By Sam Boughedda
Tigress Financial reiterated a Buy rating and initiated a price target of $13 per share on Carnival Corp. (NYSE:CCL) in a note Thursday.
Analysts there told investors in a note that the firm feels that a significant post-pandemic travel recovery and re-accelerating cruise industry growth will continue to drive improving booking and pricing trends.
"CCL should experience significant recovery in Business Performance trends as cruise industry booking trends continue to accelerate, the industry experiences an ongoing recovery, and as it returns its fleet to service along with ongoing fleet optimization and improving operational efficiencies," wrote the analysts.
The analysts explained they believe strong booking and onboard spending trends will drive a significant recovery in business performance trends, with revenue, economic operating cash flow, and net operating profit after tax all likely to exceed pre-pandemic record levels by late 2023.
"CCL is well-positioned to benefit from the post-pandemic recovery in travel, increasing consumer spending trends on travel, and the ongoing ramp-up of fleet deployment with expectations that eight of its nine cruise brands will have their entire fleet in service by the end of 2022. Cruise demand remains strong, and CCL should see pre-COVID revenue levels by late 2023," added the analysts.