Carnival "neutral," target price raised

24.09.07 - Credit Suisse

NEW YORK, September 24 (newratings.com) - Analyst S Barry of Credit Suisse maintains his "neutral" rating on Carnival Corp (CCL), while raising his estimates for the company. The target price has been raised from $45 to $50.

In a research note published on September 21, the analyst mentions that the company has posted its F3Q EPS ahead of the estimates and guidance, driven by higher-than-expected net yields. The Carnival?s demand prospects for 1H08 appear bright, given the higher-than-expected booked occupancy and better-than-anticipated overall revenues, the analyst says. The company?s net yield growth is expected to re-accelerate in 1H, Credit Suisse adds. The EPS estimates for FY07 and FY08 have been raised from $2.92 to $2.95 and from $3.15 to $3.20, respectively.