Steven Wieczynski, an analyst from Stifel Nicolaus, reiterated the Buy rating on Carnival. The associated price target was raised to $38.00.
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Steven Wieczynski has given his Buy rating due to a combination of factors that suggest Carnival’s stock is poised for growth. He anticipates that Carnival will exceed expectations in its upcoming financial report, driven by strong demand and pricing trends. The company’s booking patterns remain robust, and there is no significant decline in customer spending onboard, which supports a positive outlook.
Furthermore, Wieczynski believes that Carnival’s shares are currently undervalued, presenting an opportunity for investors. He highlights several catalysts that could drive the stock higher, including the opening of Carnival’s private island, Celebration Key, which is expected to enhance pricing power. Additionally, the potential for Carnival to regain an investment-grade rating and the company’s strategic debt refinancing efforts are seen as positive developments. These factors, combined with the company’s conservative capacity growth strategy, underpin Wieczynski’s optimistic stance on Carnival’s future performance.
In another report released yesterday, Bank of America Securities also reiterated a Buy rating on the stock with a $38.00 price target.