Cruise liner Carnival’s shares was upgraded to outperform from neutral by Credit Suisse analyst Benjamin Chaiken. Chaiken doubled his price target to $40 a share from $18.
In a note entitled "Prepare to Come About," Chaiken said that “while an exact return to cruise date is still in flux, it’s looking increasingly likely that a mid/late summer restart is reasonable."
According to Chaiken, demand and pricing continue to build for Carnival, and there is a good chance that volumes and price would be above pre-COVID levels in 2022.
Chaiken said that with $11.5 billion of liquidity, and the refund-to-new bookings ratio likely a positive cash inflow going ahead, “the conversation is changing away from 'survival' and more towards potential earnings catalysts."