NEW YORK (TheStreet) -- Shares of Carnival Corp. (CCL) are higher by 1.56% to $39.74 on Monday following the company's announcement it is sending a fourth cruise ship to China in order to expand its market leadership in the region.
The Miami-based cruise company said it is looking to capitalize on growing consumer demand that is expected to make China the second largest cruise ship market in the world by 2017.
Speaking with Bloomberg, Carnival COO Alan Buckelew said, "It's a market that can support that kind of growth."
TheStreet Ratings team rates CARNIVAL CORP/PLC (USA) as a Hold with a ratings score of C+. TheStreet Ratings Team has this to say about their recommendation:
"We rate CARNIVAL CORP/PLC (USA) (CCL) a HOLD. The primary factors that have impacted our rating are mixed some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its reasonable valuation levels, good cash flow from operations and increase in stock price during the past year. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and poor profit margins."