, a PE ratio of 12.98, a P/E/G ratio of 1.20 and a beta of 2.48. The company’s 50 day simple moving average is $28.02 and its two-hundred day simple moving average is $28.43.

Carnival (NYSE:CCL) last posted its earnings results on Friday, March 27th. The company reported $0.20 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.18 by $0.02. The business had revenue of $6.17 billion for the quarter, compared to analysts’ expectations of $6.13 billion. Carnival had a net margin of 11.48% and a return on equity of 26.92%. The business’s revenue for the quarter was up 6.1% compared to the same quarter last year. During the same period in the prior year, the company posted $0.13 EPS. Analysts predict that Carnival will post 1.77 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, Director Sir Jonathon Band sold 11,988 shares of the business’s stock in a transaction dated Wednesday, April 1st. The shares were sold at an average price of $26.19, for a total transaction of $313,965.72. Following the sale, the director owned 52,601 shares of the company’s stock, valued at $1,377,620.19. The trade was a 18.56% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. 7.90% of the stock is owned by insiders.

Institutional Investors Weigh In On Carnival

Several hedge funds have recently bought and sold shares of the business. Vanguard Group Inc. boosted its stake in Carnival by 0.3% during the fourth quarter. Vanguard Group Inc. now owns 128,133,282 shares of the company’s stock worth $3,913,190,000 after acquiring an additional 368,445 shares in the last quarter. State Street Corp boosted its stake in Carnival by 1.5% during the fourth quarter. State Street Corp now owns 48,074,173 shares of the company’s stock worth $1,468,185,000 after acquiring an additional 704,433 shares in the last quarter. Barrow Hanley Mewhinney & Strauss LLC lifted its stake in shares of Carnival by 0.8% in the third quarter. Barrow Hanley Mewhinney & Strauss LLC now owns 36,109,629 shares of the company’s stock worth $1,043,929,000 after buying an additional 291,864 shares in the last quarter. Causeway Capital Management LLC lifted its stake in shares of Carnival by 9.6% in the third quarter. Causeway Capital Management LLC now owns 31,912,001 shares of the company’s stock worth $922,576,000 after buying an additional 2,783,927 shares in the last quarter. Finally, Geode Capital Management LLC lifted its stake in shares of Carnival by 2.4% in the fourth quarter. Geode Capital Management LLC now owns 29,450,412 shares of the company’s stock worth $896,104,000 after buying an additional 683,311 shares in the last quarter. Institutional investors own 67.19% of the company’s stock.

Key Headlines Impacting Carnival

Here are the key news stories impacting Carnival this week:

• Positive Sentiment: Energy/geopolitical relief — Iran says the Strait of Hormuz is open on a coordinated route, sending oil prices sharply lower and easing near-term fuel-cost concerns for cruise operators; that helped lift CCL shares intraday. Equities Rally Intraday, Oil Plunges After Iran Declares Hormuz Strait Open
• Positive Sentiment: Company fleet strategy — Carnival brands (notably Princess Cruises and Holland America) announced large LNG dual-fuel newbuilds and a multiyear upgrade program, signaling long-term cost efficiency (lower emissions/fuel flexibility) and growth in Asia that support the company’s multi-year earnings case. Princess Cruises LNG Fleet Expansion and Asia Push Might Change The Case For Investing In Carnival (CCL)
• Neutral Sentiment: Valuation check — Analysts and outlets are debating how the new LNG ships and refit programs change Carnival’s valuation and capex profile; that’s constructive long-term but increases near-term capital intensity and timing uncertainty. Carnival Corporation (CCL) Valuation Check After New LNG Ships And Holland America Evolution Program
• Negative Sentiment: Analyst downgrade / sell-list inclusion — Zacks added CCL to its Rank #5 (Strong Sell) list today, which can pressure sentiment and prompt short-term selling from momentum-focused investors. New Strong Sell Stocks for April 17th
• Negative Sentiment: Near-term demand and cost worries — Recent coverage flagged rising fuel costs and a softer consumer-spending outlook for travel/cruises, which previously sent shares lower and remain a headline risk if oil reverses or bookings slow. Why Carnival (CCL) Stock Is Nosediving
• Negative Sentiment: Legal/reputational risk — A high-profile verdict tied to onboard alcohol service draws negative publicity and potential liability exposure for the cruise industry; such cases can raise operating/legal costs and dent consumer perception. Carnival Cruise Line ordered to pay $300,000 for serving over a dozen shots of tequila to passenger before she fell down the stairs

About Carnival

Carnival Corporation (NYSE: CCL) is a global cruise operator that provides leisure travel services through a portfolio of passenger cruise brands. The company’s core business is operating cruise ships that offer multi-night voyages and associated vacation services, including onboard accommodations, dining, entertainment, spa and wellness offerings, casinos, youth programs, and organized shore excursions. Carnival markets cruise vacations to a broad range of consumers, from value-focused travelers to premium and luxury segments, through differentiated brand positioning and onboard experiences.

Its operating structure comprises multiple well-known cruise brands that target distinct geographic and demographic markets.