JPMorgan and Jim Cramer are bullish on Carnival stock
- JPMorgan analyst upgraded Carnival Corp to "overweight" today.
- Famed investor Jim Cramer also agreed with the constructive view.
- Carnival stock is already up about 45% versus the start of the year.
Carnival Corp (NYSE: CCL) jumped nearly 15% on Monday after a JPMorgan analyst turned bullish on the cruise operator.
Carnival stock has upside to $16
Copy link to sectionMatthew Boss now rates the Miami-headquartered firm at “overweight” and sees upside in it to $16 – about a 23% upside on its previous close.
He’s convinced that the Carnival stock could climb further on the back of continued demand. The analyst also said in his research note:
CCL has opportunity to drive improved brand clarity and pricing power with increased investment in advertising and a smaller capacity growth profile – providing faster pathway to de-levering balance sheet.
Carnival Corp is scheduled to report its Q2 results next week. Consensus is for it to lose 35 cents a share this quarter versus $1.64 per share a year ago.
Cramer reacts to JPMorgan’s upgrade
Copy link to sectionCCL had reported strong results for its first quarter in March. The JPMorgan analyst also expressed confidence in CEO Josh Weinstein who assumed the role in early 2022.
Carnival stock has already gained roughly 45% since the start of 2023. Still, famed investor Jim Cramer also remains bullish on the cruise line. This morning on CNBC’s “Squawk on the Street”, he said:
Matthew Boss in his excellent upgrade says this is still post pandemic. I call it revenge travel. People are still doing international. I think Carnival thesis works. It’s a good buy here.
On Monday, Mastercard also said that its recent spending survey shows strong consumer demand for experiences. That bodes well for Carnival Corp as well.
