Carnival (NYSE:CCL) Shares Gap Down – Should You Sell?

Carnival Corporation (NYSE:CCL) gapped down before the market opened on Monday . The stock had previously closed at $31.55, but opened at $28.85. Carnival shares last traded at $28.9110, with a volume of 10,183,445 shares.

Analyst Ratings Changes

Several equities research analysts recently weighed in on CCL shares. Argus reaffirmed a “buy” rating and issued a $35.00 price objective on shares of Carnival in a report on Monday, December 22nd. The Goldman Sachs Group reaffirmed a “buy” rating and issued a $34.00 price objective on shares of Carnival in a research note on Monday, December 22nd. Sanford C. Bernstein boosted their price target on shares of Carnival from $26.00 to $33.00 and gave the company a “market perform” rating in a report on Tuesday, January 6th. Jefferies Financial Group upped their price target on shares of Carnival from $34.00 to $37.00 and gave the stock a “buy” rating in a research note on Monday, December 15th. Finally, Citigroup lifted their price objective on Carnival from $36.00 to $39.00 and gave the company a “buy” rating in a research report on Monday, December 22nd. One equities research analyst has rated the stock with a Strong Buy rating, nineteen have assigned a Buy rating and eight have assigned a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $35.00.

Carnival Stock Down 6.6%

The company has a quick ratio of 0.28, a current ratio of 0.32 and a debt-to-equity ratio of 1.96. The business has a 50-day simple moving average of $31.10 and a 200-day simple moving average of $29.57. The stock has a market cap of $36.42 billion, a P/E ratio of 14.72, a PEG ratio of 1.15 and a beta of 2.42.

Carnival (NYSE:CCL) last posted its quarterly earnings data on Friday, December 19th. The company reported $0.34 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.25 by $0.09. The business had revenue of $6.33 billion during the quarter, compared to the consensus estimate of $6.38 billion. Carnival had a net margin of 10.37% and a return on equity of 28.39%. Carnival’s quarterly revenue was up 6.6% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.14 EPS. Carnival has set its Q1 2026 guidance at 0.170-0.170 EPS and its FY 2026 guidance at 2.480-2.48 EPS. Analysts expect that Carnival Corporation will post 1.77 EPS for the current year.

Carnival Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, February 27th. Investors of record on Friday, February 13th were given a dividend of $0.15 per share. This represents a $0.60 annualized dividend and a dividend yield of 2.0%. The ex-dividend date of this dividend was Friday, February 13th. Carnival’s payout ratio is currently 30.00%.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the business. Mishpacha Holdings Corp bought a new position in Carnival during the fourth quarter worth $8,071,000. River Road Asset Management LLC boosted its holdings in Carnival by 27.4% in the 4th quarter. River Road Asset Management LLC now owns 468,595 shares of the company’s stock valued at $14,311,000 after purchasing an additional 100,665 shares during the period. Pacer Advisors Inc. increased its holdings in shares of Carnival by 2,432.8% during the 4th quarter. Pacer Advisors Inc. now owns 6,689,954 shares of the company’s stock worth $204,311,000 after purchasing an additional 6,425,822 shares during the period. Kera Capital Partners Inc. increased its holdings in shares of Carnival by 83.7% during the 4th quarter. Kera Capital Partners Inc. now owns 24,632 shares of the company’s stock worth $739,000 after purchasing an additional 11,222 shares during the period. Finally, MV Capital Management Inc. acquired a new position in shares of Carnival during the fourth quarter valued at about $37,000. 67.19% of the stock is currently owned by institutional investors and hedge funds.

Carnival Company Profile

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.