Where Will Carnival Stock Be in 5 Years?
With shares down by a whopping 61% since 2019, Carnival Corporation (NYSE: CCL) stock has decimated the unfortunate shareholders who held shares before the COVID-19 pandemic. But now, trading for just $18 per share, does the low price tag make its stock a buy? Let's explore what the next half-decade could have in store for this iconic cruise company.
Although it may feel hard to believe, it has already been over four years since the COVID-19 pandemic turned the world upside down. Cruise companies like were among the worst affected as no-sail orders and other activity restrictions grounded their business models for several years. But now, demand has fully bounced back from the crisis.
Second-quarter revenue jumped by almost 18% to $5.8 billion, driven by booming passenger ticket sales and consumer spending on food, drinks, and experiences on voyages. The company's operating income rose almost fivefold from $120 million to $560 million. To put these numbers in a pre-pandemic context, Carnival generated revenue of $4.8 million and operating income of $515 million in the second quarter of 2019.
Source Fool.com
