Carnival Corporation (CCL) reported a 6.5% increase in net yields and the highest EBITDA margins in two decades in Q2 2025. The company’s pricing power is being supported by private destinations, product upgrades, and loyalty revamps. However, rivals Royal Caribbean Group (RCL) and Norwegian Cruise Line Holdings (NCLH) are boosting premium offerings to challenge Carnival’s dominance in the middle-market segment. Carnival’s strategic positioning and innovation indicate that its pricing power is more than cyclical, it is structural.

Shares of Carnival have gained 44.4% in the past three months, outperforming the industry. Carnival currently trades at a forward P/E ratio of 13.35X, below the industry average. The Zacks Consensus Estimate for Carnival’s fiscal 2025 and 2026 earnings show an increase of 40.9% and 5.9%, respectively. Carnival currently has a Zacks Rank #1 (Strong Buy).

Read more at Zacks Investment Research: Will Carnival’s Pricing Power Hold Up Amid Rising Competition? – August 7, 2025