Carnival Corporation (CCL)vsRoyal Caribbean Cruises Ltd (RCL)
CCL
Carnival Corporation
$29.58
-0.03%
CONSUMER CYCLICAL · Cap: $37.73B
RCL
Royal Caribbean Cruises Ltd
$327.16
+1.37%
CONSUMER CYCLICAL · Cap: $82.16B
Smart Verdict
WallStSmart Research — data-driven comparison
Carnival Corporation generates 44% more annual revenue ($27.59B vs $19.14B). RCL leads profitability with a 23.8% profit margin vs 11.4%. CCL appears more attractively valued with a PEG of 0.95. CCL earns a higher WallStSmart Score of 71/100 (B).
CCL
Strong Buy71
out of 100
Grade: B
RCL
Strong Buy70
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+16.5%
Fair Value
$39.62
Current Price
$29.58
$10.04 discount
Margin of Safety
-58.3%
Fair Value
$210.82
Current Price
$327.16
$116.34 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 22 in profit
Growing faster than its price suggests
Attractively priced relative to earnings
Reasonable price relative to book value
Strong operational efficiency at 26.4%
Every $100 of equity generates 43 in profit
Strong operational efficiency at 33.6%
Large-cap with strong market position
Keeps 24 of every $100 in revenue as profit
Areas to Watch
3.5% revenue growth
Elevated debt levels
Distress zone — elevated risk
Negative free cash flow — burning cash
Distress zone — elevated risk
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : CCL
The strongest argument for CCL centers on Return on Equity, PEG Ratio, P/E Ratio. PEG of 0.95 suggests the stock is reasonably priced for its growth.
Bull Case : RCL
The strongest argument for RCL centers on Return on Equity, Operating Margin, Market Cap. Profitability is solid with margins at 23.8% and operating margin at 33.6%. PEG of 1.24 suggests the stock is reasonably priced for its growth.
Bear Case : CCL
The primary concerns for CCL are Revenue Growth, Debt/Equity, Altman Z-Score. Debt-to-equity of 1.77 is elevated, increasing financial risk.
Bear Case : RCL
The primary concerns for RCL are Free Cash Flow, Altman Z-Score, Debt/Equity. Debt-to-equity of 2.30 is elevated, increasing financial risk.
Key Dynamics to Monitor
CCL profiles as a value stock while RCL is a mature play — different risk/reward profiles.
CCL carries more volatility with a beta of 2.38 — expect wider price swings.
RCL is growing revenue faster at 8.8% — sustainability is the question.
CCL generates stronger free cash flow (712M), providing more financial flexibility.
Bottom Line
CCL scores higher overall (71/100 vs 70/100). Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Carnival Corporation
CONSUMER CYCLICAL · TRAVEL SERVICES · USA
Carnival Corporation & plc is a British-American cruise operator, currently the world's largest travel leisure company, with a combined fleet of over 100 vessels across 10 cruise line brands.
Visit Website →Royal Caribbean Cruises Ltd
CONSUMER CYCLICAL · TRAVEL SERVICES · USA
Royal Caribbean Group, formerly known as Royal Caribbean Cruises Ltd., is an American global cruise holding company incorporated in Liberia and based in Miami, Florida, US.
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