Barclays Maintains an 'Overweight' on Carnival Corp (CCL); Risk Adjusting Estimates and Valuation
Tweet
Share
E-mailGet Alerts CCL Hot Sheet
Price: $25.73 +1.42%
Rating Summary:
27 Buy, 12 Hold, 0 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 8 | Down: 5 | New: 26
Rating Summary:
27 Buy, 12 Hold, 0 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 8 | Down: 5 | New: 26
Join SI Premium – FREE
Barclays maintains an 'Overweight' on Carnival Corporation (NYSE: CCL), lowers price target from $47 to $44.
Barclays analyst says, "We are lowering our estimates for Carnival to reflect the risk of continued weakness in the Mediterranean market in 2012 if the disruption in the Middle East and North Africa continues. Recall, we recently made similar changes to our Royal Carribean (NYSE: RCL) estimates following the company's 2Q release and net yield guidance reduction due to Eastern Med weakness. Our new estimate also reflects the sale of a Costa ship in 3Q11 ($0.02 to EPS)."
"For 2011, we maintain our current dollar net yield assumption of 4.5%, which likely captures the current challenges in the Med, in our view. Our estimate reflects the midpoint of Carnival's 6/21 guidance range of 4%-5%. For 2012, we lower our current dollar net yield estimate to 3% from 5% (or +1% in constant dollars) on concerns that ongoing conflicts in the MENA region could result in continued anemic demand for Eastern Med cruises. As a result, our 2012 EPS goes to $2.94 from $3.15."
For more ratings news on Carnival Corporation click here and for the rating history of Carnival Corporation click here.
Shares of Carnival Corporation closed at $30.03 yesterday.
Barclays analyst says, "We are lowering our estimates for Carnival to reflect the risk of continued weakness in the Mediterranean market in 2012 if the disruption in the Middle East and North Africa continues. Recall, we recently made similar changes to our Royal Carribean (NYSE: RCL) estimates following the company's 2Q release and net yield guidance reduction due to Eastern Med weakness. Our new estimate also reflects the sale of a Costa ship in 3Q11 ($0.02 to EPS)."
"For 2011, we maintain our current dollar net yield assumption of 4.5%, which likely captures the current challenges in the Med, in our view. Our estimate reflects the midpoint of Carnival's 6/21 guidance range of 4%-5%. For 2012, we lower our current dollar net yield estimate to 3% from 5% (or +1% in constant dollars) on concerns that ongoing conflicts in the MENA region could result in continued anemic demand for Eastern Med cruises. As a result, our 2012 EPS goes to $2.94 from $3.15."
For more ratings news on Carnival Corporation click here and for the rating history of Carnival Corporation click here.
Shares of Carnival Corporation closed at $30.03 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Cunard Unveils Labor Day Sale with Fares from $999, Plus Up to $300 in Onboard Credit on over 150 Voyages
- Cummins (CMI) PT Lowered to $675 at Jefferies
- Ferrovial SA (FER:SM) (FRRVF) Reiterated at Buy by UBS on Winning Bid For Tennessee Project
Create E-mail Alert Related Categories
Analyst CommentsRelated Entities
BarclaysSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
