Morgan Stanley bearish on Carnival (CCL) and Royal Caribbean (RCL)

From Yahoo Finance: 2025-04-10 12:40:00

Morgan Stanley issued bearish notes on cruise operators Carnival Corporation (CCL) and Royal Caribbean Cruises (RCL), upgrading CCL to Equal Weight but cutting its price target on RCL. Stifel, however, remains bullish on RCL, lowering its price target but keeping a Buy rating, citing its potential to outperform peers in a weakening economy.

Morgan Stanley’s concerns about the cruise industry stem from potential drops in demand due to economic struggles and tariffs, along with reduced U.S. GDP growth forecasts. The investment bank cut its price target on RCL to $220, maintaining an Equal Weight rating. Stifel, on the other hand, sees RCL as a “best-in-class” name with strong potential.

While Morgan Stanley sees some potential in CCL, it believes that AI stocks offer greater promise for higher returns in a shorter timeframe. An AI stock mentioned in the article has shown growth since the beginning of 2025, outperforming popular AI stocks. For more information on this AI stock, check out the link provided in the article.



Read more at Yahoo Finance: Morgan Stanley Is Bearish on Carnival (CCL), Royal Caribbean (RCL)