10 Best Robinhood Stocks Under $20

3. Carnival Corporation & plc (NYSE:CCL)

Number of Hedge Fund Holders: 56

Share Price as of June 12: $16.74

Carnival Corporation & plc (NYSE:CCL) provides leisure travel services and operates through NAA Cruise Operations, Europe Cruise Operations, Cruise Support, and Tour and Other segments. The company is one of the best Robinhood stocks under $20 and its portfolio of brands includes Carnival Cruise Line, Princess Cruises, Holland America Line, Seabourn, Costa Cruises, AIDA Cruises, P&O Cruises, and Cunard.

On June 14, Cruise operators faced challenges as BofA forecasted lower pricing for June. BofA Securities indicated that prices in early June have fallen compared to the previous month. Consequently, share prices of all major cruise lines closed the day in red. However, the recent earnings of these cruise lines, including Carnival Corporation & plc (NYSE:CCL), show strength in the stocks. The company’s total customer deposits and occupancy are consistently increasing. In the first quarter of 2024, the company recorded first-quarter deposits at $7 billion, almost doubling the deposits in the first quarter of 2022. Moreover, in Q1 of 2022, the cruise line’s occupancy was at 54% and reached 102% in Q1 of 2024.

Carnival Corporation & plc’s (NYSE:CCL) sustainable revenue growth is supported by investments in new ships like Carnival Jubilee, Sun Princess, and Queen Anne, as well as the modernization of existing fleets, such as the AIDA evolution program. On June 12, the company’s Cunard line announced record-breaking bookings after the launch of its new 3,000 guest ship, Queen Anne. Moreover, exclusive destinations, such as Celebration Key, make a compelling case for the company to generate significant revenue growth and improve guest experiences, which could drive the demand for the company’s offerings further.

Based on 16 Wall Street analysts’ ratings in the last three months, Carnival Corporation & plc (NYSE:CCL) has a consensus rating of strong buy. The average price target of $22.00 implies an upside of 31.42% from the current levels, as of June 12. Furthermore, while the company is trading at a PE ratio of 52x. analysts estimate that the company will go from posting negative $0.06 EPS in 2023 to a nearly 1800% increase to $1.01 and a further 41% increase in 2025.

In Q1, 56 hedge funds held positions in Carnival Corporation & plc (NYSE:CCL) worth $1.5 billion. Point72 Asset Management has increased its stake in the company by 228% to 12.76 million shares worth $208.494 million and is the most significant shareholder as of the first quarter.