Carnival stock price target raised to $40 by Tigress Financial Partners

Investing.com - Tigress Financial Partners has increased its price target on Carnival Corporation (NYSE:CCL) to $40.00 from its previous target while maintaining a Buy rating on the cruise operator’s stock. According to InvestingPro data, analysts’ targets range from $26 to $43, with 18 analysts recently revising their earnings expectations upward. The stock currently trades at an attractive P/E ratio of 14.85, suggesting potential upside based on InvestingPro’s Fair Value analysis.

The research firm cited Carnival’s record-setting profitability, destination-focused strategy, and robust demand environment as key factors behind the price target increase. Tigress Financial also pointed to yield expansion, financial strengthening, and effective cost controls as elements that will continue to drive increasing shareholder value. This assessment aligns with InvestingPro’s analysis, which shows impressive revenue of $26.23 billion in the last twelve months and a strong financial health score of GREAT.

Carnival delivered record-breaking third-quarter 2025 results, driven by strong demand, yield growth, and cost discipline. The cruise line’s performance has been highlighted by record forward bookings, ongoing destination development, fleet expansion, debt reduction, and operational efficiencies. The company’s strong execution is reflected in its impressive 60.89% stock price gain over the past six months, as tracked by InvestingPro, which offers comprehensive analysis through its Pro Research Reports covering 1,400+ top stocks.

The firm noted that Carnival is pursuing growth and profitability through fleet expansion, targeted ship upgrades, and strategic land-based destination development while enhancing guest experiences. These initiatives position the company to benefit from resilient cruise demand spending and increasing penetration in the global travel market, which exceeds $2 trillion.

According to Tigress Financial, Carnival’s revenue and cash flow growth will continue to enable the funding of key growth initiatives, fleet upgrades/expansion, and debt reduction, further strengthening the company’s financial position.

In other recent news, Carnival Corporation has reported a series of significant developments. The company delivered better-than-expected third-quarter results, prompting UBS to raise its price target from $33 to $35 while maintaining a Buy rating. Fitch Ratings upgraded Carnival Corporation’s Long-Term Issuer Default Ratings to investment grade ’BBB-’ from ’BB+’, citing the refinancing of its 6.0% senior unsecured notes due 2029 as a key factor. Additionally, Carnival has priced a private offering of $1.25 billion in 5.125% senior unsecured notes due 2029, intending to use the proceeds to redeem $2.0 billion of its 6.000% senior unsecured notes, a move aimed at reducing interest expenses.

Bernstein reiterated a Market Perform rating on Carnival, maintaining a $26 price target despite the company’s strong quarterly performance and positive booking trends. Notably, 50% of Carnival’s 2026 capacity is already booked at higher prices, with 2027 bookings also starting positively. These developments reflect Carnival’s ongoing efforts to strengthen its financial position and improve future performance.

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