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DCF valuation

What is Carnival Corp Ltd. worth?

With the base-case assumptions below, a discounted cash flow model on Carnival Corp Ltd.'s reported free cash flow gives $44.80 per share. The share price was $22.25 on September 25, 2026, 50% below that value.

Inputs from the filings

Free cash flow, fiscal 2025
$2.61B
Average free cash flow, last 5 years
-$1.89B
Cash
$2.24B
balance sheet of May 31, 2026
Debt
$25.57B
balance sheet of May 31, 2026
Diluted shares, fiscal 2025
1,402,000,000
Revenue growth per year, last 5 years
36.6%

Three sets of assumptions

CaseGrowth yrs 1-5Growth yrs 6-10After year 10Discount rateValue per shareValue vs price
Bear10.0%6.0%2.0%10.0%$20.69-7%
Base15.0%9.0%2.5%9.0%$44.80+101%
Bull20.0%11.5%3.0%8.0%$89.69+303%

Sensitivity: base case value per share

Discount rate down the side, growth after year 10 across the top. Everything else as in the base case.

1.5%2.0%2.5%3.0%3.5%
7.0%$63.05$68.74$75.70$84.39$95.57
8.0%$49.34$53.03$57.39$62.63$69.02
9.0%$39.36$41.89$44.80$48.19$52.21
10.0%$31.80$33.59$35.63$37.95$40.63
11.0%$25.88$27.19$28.67$30.32$32.19

Where the presets come from

Base: years 1 to 5 grow at Carnival Corp Ltd.'s revenue growth rate over the last 5 fiscal years (36.6% a year), held between -5% and 15%. Years 6 to 10 grow halfway between that and the long-run rate of 2.5%. Future cash is discounted at 9% a year.

Bear: 5 points less growth, 2% long-run growth, 10% discount rate. Bull: 5 points more growth (at most 25%), 3% long-run growth, 8% discount rate.

Value per share = (present value of 10 years of free cash flow + present value of everything after + cash - debt) / diluted shares.

This is a model run on assumptions, not a recommendation or a price target. Small changes in the discount rate or growth move the result a lot, as the table above shows. Change them yourself in the calculator.

Adjust the assumptions

Move the sliders for growth, long-run growth and discount rate, or switch to average free cash flow, and see the value per share change.

Adjust the assumptions

Carnival Corp Ltd. company page