RE: You know who you are23 Dec 2022 12:25
Papp.
Every travel company took on huge debt, but Carnival is being manipulated downwards above and beyond.
Look at Royal, it's only 1/3 of the value of it's highs, where as Carnival are 1/10th.......
Now, apparently Royal is worth 50% more than Carnival LOL.........
Yes, there is a huge debt, but at the start of all of this, the amount of write-offs from Carnival on older ships means that when the profits are reported, the balance sheet depreciation will not be as high to hit the P&L.
The newer ships they have bought will increase the revenue, whilst the older ships, although costly to run, are now written off, so are running on pure profit.
It will take several years to get rid of the debt, but Carnival had huge debt before Covid.
Of course, they also have a huge fleet and offices, land, and much much more to offset that against.
Will it be £40 tomorrow, of course it won't, but this should not be a sub £6 share.
Give it 12 months and a full year profit at max capacity and then we will see fun and games, and everyone who is in sub £10 will be laughing in a few years time.