MIAMI ( TheStreet) -- Carnival ( CCL) shares fell amid heavy trading Friday after the cruise ship operator said higher oil prices will pressure full-year earnings. Carnival also preannounced disappointing fiscal first-quarter profit results.
Carnival Cruise Line vessels Sensation and Ecstasy
Analysts from Deutsche Bank maintained a buy rating on Carnival following the announcement, but lowered the price target on the stock by $1 to $50. Carnival, which recently announced a 150% spike to its quarterly cash dividend , lowered its 2011 guidance by 40 cents a share due to the recent spike in oil prices .
The Miami company now expects to earn between $2.50 and $2.60 a share this year, compared with prior guidance for earnings of $2.90 to $3.10 a share. Analysts' consensus had been for Carnival to earn $2.94 a share this fiscal year. Carnival earned $2.47 a share in fiscal 2010.