Carnival Corp

CCL

Market cap $39.6B

Carnival Corporation remains a buy, as its investment case shifts from demand recovery to pricing power and capital returns. CCL's strong net yield growth, high occupancy, and exclusive destinations like Celebration Key underpin robust forward pricing and margin expansion. Unifying the dual-listed structure is a visible catalyst, likely improving index inclusion, liquidity, and cost structure, supporting a valuation re-rating.

Cruise demand is gaining steam, with RCL, CCL and NCLH seeing strong bookings, pricing power and investments that could support growth into 2026.

Carnival achieves a ROIC above 13%, a 19-year high, as pricing gains, cost discipline and debt reduction enhance margins and signal a stronger profit cycle ahead.

Carnival Corporation (CCL) is reiterated as a Buy upon a slight dip, supported by the much-needed return to investment-grade leverage, the reinstated dividends, and the robust FY2026 guidance. Its balance sheet health has improved notably, with the strong FCF generation well covering the future fleet renewals, the deleveraging target of below 3x, and the opportunistic share repurchases. Promising FY2026 guidance includes net yield growth of +2.5% YoY, adj EBITDA of $7.63B, and adj EPS of $2.48, aided by the robust booking trends at higher prices.

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SEATTLE, Jan. 8, 2026 /PRNewswire/ -- Holland America Line is experiencing a surge in demand for European cruises, with bookings for its 2026 season up more than a third compared to this time last year. The rise is especially notable in the cruise line's Northern Europe voyages, an increase of nearly 50% year over year, as travelers seek out the region's dramatic natural beauty and easy‑to‑explore cities.

Carnival is the cruise industry leader and sells at a lower P/E than its peers. Viking has upended this industry after a recent initial public offering and a different approach to cruising.

CCL trades at a valuation discount even after a 35% rally, backed by record bookings, margin gains and balance-sheet repair, but rising costs loom.

Carnival shows stronger revenue flow-through as operating income per berth day reaches its highest level in nearly two decades, boosting margin performance.

This selection of stocks offers interesting buys throughout industries -- from tech to healthcare. Many of these players are trading at bargain levels.