CCL Stock Tumbles: Carnival Posts Q2 Earnings Beat, But Bernstein Says Investors Are Worried About What's Next

Carnival reported second quarter revenue of $6.6 billion, slightly below Wall Street’s estimates of $6.7 billion.

• For the second half of 2026, the company said that it has seen booking volumes and prices exceeding last year’s levels and expects to drive strong bookings for 2027 and beyond.
• The company expects full year net yields to be about 1.75% in constant currency, due to the impacts from the summer 2025 redeployment away from Arabian Gulf voyages and loyalty program accounting changes.
• Bernstein said that for the second half of the year, the focus could shift to concerns about demand strength, consumer health and weaker yield and EBITDA outlook.

Shares of Carnival Corp (CCL) tumbled 6% on Tuesday even after reporting record second quarter revenue, as investor enthusiasm was tempered by a cautious note from Bernstein, which flagged concerns about demand momentum and yield guidance.

Carnival reported second quarter (Q2) revenue of $6.6 billion, slightly below the consensus of $6.7 billion while adjusted earnings of $0.41 per share surpassed Wall Street estimates of $0.34, according to Fiscal.ai data.

“We achieved another quarter of record results, marking our twelfth consecutive quarter of record net yields and delivering over 20 percent more to the bottom line, overcoming extreme geopolitical headwinds and nearly 30 percent higher fuel costs,” said Josh Weinstein, Chief Executive Officer at Carnival Corporation.

CCL’s Strong Cost Controls Helped Deliver An EBITDA Beat

During the earnings call, Carnival’s management said that the company intensified its focus on cost management and delivered flat operating costs and outperformed its cost guidance by two and a half points. 

Carnival reported that adjusted cruise costs excluding fuel per available lower berth day (in constant currency) were in line with prior year due to sharpened cost discipline and posted record earnings before interest, taxes, depreciation and amortization (EBITDA) of $1.6 billion, in the second quarter.

Bernstein’s Cautious Take On CCL

Bernstein stated that Carnival’s Q2 result displayed a slight revenue miss but a 6% EBITDA beat driven by strong cost control, according to TheFly.

The firm kept ‘Market Perform’ rating on the stock with a price target of $28.70. Bernstein flagged two concerns for Carnival, stating that the company reported a notable downgrade to 2026 net yield guidance and softer demand commentary related to geopolitical tensions.  

Bernstein also noted for the second half of the year, the focus could shift to concerns over demand strength, consumer health and weaker yield and EBITDA outlook.

CCL’s 2026 Guidance

For the second half of 2026, the company said that it has seen booking volumes and prices exceeding last year’s levels and expects to drive strong bookings for 2027 and beyond.

“We are now 93 percent booked for the year with less inventory remaining for sale than this time last year and are on track for record net yields in the second half of 2026,” said Weinstein. “As conditions continue to normalize, we expect to benefit from the strong demand, pricing and operational improvements embedded throughout our business.” 

The cruise operator expects third quarter adjusted earnings of $1.35 per share while analysts expect it to be $1.42, according to Fiscal.Ai. 

The company expects full year net yields to be about 1.75% in constant currency, due to the  impacts from the summer 2025 redeployment away from Arabian Gulf voyages and loyalty program accounting changes. Previously, Carnival expected net yields to be 2.75% (in constant currency) for 2026.

What Retail Thinks Of CCL

On Stocktwits, retail sentiment surrounding the stock has improved to ‘bullish’ from ‘neutral’ amid ‘high’ message volumes in the past 24 hours.

CCL stock has declined by more than 8% so far this year.

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