Latest news with #CarnivalCorp.
Yahoo
01-05-2025
- Business
- Yahoo
Prediction: Carnival Stock Will Soar Over the Next 5 Years. Here's 1 Reason Why.
Carnival is enjoying record revenue and soaring demand. It still has loads of debt it took on early in the pandemic. Lower interest rates are helping it pay down the loan faster. Carnival (NYSE: CCL)(NYSE: CUK) stock was once the prototypical value stock that beat the market and paid an attractive dividend. In a cautionary tale for investors, the company was dealt a huge blow during the pandemic, and it's still clawing its way back. Performance-wise, the company is doing amazing. Revenue has exceeded prepandemic numbers and continues to increase, and demand is incredibly strong. The stock had been reflecting that until recently, when it fell again in the tariff-induced sell-off. Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue » But there's one reason to expect Carnival stock to soar over the next five years. Carnival's revenue is at all-time highs, and profitability continues to improve. Net income adjusted for a one-time charge related to debt extinguishment was $174 million in the 2025 fiscal first quarter (ended Feb. 28), beating guidance. Demand remains extremely robust. It continues to book out on its longest-ever curve, tickets are at high prices, and onboard spending is strong. So what's been holding investors back? Carnival took on debt to remain operational when cruises were off in 2020. Five years later, the debt is still weighing on its books. Although Carnival has been paying it off incrementally and efficiently, the debt balance remains very high at $27 billion as of the end of the first quarter. But as interest rates come down, it's been able to negotiate better terms on the remainder, and in another five years, the debt should be substantially lower. It refinanced $5.5 billion in the first quarter, or about 20% of the total, resulting in annualized expense savings of $145 million. Carnival paid off $0.5 billion in debt in the first quarter alone after removing more than $3 billion in 2024. If it keeps paying debt off at that rate, in another five years, it will be close to prepandemic debt levels. If interest rates also continue to go lower, it could be in an even better financial position, which is why this stock should soar over the next five years. Before you buy stock in Carnival Corp., consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Carnival Corp. wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $598,818!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $666,416!* Now, it's worth noting Stock Advisor's total average return is 872% — a market-crushing outperformance compared to 160% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of April 28, 2025 Jennifer Saibil has no position in any of the stocks mentioned. The Motley Fool recommends Carnival Corp. The Motley Fool has a disclosure policy. Prediction: Carnival Stock Will Soar Over the Next 5 Years. Here's 1 Reason Why. was originally published by The Motley Fool Sign in to access your portfolio
Yahoo
04-03-2025
- Business
- Yahoo
Carnival is opening a private resort for cruise passengers. See what's in the works
Carnival Corp. is putting the finishing touches on, not a new ship but a new destination for cruise passengers. Beginning in July, Doral-based Carnival will send ships between PortMiami and Celebration Key, a private development in the Bahamas. Described by the cruise ship company as 'a new destination from the ground up,' Celebration Key is on the southern side of Grand Bahama island and about 17 miles northeast of Freeport. When finished, the resort will have its own pier with two berths where Carnival's largest ships can dock. In 2026, the pier at Celebration Key will add two more berths so a total of four Carnival ships can dock at the same time. The resort will feature water slides for kids, scuba diving and other sports, and excursions. And there will be restaurants and bars that passengers can reach by walking or swimming. Costing $600 million, the destination is the latest in major cruise carriers betting big time on private islands or resorts built from the ground up. The new stops give cruisers more beach time, expand group activities and bring in more money. Royal Caribbean, also based in Miami, is developing a third private space in Mexico that's expected to be ready in 2027. The company's other two private resorts are in Labadee, Haiti, and Coco Cay in the Bahamas. Norwegian Cruise Line has Great Stirrup Cay, also in the Bahamas. Carnival is so keen on Celebration Key that 20 of its 27 ships plan to sail there, including all five ships that call PortMiami home: Carnival Celebration, Carnival Horizon, Carnival Sunrise, Carnival Conquest and Carnival Magic. Ships sailing from Baltimore, New Orleans and Galveston will also head there this year. Carnival Conquest, which does three-and four-day trips to the Bahamas, will be the first PortMiami-based ship to visit Celebration Key, departing South Florida on July 18. 