Shares in cruise operator Carnival Corp should recover in the next year, helped by rising demand and slower growth in industry capacity, Barron's said in its January 23 edition.

Carnival's shares took a beating last week after one of its cruiseliners hit a reef and capsized off the coast of Tuscany, Italy. On Friday, they closed at $31.56 on the New York Stock Exchange.

But Barron's said they could rise to $35 or higher in the coming year, due to rising demand and cruise ship operators building fewer new ships.

The financial weekly also said Carnival's profit margins were positioned to be strong down the road and praised company management.

(Reporting By Phil Wahba; Editing by Maureen Bavdek)