Group 1: Carnival Corporation - Carnival is the leading global cruise operator, recovering from extreme debt and showing strong business performance with stock still 60% off its highs [4] - The stock price has risen 64% over the past year, trading at a price-to-sales ratio of 1.5 and a forward P/E ratio under 13, indicating potential for further gains [5] - In Q2 of fiscal 2025, Carnival reported revenue of $6.3 billion, a 9% year-over-year increase, with operating income rising from $560 million to $934 million [6] - The company had record deposits of $8.5 billion and is maintaining high bookings, alleviating concerns about demand drying up [7] - Carnival ended the quarter with $27 billion in total debt, having refinanced $7 billion at more favorable rates, and is close to achieving investment-grade credit ratings [8] - Carnival stock may appeal to investors willing to take on some risk, as the company is expected to bounce back and reward shareholders [9] Group 2: Williams-Sonoma - Williams-Sonoma targets the upscale housewares market and has faced challenges due to macroeconomic pressures, particularly in the sluggish real estate sector [11] - The company reported a 3.4% year-over-year increase in comparable brand revenue and an operating margin of 16.8%, exceeding guidance [12] - Williams-Sonoma has a diversified supplier base, with only 23% of its products sourced from China, positioning it well to handle tariff changes [12] - The company emphasizes a "digital first, not digital only" strategy, with e-commerce accounting for 66% of total sales in Q1 of fiscal 2025, tapping into a $830 billion addressable market [14] - Despite a decline of 8% in stock price this year, investor enthusiasm is returning, and the stock offers a dividend yield of 1.4% [15] - The stock trades at a forward P/E ratio of 19, presenting a potential entry point for investors [15]