2 Stocks Down 63% and 72% to Buy Right Now

As the market continues its bullish run, driven by strong corporate earnings and technological advancements, some stocks have lagged behind, presenting attractive opportunities for long-term investors. Two such stocks, Carnival (CCL) and Intel (INTC), have experienced significant declines but remain poised for a comeback. Let's delve into the reasons behind their recent struggles and explore why they could be compelling buys right now.



1. Carnival (CCL) - Down 63% from All-Time Highs

Carnival, the world's largest cruise operator, has seen its stock price plummet by 63% from its all-time highs. Despite the decline, the company's fundamentals remain strong, with demand for cruises outpacing market expectations. In the 2024 fiscal third quarter, Carnival reported a 25% increase in adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) and a 25% improvement in operating income compared to the same period last year.

The primary concern for investors is Carnival's massive debt, which stood at $29 billion at the end of the third quarter. However, management is actively paying off this debt, and lower interest rates will help accelerate the repayment process. As economic conditions ease, Carnival is well-positioned to maintain strong demand, and its long track record as an industry leader makes it an attractive investment opportunity.

2. Intel (INTC) - Down 72% from Lifetime Highs

Intel, the semiconductor giant, has experienced a challenging year, with its share price falling 58% in 2024. The company's chip-design unit has been losing ground to rivals like Advanced Micro Devices (AMD) and Arm Holdings in the PC and server markets. Additionally, Intel has missed out on early opportunities in the artificial intelligence (AI) revolution, with Nvidia dominating the AI training market.

Intel's push to leverage its chip-manufacturing capabilities has been costly, with expenses remaining high as it aims to improve yield quality and production capacity. The recent departure of CEO Pat Gelsinger has added another layer of uncertainty to Intel's outlook. However, with a forward price-to-sales ratio of roughly 1.7, which is low on a historical basis, and a forward earnings multiple of approximately 53, Intel's stock may present an attractive opportunity for long-term investors.



In conclusion, both Carnival and Intel have experienced significant declines in their stock prices but remain well-positioned for a comeback. Carnival's strong demand and industry leadership, coupled with its debt management strategy, make it an attractive long-term investment. Intel, despite its recent struggles, offers an appealing valuation and the potential for a turnaround under new leadership. As always, investors should conduct thorough research and consider their risk tolerance before making any investment decisions.