Goldman Sachs Cuts Carnival Stock Price Target Amid Yield Concerns

Goldman Sachs has reduced its price target for Carnival Corporation to $30 from $35 while maintaining a Buy rating. The stock currently trades at $22.35, which is near its 52-week low of $21.93. Analyst Lizzie Dove notes that the stock has pulled back around 20% over the past month due to higher oil prices and some demand weakness.

The firm sees considerable valuation support at current levels but expresses uncertainty about calling an inflection point into earnings. This is because Carnival's customers are brand switchers, and many of its brands are more value-oriented and price sensitive.

In 2027, the company will be pulling around 5% of its capacity out of the Caribbean and into Europe. Industry Caribbean capacity growth is expected to be lower than 2026 levels.