Core Insights - The company reported record earnings and yields for 2025, with a yield increase of over 5.5% on top of an 11% increase from the previous year, indicating strong demand for its offerings [2] - For 2026, the company projects a normalized yield increase of 3%, despite consumer sentiment challenges and global volatility [3] Consumer Behavior - Consumers are being selective with their spending, prioritizing experiences such as vacations and time with family and friends [4][5] - The company is experiencing the highest booking levels ever at this time, with bookings at higher prices compared to the previous year [6] - There is a consistent demand across various cruise segments, including contemporary, premium, and luxury, indicating a broad appeal [7] Value Proposition - The company emphasizes the favorable price-to-experience ratio of cruises compared to land-based alternatives, which enhances its attractiveness to consumers [8] - The company is expanding its market reach, becoming a more prominent option for consumers looking to maximize their vacation spending [9]

We continue to take a look at a lot of the movers this morning. Diane King Hall joins me and we're taking a look here first at Carnival Cruise. Good morning. Good morning to you, Nicole.So this morning with its results, Carnival's results coming about 15 minutes ago. It was a mixed picture for the quarter. They did have a strong year.Let's go through the trailing quarter. Adjusted EPS coming in at 34 cents a share. Much better than expected.The street was just looking for 25 cents per share. Uh revenue came ...

The warehouse retailer tiptoed into travel 25 years ago and now accounts for multibillion-dollar bookings in cruises, vacation packages and rental cars. https://t.co/bKQEONa6xy ...

Core Viewpoint - Carnival has shown a significant recovery from the pandemic's impact, achieving record financial performance and demonstrating strong demand for its cruise offerings [2][4][10]. Group 1: Company Performance - Carnival faced severe challenges during the pandemic, leading to a halt in operations, net losses, and increased debt [1][3]. - The company has implemented strategies to enhance efficiency, including replacing older ships with fuel-efficient models and optimizing cruise routes [3]. - In the most recent quarter, Carnival reported a record net income of $1.9 billion and revenue of $8.2 billion, marking the 10th consecutive quarter of record revenue [4]. Group 2: Stock Performance - Carnival's stock price fell over 80% from the beginning of 2020 until March of that year due to the pandemic [5]. - Despite a modest increase of about 2% this year, the stock has risen more than 160% over the past three years, outperforming the S&P 500 [8]. - Currently, Carnival's market capitalization stands at $33 billion, with a gross margin of 29.12% [7]. Group 3: Market Dynamics - The company has seen strong advanced bookings at higher prices, indicating robust consumer interest despite price increases [4]. - Carnival's long-term investment potential remains positive, supported by its recovery and growth trajectory [10].

Take advantage of substantial savings on hotels, airlines, rental cars, airport lounge access and cruises with these cyber week travel deals. https://t.co/aXiXoGNNWu ...

Travel Deals - Substantial savings are available on hotels, airlines, rental cars, airport lounge access, and cruises [1] Cyber Week Promotion - Cyber Week travel deals are being offered [1]

Core Viewpoint - Disney reported a mixed fourth quarter with adjusted earnings per share of $1.11, exceeding estimates, but revenue fell short of expectations. The company has increased its share repurchase target to $7 billion for the next fiscal year, leading to downward pressure on shares [1]. Streaming Business Performance - The streaming segment saw significant growth, with earnings rising to $352 million, a 39% increase, indicating a successful transition from traditional linear TV to streaming [2]. - Disney Plus and Hulu added 12.5 million subscribers, with the Disney Plus app gaining an additional 3.8 million subscribers, surpassing analyst expectations [3]. Advertising and Subscriber Trends - Approximately 37% of new subscribers are from ad-supported tiers, reflecting a broader trend where advertisers are increasingly focusing on streaming services to reach audiences [5]. Revenue Streams and Business Segments - The experiences segment, including cruises, is showing resilience, with an uptick in bookings for Q1 of the next year, although the linear network segment experienced a 16% year-over-year decline [10]. - Disney's ability to leverage its intellectual property (IP) across various business segments, including theatrical releases and video game licenses, positions the company favorably in the market [13]. Global Expansion Opportunities - Disney is considering launching ESPN in Asia, which could tap into global audiences, particularly in the sports sector, representing a potential growth area for the company [14].

Core Viewpoint - Royal Caribbean's stock is expected to decline due to another revenue miss, despite a profit beat and increasing demand for cruises [1] Revenue Performance - The company reported a revenue miss, which overshadowed the positive profit results [1] Profitability - Royal Caribbean achieved a profit beat, indicating strong operational performance [1] Demand Trends - There is an accelerating demand for cruises, suggesting a positive outlook for the industry despite the revenue miss [1]

Stock Picks Overview - Strategists highlight stocks poised for positive returns, focusing on those with strong earnings reports [1] - Two stocks are featured: one in tech (AI play) and one in the cruise line industry [2] Carnival Corporation (CCL) Analysis - Carnival is a Zacks number one ranked stock with an A for VGM, indicating value [3][4] - Stock experienced a dip of over 10% in the past month, potentially creating a buying opportunity [5] - Carnival reported an 83% earnings surprise and has had eight consecutive quarters of record earnings [5][6] - Pre-bookings for the next year are at the same level as last year's record levels, with strong demand seen for 2027 [7] - Carnival offers a variety of cruise lines to meet different price points [8] - Analysts have raised earnings estimates six times for this fiscal year and next year [12] - Earnings are projected to grow 49% this year and 12% next year [13] - The company benefits from lower fuel prices and reduced promotional activity due to strong demand [13][14] - Carnival's valuation includes a forward PE ratio of 13 and a PEG ratio of 06, suggesting both growth and value [14] Micron Technology (MU) Analysis - Micron Technology is a Zacks rank number one strong buy rated stock, benefiting from the AI boom [16] - The stock is up approximately 48% as of the recording and is rebounding after a selloff [17] - BNP Pariba analyst raised the price target by 170% to $270, anticipating a memory super cycle [18] - Fiscal fourth quarter 2025 results showed earnings up 157% year-over-year and revenues up 46% year-over-year [18] - Analysts have been raising estimates for the current quarter and year [20] - The stock is up 125% year-to-date, making it the top-performing chip stock in 2025 [21] - Micron is trading at a forward PE multiple of 1095 times [22]

Group 1: Company Overview - Carnival operates as a leisure travel company, providing cruises to approximately 700 ports globally through multiple well-known cruise line brands [2] Group 2: Investment Thesis - Carnival stock is currently trading nearly 11% lower than its 1-year peak and has a price-to-sales (PS) multiple below the average of the last 3 years, indicating it may be undervalued [1] - The company has demonstrated reasonable fundamentals, including a revenue growth rate of 7.1% for the last twelve months (LTM) and an average of 45.9% over the last three years [8] - Carnival maintains a free cash flow margin of approximately 11.1% and an operating margin of 16.4% LTM, suggesting strong cash generation capabilities [8] - The stock trades at a price-to-earnings (PE) multiple of 14.4, which is considered modest given its encouraging fundamentals [8] Group 3: Market Performance and Risks - Carnival has experienced significant market declines in the past, including a 65% drop during the Dot-Com crash and a nearly 69% decline during the Global Financial Crisis [8] - The stock faced an 84% drop due to the Covid pandemic, highlighting its vulnerability to severe market shocks [10] - Despite robust fundamentals, significant sell-offs are inherent risks, as stocks can decline even in favorable market conditions due to events like earnings announcements and business updates [11]