Carnival Plc ADS (CUK)vsRoyal Caribbean Cruises Ltd (RCL)
CUK
Carnival Plc ADS
$26.61
+0.60%
CONSUMER CYCLICAL · Cap: $36.88B
RCL
Royal Caribbean Cruises Ltd
$265.55
+0.68%
CONSUMER CYCLICAL · Cap: $70.20B
Smart Verdict
WallStSmart Research — data-driven comparison
Carnival Plc ADS generates 47% more annual revenue ($26.98B vs $18.39B). RCL leads profitability with a 24.4% profit margin vs 11.5%. CUK appears more attractively valued with a PEG of 1.08. RCL earns a higher WallStSmart Score of 74/100 (B).
CUK
Strong Buy67
out of 100
Grade: B-
RCL
Strong Buy74
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+80.8%
Fair Value
$171.37
Current Price
$26.61
$144.76 discount
Margin of Safety
-56.6%
Fair Value
$213.17
Current Price
$265.55
$52.38 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Every $100 of equity generates 28 in profit
Reasonable price relative to book value
Earnings expanding 35.8% YoY
Every $100 of equity generates 50 in profit
Large-cap with strong market position
Keeps 24 of every $100 in revenue as profit
Attractively priced relative to earnings
Strong operational efficiency at 26.2%
Earnings expanding 28.9% YoY
Areas to Watch
Distress zone — elevated risk
Elevated debt levels
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : CUK
The strongest argument for CUK centers on P/E Ratio, Return on Equity, Price/Book. PEG of 1.08 suggests the stock is reasonably priced for its growth.
Bull Case : RCL
The strongest argument for RCL centers on Return on Equity, Market Cap, Profit Margin. Profitability is solid with margins at 24.4% and operating margin at 26.2%. Revenue growth of 11.3% demonstrates continued momentum.
Bear Case : CUK
The primary concerns for CUK are Altman Z-Score, Debt/Equity. Debt-to-equity of 2.28 is elevated, increasing financial risk.
Bear Case : RCL
The primary concerns for RCL are Altman Z-Score.
Key Dynamics to Monitor
CUK profiles as a value stock while RCL is a mature play — different risk/reward profiles.
CUK carries more volatility with a beta of 2.33 — expect wider price swings.
RCL is growing revenue faster at 11.3% — sustainability is the question.
RCL generates stronger free cash flow (1.3B), providing more financial flexibility.
Bottom Line
RCL scores higher overall (74/100 vs 67/100), backed by strong 24.4% margins and 11.3% revenue growth. CUK offers better value entry with a 80.8% margin of safety. 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 Plc ADS
CONSUMER CYCLICAL · TRAVEL SERVICES · USA
Carnival Corporation & plc is a leisure travel company. The company is headquartered in Miami, Florida.
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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