Bernstein analyst Richard Clarke maintained a Hold rating on Carnival today and set a price target of $26.00.
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Richard Clarke has given his Hold rating due to a combination of factors influencing Carnival’s current market position. While the company has shown a positive stock performance in 2025, with an 11% increase, it still trails behind some of its closest competitors like RCL and VIK, which have seen more substantial gains. The cruise industry as a whole is experiencing strong demand, which benefits Carnival, but the company faces challenges with cost management and uncertainties heading into 2026.
Despite Carnival’s significant market share and diverse brand portfolio, there are concerns about its future growth prospects. The company is expected to have minimal capacity growth compared to its peers, with no new ships planned for 2026 and a growth rate of less than 2% until after 2030. Additionally, Carnival’s historical lack of innovation and upcoming expenses related to loyalty programs and private destinations contribute to a cautious outlook. These factors lead Clarke to maintain a neutral stance, opting to observe from the sidelines while other competitors present more robust growth opportunities.
In another report released on October 1, Morgan Stanley also maintained a Hold rating on the stock with a $32.00 price target.