'Celebration Key represents a new chapter for Carnival and its construction builds on our close partnership with the Bahamas,' Christine Duffy, president of Carnival Cruise Line, said in a statement. 'Seeing it transform from vision to reality is incredible.' Duffy visited the under-construction Celebration Key in February, along with Carnival Corp. Chief Executive Officer Josh Weinstein and Chief Maritime Officer Lars Ljoen. The cruise executives joined leaders from the organization Plant a Tree and replanted about 1,000 sabal palms, a nod to the role their industry needs to play in increasing sustainability. Duffy also took part in 'the ceremonial filling of one of two expansive freshwater lagoons, the largest in the Caribbean.' These will be sustained by Celebration Key's desalination system that converts seawater into freshwater. The lagoons span over seven acres and hold about seven million gallons of water. Carnival broke ground on the project less than three years ago. About 500 Bahamian workers are on the 65-acre site around the clock to make sure the resort is ready by July. The cruises from Miami that will stop at Celebration Key range from a three-day weekend cruise on Carnival Conquest to a 13-day trip starting from Barcelona on Carnival Journeys. Carnival Celebration will offer a variety of seven-day cruises to the eastern and western Caribbean that stop at the new resort. The resort expects to have more than 30 restaurants and bars, from full-service sit-downs to self-ordering food trucks. The development is broken down into different areas. Paradise Plaza is the welcoming area. Starfish Lagoon has recreation and relaxation. Calypso Lagoon has an adult-only area with a DJ island and a large swim-up bar. Pearl Cove Beach Club is a premium adult-only space with an infinity pool and beachfront cabanas. Pearl Cove Beach Club will offer beachfront daybeds, private cabanas and Super Villas, each of which includes access to the club's open bar service, infinity pool, full-service restaurant and beachfront. Here is a rundown on the food and drinks: Calypso Lagoon ▪ Mingo's Tropical Bar & Kitchen, named after the Bahamas' national bird the flamingo, is a full-service, Carnival-run restaurant offering Bahamian favorites including fried fish and conch fritters, as well as burgers, seafood, tacos, steak and sandwiches. Mingo's bar will serve tropical frozen drinks and cocktails. ▪ Mingo's Express food truck, just outside the restaurant, has self-ordering kiosks and shaded seating, and to-go hamburgers, salads and fish sandwiches. ▪ Surf N' Sauce BBQ & Brews is a full-service dining spot serving slow-smoked meat prepared in an outdoor smoker. A full-service bar pours craft beer from Bahamian breweries. Starfish Lagoon ▪ Gill's Grill, a full-service restaurant and full bar, cooks up Caribbean seafood including seafood baskets, local fish, lobster, steamed crab and shrimp, chicken, burgers and kids' meals. ▪ Captain's Galley Food Hall features five outlets serving burgers, hot dogs, fried chicken, pizza, Mediterranean bowls, tacos and burritos. ▪ Food trucks with self-ordering kiosks offer chicken sandwiches, burgers and conch fritters. Pearl Cove Beach Club ▪ Pearl Cove Beach Club restaurant in an area for guests 18 and older. Calypso Lagoon ▪ Long Necks Bar is where you can grab one of 100 seats and order a frozen drink, beer or Bahamian cocktailwhile aDJ spins tunes. ▪ The Sunshine Swings Bar has 40 swings and offers a 'chill vibe.' ▪ The Parrotfish Swim Up Bar has seating in-water and out-of-water and serves frozen cocktails and mocktails with tropical fruit juice. Pearl Cove Beach Club ▪ An infinity pool overlooks the beach and a swim-up bar Paradise Plaza ▪ A welcome area where you can get your caffeine fix or energy boost with coffee and ice cream. You can book sailings taking place into 2027. To learn more about their sailings and make reservations, visit the Carnival website at
