Carnival Corporation (NYSE:CCL) shares were on track to snap six straight sessions of gains on Thursday, as it lost 2.47% to trade at $29.98 during afternoon trading.
The cruise operator gained nearly 6% in the preceding six sessions. The stock closed 2.84% higher at $30.74 on Wednesday.
In the year so far, the company has added nearly 22%, compared to an 8.12% rise in the broader S&P500 index. In the past year, Carnival Corporation’s shares have gone up by over 61%.
The stock’s fall on Thursday is likely due to profit booking by investors.
Looking at Seeking Alpha’s quant rating, the company has a Strong Buy rating with a score of 4.94 out of 5, lifted by an A grade in profitability and momentum.
Seeking Alpha analysts had a Buy recommendation for the firm’s shares, and the Wall Street community echoed the sentiment with a similar rating. Overall, 22 analysts gave the company a Buy and above rating, while 8 recommended to Hold the stock and none rated it as Sell.
Earlier this month, Seeking Alpha analyst Manika Premsingh reiterated her Buy rating for the stock on the back of the company’s Q2 earnings beat and upgraded guidance, which she argued, supports continued optimism.
However, the analyst has cautioned against broader market sentiment which could hamper the stock’s growth.
“Despite further potential for CCL, it’s still possible that it won’t see the uptick indicated. That’s because the mood of the markets can change. Even with its largely steady rise since April, the S&P 500 (SP500) has still risen by less than 7% this year,” Premsingh added.