Carnival Corporation & plcCCL
NYSE • Consumer Cyclical
$27.98
P/E
11.91
PEG
—
FCF Yield
—
Rev Growth YoY
-2.6% YoY
Gross Margin
36.1%
Health Score
5/10
D/E Ratio
2.28
Confidence
LOW
Business Snapshot
Carnival Corporation & plc is the world's largest cruise company, operating a portfolio of globally recognised brands including Carnival Cruise Line, Royal Caribbean's direct rival Princess Cruises, Holland America, and Costa, among others. The company generates revenue primarily from passenger ticket sales and onboard spending across its fleet of over 90 ships serving millions of passengers annually. Based on a current price of $27.98 and TTM revenue of $26.98B, CCL operates squarely in large-cap territory by revenue scale, though market capitalisation data is not available in this payload.
Financial Health
**Score: 5/10** CCL presents a genuinely contradictory financial picture. On the positive side, gross margin has improved markedly to 36.1% from 26.7% the prior year — a 9.4 percentage point expansion — and free cash flow stands at a healthy $2.61B, demonstrating the business's ability to generate real cash...
Risk Assessment
- **DEBT:** Debt-to-equity of 2.28x indicates a highly leveraged balance sheet, amplifying downside risk if revenue softens further or interest rates remain elevated. - **LIQUIDITY:** Current ratio of 0.32x is well below the standard threshold of 1.0x, meaning short-term liabilities significantly exceed liquid assets. - **EARNINGS DECLINE:** Earnings growth has contracted 38.9% on a TTM basis, even as the company continues to beat (lowered) quarterly estimates. - **DCF VALUATION:** A high-confidence DCF model produces a fair value of -$331.46, implying the market price of $27.98 reflects significant optimism about long-term cash generation that the model does not support. - **TECHNICALS:** The stock is trading below both its 50-day and 200-day moving averages with a confirmed death cross, and sits 17.8% below its 52-week high of $34.03. ---...