Core Insights - Carnival Corp. experienced a 10% increase in stock price following better-than-expected fiscal fourth-quarter results, prompting at least six major Wall Street analysts to raise their price targets on the stock [1] Financial Performance - Carnival's revenue rose 7% to $6.3 billion in the fiscal fourth quarter, a significant improvement compared to the 3% year-over-year growth in the fiscal third quarter [6] - The company reinstated its dividend, which had been suspended during the pandemic, now yielding 1.9% for income investors [7] - Despite flat capacity growth over the past year, Carnival achieved sequential revenue acceleration, indicating a positive trend in financial performance [6] Industry Context - The cruise industry faced challenges in the third quarter, with Carnival and its competitors, Royal Caribbean and Norwegian Cruise Line, reporting disappointing revenue growth of 3% and 5% respectively [2][4] - The third quarter is critical for the cruise industry as it encompasses the summer sailing season, which typically generates the highest revenue and profitability [5] - Carnival's strong start in the fourth quarter is crucial for the industry's recovery, especially as competitors will not report new financials for at least another month [5] Profitability Outlook - The increase in net yields suggests that even minor improvements in revenue can lead to significant profitability boosts, particularly in a scalable industry with a fixed cost structure [8]

Core Insights - Carnival Corp. & PLC (NYSE:CUK) experienced a significant stock price increase, reaching a five-year high due to strong earnings and a positive outlook for the upcoming year [1][3]. Financial Performance - In Q4 of fiscal year 2025, Carnival Corp. reported a 39% increase in net income, rising to $422 million from $303 million year-on-year [2]. - Total revenues for the same period grew by 6.8%, reaching $6.3 billion compared to $5.9 billion in the previous year, driven by strong sales from passenger tickets and onboard services [3]. Future Outlook - For the next fiscal year, Carnival Corp. aims for a 12% year-on-year growth in adjusted net income, with net yields expected to increase by 2.5% in constant currency compared to 2025 [5]. - In the first quarter, net yields are projected to grow by 1.6% compared to the same period in 2025 [5]. Dividend Announcement - The company announced a dividend of $0.15 per share for shareholders as of February 13, 2026, payable on February 27, 2026, reflecting confidence in its financial stability [4].

Core Insights - Carnival's shares increased following the announcement of record earnings and a positive outlook for the upcoming year [1] Financial Performance - Carnival's fourth-quarter revenue increased by 7% year over year, reaching $6.3 billion [3] - The company's net yields improved by 5.4% on a constant currency basis, amounting to $200.84 per available passenger cruise day [3] - Adjusted net income surged by 140% to $454 million, or $0.34 per share, exceeding Wall Street's expectations of $0.25 per share [4] - For the full year, adjusted net income rose over 60% to $3.1 billion [4] Future Outlook - The CEO indicated that momentum is expected to continue into 2026, with projections of double-digit earnings growth and return on invested capital exceeding 13.5% [5] Capital Management - Carnival has reduced over $10 billion of debt in less than three years, leading to lower leverage ratios and a stronger balance sheet [6] - The board approved the reinstatement of a quarterly cash dividend at an initial rate of $0.15 per share, payable on February 27 [6][7] Industry Context - The cruise industry is showing signs of recovery after years of challenges, with management expressing optimism about future performance [9]

