Carnival Corporation & Valuation

Is C1CL34 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of C1CL34 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: C1CL34 (R$147.9) is trading below our estimate of fair value (R$311.2)

Significantly Below Fair Value: C1CL34 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for C1CL34?

Key metric: As C1CL34 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for C1CL34. This is calculated by dividing C1CL34's market cap by their current earnings.
What is C1CL34's PE Ratio?
PE Ratio	21x
Earnings	US$1.57b
Market Cap	US$32.37b

C1CL34 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	2.5x
Enterprise Value/EBITDA	10.4x
PEG Ratio	1.1x

Price to Earnings Ratio vs Peers

How does C1CL34's PE Ratio compare to its peers?

The above table shows the PE ratio for C1CL34 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	22x
RCL Royal Caribbean Cruises	25.3x	18.8%	US$64.6b
TCOM Trip.com Group	18.3x	9.0%	US$42.0b
AMS Amadeus IT Group	22.7x	10.7%	€28.8b
NCLH Norwegian Cruise Line Holdings	21.8x	29.1%	US$11.9b
C1CL34 Carnival Corporation &	21x	19.4%	R$32.4b

Price-To-Earnings vs Peers: C1CL34 is good value based on its Price-To-Earnings Ratio (21x) compared to the peer average (22x).

Price to Earnings Ratio vs Industry

How does C1CL34's PE Ratio compare vs other companies in the South American Hospitality Industry?

3 Companies	Price / Earnings	Estimated Growth	Market Cap

3 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: C1CL34 is expensive based on its Price-To-Earnings Ratio (21x) compared to the South American Hospitality industry average (17.1x).

Price to Earnings Ratio vs Fair Ratio

What is C1CL34's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

C1CL34 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	21x
Fair PE Ratio	42.6x

Price-To-Earnings vs Fair Ratio: C1CL34 is good value based on its Price-To-Earnings Ratio (21x) compared to the estimated Fair Price-To-Earnings Ratio (42.6x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.