5 Questions to Ask Before Investing in Carnival Stock

You may or may not enjoy cruise vacations, but there's a good chance that you're considering cruise stocks for your portfolio. Shares of Carnival (NYSE: CCL) (NYSE: CUK) have surrendered 75% of their January highs. Smaller rivals Royal Caribbean (NYSE: RCL), and Norwegian Cruise Line Holdings (NYSE: NCLH) have also tumbled at least 70% since peaking three months ago.

Is Carnival a bargain or a value trap? Let's put your bullish considerations to the test. Let's go over five question that a potential investor should ask to assess the risks and potential rewards of buying into the world's largest cruise line operator. 

The Carnival Breeze. Image source: Carnival.

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Source Fool.com