Financial Performance - Full year net income reached $2.8 billion, with record adjusted net income of $3.1 billion, up over 60% compared to the previous year[6] - Full year revenues totaled $26.6 billion, achieving record net yields in constant currency, outperforming guidance for the fourth time in 2025[6] - Adjusted return on invested capital (ROIC) exceeded 13%, with a net debt to adjusted EBITDA ratio of 3.4x, recognized as investment grade by Fitch[6] - For 2026, adjusted net income is expected to be $3.5 billion, surpassing record 2025 levels[6] - In Q1 2026, adjusted EBITDA was approximately $1.24 billion, while for the full year 2026, it is projected to be approximately $7.63 billion[21] - Adjusted net income for Q1 2026 was approximately $235 million, and for the full year 2026, it is expected to be approximately $3,450 million[21] - The company reported total revenues of $6.33 billion for the three months ended November 30, 2025, compared to $5.94 billion for the same period in 2024, reflecting a year-over-year increase of 6.6%[35] - Adjusted net income for the twelve months ended November 30, 2025, was $3,079 million, compared to $1,891 million in 2024, marking a significant increase of 62.8%[43] - The company reported a diluted earnings per share of $2.02 for the twelve months ended November 30, 2025, up from $1.44 in 2024, a growth of 40.3%[43] Customer Metrics - Record customer deposits reached $7.2 billion, exceeding the previous fourth quarter record[7] - The company achieved record booking volumes for 2026 and 2027 sailings, indicating strong demand for future cruises[9] - Customer deposits increased to $7,246 million in 2025 from $6,779 million in 2024, reflecting a growth of 6.9%[39] Cost and Expense Management - Adjusted cruise costs excluding fuel per available lower berth day (ALBD) are projected to rise approximately 9.6% in the first quarter of 2026[20] - Total cruise and tour operating expenses for the twelve months ended November 30, 2025, were $15.95 billion, compared to $15.64 billion for the previous year, indicating a slight increase[35] - Cruise and tour operating expenses for the three months ended November 30, 2025, were $3,910 million, compared to $3,833 million in 2024, reflecting an increase of 2%[47] - Adjusted cruise costs per ALBD for the twelve months ended November 30, 2025, were $142.41, up from $135.73 in 2024, indicating a year-over-year increase of 4.9%[47] - Adjusted cruise costs excluding fuel per ALBD for the twelve months ended November 30, 2025, were $124.81, compared to $116.99 in 2024, representing a 6.1% increase[47] - Total cruise costs for the twelve months ended November 30, 2025, were $19,154 million, compared to $18,678 million in 2024, marking a 2.5% increase[47] Future Projections - The first quarter of 2026 is expected to see net yields increase approximately 5.1% in current dollars and 1.6% in constant currency[20] - The company anticipates a 1% change in net yields to impact adjusted net income by $43 million in Q1 2026 and $204 million for the full year 2026[21] - Adjusted earnings per share (diluted) for Q1 2026 is approximately $0.17, with a projection of approximately $2.48 for the full year 2026[21] Governance and Corporate Actions - The company plans to unify its dual-listed framework into a single entity, Carnival Corporation, to streamline governance and reporting[15] - The quarterly dividend has been reinstated at $0.15 per share, reflecting confidence in future performance and commitment to shareholder value[10] - The company plans to file a Registration Statement with the SEC regarding proposed unification and redomiciliation transactions, which will contain important information for investors[61] Financial Ratios and Metrics - Adjusted EBITDA margin is defined as adjusted EBITDA divided by total revenues, providing insight into core operating profitability[50] - Net debt to adjusted EBITDA is a measure of overall leverage, defined as total debt less cash and cash equivalents divided by twelve-month adjusted EBITDA[51] - The company reports adjusted gross margin, net yields, and adjusted cruise costs on a "constant currency" basis to facilitate comparative analysis[59] - Gains and losses on ship sales and impairment charges are excluded from adjusted measures as they are not indicative of future earnings performance[49]

Core Insights - Carnival Corporation & plc reported strong financial results for Q4 and full year 2025, exceeding guidance due to robust demand and effective cost management [1][3][6] - The company reinstated its dividend, reflecting confidence in its long-term performance and financial stability [3][14] Financial Performance - Full year net income reached $2.8 billion, with adjusted net income at a record $3.1 billion, up over 60% from the previous year [6][7] - Record revenues of $26.6 billion were achieved, driven by record net yields in constant currency [6][7] - Operating income for the year was $4.5 billion, a 25% increase compared to the prior year [6] - Adjusted EBITDA for the year was $7.2 billion, exceeding the previous year by over $1 billion [6] Cost Management - Cruise costs per available lower berth day (ALBD) increased by 2.2% compared to 2024, while adjusted cruise costs excluding fuel per ALBD rose by only 0.5%, outperforming guidance [5][6] - Fuel consumption per ALBD decreased by 5.6% due to ongoing efforts to reduce fuel usage [12] Booking Trends - The company reported record booking volumes for 2026 and 2027, with strong demand continuing from Black Friday through Cyber Monday [10] - Approximately two-thirds of occupancy for the upcoming year is already booked at historical high prices in constant currency [9][10] 2026 Outlook - For 2026, the company expects adjusted net income to reach $3.5 billion, surpassing 2025 levels [6][11] - The first quarter of 2026 is projected to see net yields increase by approximately 5.1% year-over-year [24] Corporate Structure Changes - Carnival Corporation proposed unifying its dual-listed framework into a single company listed solely on the New York Stock Exchange, which is expected to streamline governance and enhance shareholder value [19][20] - The company plans to shift its legal incorporation from Panama to Bermuda, aligning with international financial standards [19] Recent Developments - The company successfully completed a $19 billion refinancing plan, improving its net debt to adjusted EBITDA ratio to 3.4x, recognized as investment grade by Fitch [11][15] - Record customer deposits of $7.2 billion were reported, surpassing the previous fourth quarter record [12]

Core Viewpoint - Stabilis Solutions has secured a 10-year offtake agreement with Carnival Corporation to supply LNG for cruise operations at the Port of Galveston [1] Group 1: Company Overview - Stabilis Solutions, Inc. is a leading provider of clean energy production, storage, and delivery solutions [1] - Carnival Corporation & plc operates in the cruise industry and is listed on both NYSE and LSE [1] Group 2: Agreement Details - The agreement is a definitive 10-year offtake contract aimed at supporting Carnival's operations [1] - This represents the second anchor offtake agreement related to the Galveston LNG project [1]

