Deutsche Bank Previews Carnival's Q4 Results

Carnival Corporation (NYSE: CCL) is scheduled to report its fourth quarter and full year fiscal 2014 results on Friday before market open.

In a note to clients on Tuesday, Richard Carter of Deutsche Bank stated that he expects the company to report 2014 full year results ahead of market expectation.

“While we think results will point to an ongoing recovery in both demand and pricing, there is a risk that management set a slightly lower bar at this early stage with C/C net yield guidance of two percent to three percent versus consensus of three percent to four percent,” Carter wrote.

For the fourth quarter, Carter expects the company to earn $0.25 per share, ahead of the company's prior guidance of $0.15 to $0.19 per share and a consensus estimate of $0.19. For the full fiscal year, the analyst expects the company to earn $1.93 per share, ahead of the company's guidance of $1.84 to $1.88 and a consensus estimate of $1.88.

Carter expects the company to issue fiscal 2015 EPS guidance above the current $2.31 consensus estimate. At this time, the analyst is guiding for the company to earn $2.56 for the full fiscal year ahead on the back of a 26 percent decline in fuel costs forecast.

Shares are Buy rated with a $48 price target.