Wall Street analysts have expressed continued optimism for Carnival Corporation following their Q2 earnings call, with multiple firms retaining buy-equivalent ratings despite a revised full-year yield outlook.
Christopher Stathoulopoulos from Susquehanna maintained a Positive rating and increased his price target for Carnival from $30 to $33, emphasizing the company’s perspective that the current European market weakness is temporary. He noted that future bookings for 2027 are at "historic highs" regarding both price and occupancy, which indicates strong consumer confidence in planning ahead. Stathoulopoulos highlighted Carnival’s exclusive-destination portfolio, which includes Celebration Key, anticipating over 9 million guest visits in 2027. He also pointed out the Evolution modernization program at AIDA and Holland America as essential for long-term success.
Jefferies’ analyst David Katz also reiterated a Buy rating, setting a price target of $35, representing a potential upside of 22%. Katz acknowledged the scaled-down yield forecast but underscored that he views Carnival as a robust long-term investment, citing improved margins and a forecasted generation of over $9 billion in free cash flow through 2027. He noted the company has consistently beat projections on net yields, costs, EBITDA, and EPS since early 2025, suggesting that their latest forecasts may again be conservative.
William Blair’s Sharon Zackfia also maintained an Outperform rating, framing the challenges in Europe as balanced by second-quarter performance and effective cost management. At a valuation of 13 times her 2026 earnings estimate, Zackfia reported solid demand trends, despite various challenges throughout the year, and anticipates accelerating profit growth as the company moves past higher fuel costs and weaker European conditions. She projected that Carnival could achieve over 50% growth in EPS by 2029 while targeting a 16% return on invested capital, thanks to limited capacity growth focused on its top-performing brands.
As of the last report, Carnival shares were trading at $28.72.
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