Carnival Sails Past Estimates, Shares Rise

(Updates stock prices throughout.)

Despite a global recession and the swine-flu outbreak, Carnival(CCL Quote) managed to stay afloat -- and even surpass its second-quarter forecast.

And even though the cruise line lowered its full-year forecast, investors still sent shares up more than 8% in Thursday morning trading to $25.12, before it closed at $24.77. On Friday, the stock continued its upward surge, climbing more than 6% to $26.26 in early afternoon trading.

The cruise line posted a 32% drop in earnings during the quarter, to $264 million, or 33 cents a share, beating analysts' estimate of 29 cents. That compares to a profit of $390 million, or 49 cents, in the year-ago period. ...