1 Green Flag for Carnival, and 1 Red Flag

Without question, the COVID-19 pandemic impacted Carnival (NYSE: CCL) and its peers in ways they will feel for years to come. The cruise line and its competitors had to find a way to survive without revenue. But despite this challenge, passengers still want to take cruises, a factor that has helped Carnival's revenue sail higher again.

However, the pandemic exposed green flags and red flags for Carnival stock. Investors should weigh the benefits and challenges before considering a position in this stock.

One factor that stayed in place was Carnival's market leadership among cruise line stocks. According to Cruise Market Watch, 42% of all cruise passengers sailed on a Carnival-owned ship. This was well ahead of Royal Caribbean at 24% and Norwegian, which claimed about 10%.

Source Fool.com