The travel industry has been roaring back this year. Whether you call it pent-up demand, revenge travel, or just a return to normal, people have been traveling in droves this year. Analysts at Morgan Stanley also expect business travel to be back to normal, with corporate travel budgets this year projected to be, on average, at 98% of 2019 levels based on a recent travel survey.

Despite the optimistic outlook for this year, Carnival (NYSE: CCL) stock appears to be running out of steam. The cruise ship stock was a hot buy this year until recently. Share prices are down more than 30% since July. Is this pullback a buying opportunity, or is the stock overpriced and heading lower?

Carnival's business went into recovery mode this year. In its last three fiscal years (which ended in November), the company posted significant losses of more than $6 billion. The pandemic destroyed Carnival's financials, but the good news is the company made it through to the other side, and it recently even posted a profit.

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Source Fool.com