Down 11%, Is Carnival Stock a Buy?
Sometimes, economic uncertainty can create opportunities in the stock market. With shares down 11% since the start of the year, Carnival Corporation (NYSE: CCL) stock is probably on the radar of deal-hungry investors. The cruise ship operator's focus on consumer experiences could shield it from tariff-related effects on physical goods.
But can it overcome its debt-laden balance sheet? Let's dig deeper to find out.
U.S. President Donald Trump's April tariff announcement sparked a sharp decline in Carnival and other cruise stocks. This reaction is understandable. As the Trump administration has often pointed out, the U.S. has fallen behind in commercial shipbuilding, making cruise companies hugely reliant on foreign supply chains. Carnival's multi-million-dollar vessels are typically built with the help of European partners like Italy's Fincantieri and Germany's Meyer Werft in shipyards across Europe and Asia.
Source Fool.com
