10 Best Travel Stocks To Buy Right Now

2. Carnival Corporation & plc (NYSE:CCL)

Number of Hedge Fund Holders: 54

Carnival Corporation & plc (NYSE:CCL) is a major leisure travel company that primarily operates in the cruise industry. It owns and operates several well-known cruise brands, including Carnival Cruise Line, Princess Cruises, Holland America Line, Seabourn, and more. The company caters to North America, Australia, and Europe.

The company took a hard hit during the pandemic as its revenue declined by more than 73% in 2020 and around 65% in 2021. However, it has recovered well from pandemic lows as the stock has rallied more than 44% over the past year. Moreover, Carnival Corporation & plc (NYSE:CCL) posted an all-time high revenue of $25 billion for the full year 2024, indicating a 15% increase year-over-year. The growth was driven by a robust demand and increased consumer spending on traveling. Management of the company has developed a strong profitability model, which led fiscal 2024 net income to surpass its September guidance by $130 million to reach $1.9 billion. CEO, Josh Weinstein, noted that the company outperformed its initial guidance for 2024 by $700 million, contributing nearly $2 billion more to its bottom line year-over-year.

Looking ahead, Carnival is optimistic about 2025, predicting continued growth with yield increases expected to surpass historical rates. Management is enhancing its destination strategy to attract more guests and increase global awareness of cruise travel. The company has already booked over half of its available cabins for 2025 at higher prices than in 2024, indicating sustained demand and pricing power in the market. It is one of the best travel stocks to buy right now.