Stifel sees ‘classic sell the news day’ after Carnival’s Q2 earnings report

Stifel analyst Steven Wieczynski made no change to the firm’s Buy rating and $18 price target on Carnival following the Q earnings report. The firm thinks this will be a classic “sell the news” type of day for the shares, which have had a major run over the last month, after revenues surpassed pre-pandemic levels and management raised EBITDA guidance by $175M at the midpoint, the analyst tells investors in a research note. The firm still sees material upside to this name, but is “surprised” they moved their full-year EBITDA range so much higher. Forward booking commentary continues to be encouraging, the firm adds.