Carnival Corporation offers cruise services under the Carnival Cruise Lines, Holland America Line, Princess Cruises, and Seabourn brand names in North America; and AIDA Cruises, Costa Cruises, Cunard, and P&O Cruises names in Europe, Australia, and Asia. The company was founded in 1972 and is based in Miami, Florida.
CCL Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for CCL, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Carnival Corp ranked in the 43th percentile in terms of potential gain offered. Our DCF analysis suggests the stock is overvalued by about 18.67%. The most interesting components of our discounted cash flow analysis for Carnival Corp ended up being:
The company's balance sheet shows it gets 44% of its capital from equity, and 56% of its capital from debt. Notably, its equity weight is greater than only 21.42% of US equities in the Industrials sector yielding a positive free cash flow.
Its compound free cash flow growth rate, as measured over the past 5.5 years, is -0.05% -- higher than only 21.48% of stocks in our DCF forecasting set.
Carnival Corp's weighted average cost of capital (WACC) is 6%; for context, that number is higher than only 1.51% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Industrials that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as CCL, try HII, MMS, AME, AVY, and BV.
Consumer Discretionary stocks have been underperforming the market today without an obvious new catalyst and a divergence within the sector may be coming more pronounced.The broader market is lower today after the S&P gained 5.7% in the last five sessions. And unlike recent down days, the headlines haven’t been about...
Attorney Advertising -- Bronstein, Gewirtz & Grossman, LLC notifies investors that a class action lawsuit has been filed against Carnival Corporation & Plc ("Carnival" or "the Company") (NYSE: CCL; CUK) and certain of its officers, on behalf of shareholders who purchased or otherwise acquired Carnival securities between January 28, 2020 through May 1, 2020, inclusive (the ''Class Period''). This class action seeks to recover damages against Defendants for alleged violations of the federal securities laws under the Securities Exchange Act of 1934.
NEW YORK, NY / ACCESSWIRE / July 7, 2020 / The Law Offices of Vincent Wong announce that class actions have commenced on behalf of certain shareholders in the following companies. If you suffered a loss, ...