CCL Stock Price: Carnival Corp sailing the high seas after as analyst sinks rivals

  • Carnival Corp's are set to extend their gains, contrary to the trend in markets. 
  • An analyst underscored the firm's advantage over rivals in the cruise industry.
  • Further gains depend on health issues, not on Sino-American relations.

As mentioned on Monday – it is enough to run faster than the guy next to you, not quicker than the hungry bear. Carnival Corp's stocks have been benefiting from the cruise company's relative advantage over rivals rather more than any other reason.

CCL's is better-positioned than its peers when it comes to finances – after raising some $2.5 billion. That has been known for a while. The latest boost has come from Benjamin Chaiken, an analyst with with Credit Suisse. His team reached a conclusion that the whole sector may benefit – as cruises may become more affordable than traditional vacations including a flight and staying at a hotel. 

Shares of all top three firms – Carnival,  Royal Caribbean, and Norwegian Cruise Lines – all advanced. The rise is especially impressive amid the fact that early on in the coronavirus crisis, cruise ships were the center of attention.

Moreover, the recent increase has come broader stock markets have tumbled down. The trigger was China's decision to tighten its grip on Hong Kong – a significant escalation in its clash with the US. Sino-American tensions have finally come to haunt markets. 

However, it does not seem to halt Carnival Corp. Luxurious holidays depend on developments in defeating the disease – not geopolitics. Modern, Moderna, a Massachusets-based pharma firm, announced encouraging results early in the week, but scientists were quick to poke holes at the firm's claims, amid a lack of details. 

CCL Stock Dividend

Investors fear that amid falling income and cruise cancelations, NYSE:CCL Over the years, Carnival gradually increased its extra pay. Better prospects for the industry are set to push the stock price and dividends higher. 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Feed news

FXStreet Trading Signals now available!

Access to real-time signals, community and guidance now!

Latest Forex News

Editors’ Picks

EUR/USD chops around amid end-of-month flows, ahead of Trump

EUR/USD is battling 1.11, close to the two-month highs amid choppy trading. Hopes for a fiscal boost in Europe and mixed satisfactory data have supported the currency pair. , Sino-American tensions are rising and investors await President Trump's China announcement.


GBP/USD advances amid US dollar weakness, shrugging off concerns

GBP/USD is trading above 1.23, edging higher amid US dollar weakness and Britain's gradual reopening. Intensifying Sino-American tensions and the Brexit impasse are ignored. 


Cryptocurrencies: $348M in matured derivatives boost the market

Futures and options contracts' expiration brings a wave of volatility to the crypto market. Ethereum takes advantage and attacks resistances in the market dominance chart, Bitcoin goes back. Ripple disappoints despite regaining the third place in market capitalization.

Read more

Canada's economy falls by 8.2% annualized in Q1, better than expected, USD/CAD shakes

The Canadian economy squeezed by an annualized rate of 8.2% in the first quarter of 2020, better than -10% expected. Quarterly, Gross Domestic Product (GDP) squeezed by 2.1%. Most of the downfall occurred in March, with a drop of 7.2%, better than 8.5% projected. 

Read more

WTI drops 4% and eyes $32 mark amid risk-off, weakening demand

The selling pressure around WTI (July futures on Nymex) accelerates following the break below the 33 level, as bears now target the 32 support zone heading into the key US macro data and US President Donald Trump’s response to the Hong Kong issue.

Oil News