Group 1 - Carnival Corporation & plc (NYSE:CUK) is considered one of the undervalued stocks with significant upside potential, with Wall Street showing bullish sentiment ahead of its fiscal Q4 2025 earnings release expected on December 19 [1] - Goldman Sachs reiterated a Buy rating on CUK with a price target of $31, while Citi maintained a Buy rating with a £27 price target [1] - Analysts at Goldman Sachs noted that the cruise sector faces Caribbean oversupply issues, but CUK is expected to perform better due to lower exposure to the Caribbean market [2] Group 2 - Goldman Sachs forecasts a net yield growth of about 2.75% and a cost growth of 3.25% for CUK, while cautioning about potential volatility in Q4 [2] - CUK management expects net yields to increase by 4.3% compared to record 2024 levels, with adjusted net income projected to rise over 60% compared to Q4 2024 [3] - Carnival Corporation operates a fleet of more than 90 ships across 9 major cruise brands, providing various travel-related services [3]

Core Points - Holland America Line has secured broadcasting rights for the FIFA World Cup 26™ across its fleet of 11 ships, allowing guests to watch all matches during their cruise vacations [1][3] - The tournament will take place from June 11 to July 19, 2026, featuring 104 matches viewable on stateroom televisions and select public areas on the ships [2][3] - The initiative aims to enhance the guest experience by providing live coverage of the World Cup, which is recognized as the world's premier soccer tournament [3] Company Overview - Holland America Line has over 150 years of experience in the cruise industry, offering itineraries that connect guests to nearly 400 ports in 114 countries [5] - The cruise line emphasizes destination immersion and personalized travel, featuring a fleet of 11 vessels equipped with diverse activities and amenities [5] - The company is a division of Carnival Corporation and plc, which is publicly traded on NYSE [5] Industry Context - IMG, the agency managing the media rights for the FIFA World Cup, specializes in sports marketing and has partnerships with over 250 sports federations and events [6] - The collaboration between Holland America Line and IMG aims to create a unique viewing experience for soccer fans at sea, reflecting the global popularity of the sport [3][6]

Core Insights - Seabourn has secured broadcasting rights from IMG to air the FIFA World Cup 26 live on its ocean fleet from June 11 to July 19, 2026, allowing guests to watch all 104 matches during their cruises [1][3] - The initiative aims to enhance the luxury travel experience by combining the excitement of live sports with high-end cruising [3] Company Overview - Seabourn is recognized as a leader in ultra-luxury ocean and expedition travel, operating six modern ships that offer all-suite accommodations, award-winning dining, and a relaxed atmosphere [5] - The company emphasizes a commitment to providing unforgettable experiences, including partnerships with entertainers and wellness programs [5] Event Details - Guests will have access to uninterrupted FIFA World Cup 26 coverage via Sport 24 Special Event Channels, with viewing options available in suites and communal areas on board [3] - Sample voyages during the tournament include various itineraries, such as a 7-day cruise in Turkey and the Greek Isles, and a 14-day journey through the British Isles [4][9] Industry Context - IMG, the agency managing the media rights, is a prominent player in sports marketing, working with over 250 federations and events, indicating the significance of the FIFA World Cup as a global sporting event [7]

Core Viewpoint - The article presents a list of 12 stocks that are recommended for investment during the countdown to the new year, highlighting their long-term growth potential and current market conditions. Group 1: Recommended Stocks - **Apple**: Expected to achieve an 11% gain for the year, with a strong brand and growing AI integration across products, which may drive future revenue growth [5][6]. - **Costco**: Trading at 43x forward earnings estimates, down from over 58x, with a strong business model and high membership renewal rates above 90% in the U.S. and Canada [7][9]. - **Carnival**: The world's largest cruise operator has returned to profitability and is paying down debt, trading at only 11x forward earnings estimates [11][12]. - **Intuitive Surgical**: A leader in robotic surgery with a strong moat due to high costs of its systems and recurrent revenue from instruments and accessories [13][15]. - **Vertex Pharmaceuticals**: Leading in cystic fibrosis treatment with strong revenue and growth potential in new treatment areas [16][18]. - **Coca-Cola**: Strong brand and distribution network with a history of dividend increases for over 50 consecutive years, making it a solid choice for passive income [19][20]. - **Pool Corp.**: The largest supplier of pool equipment, trading at 22x forward earnings estimates, with consistent demand for maintenance services [21][22]. - **Amazon**: A leader in e-commerce and cloud computing, benefiting from AI growth, with AWS reporting a $132 billion annual revenue run rate [24][25]. - **Target**: Facing challenges but may recover in 2026, trading at 13x forward earnings estimates, presenting a potential buying opportunity [27][28]. - **CRISPR Therapeutics**: Recently approved a blood disorder treatment, with expected significant growth in the coming year [29][30]. - **Broadcom**: A networking giant emerging as a potential AI chip winner, with high demand for custom chips [31][32]. - **Taiwan Semiconductor Manufacturing**: A key player in chip production for AI, benefiting from multiple clients and significant investments in U.S. manufacturing [33][34].