Equities Analysts Issue Forecasts for RCL Q2 Earnings

Royal Caribbean Cruises Ltd. (NYSE:RCL - Free Report) - Investment analysts at William Blair lifted their Q2 2025 EPS estimates for shares of Royal Caribbean Cruises in a note issued to investors on Tuesday, April 29th. William Blair analyst S. Zackfia now anticipates that the company will earn $4.03 per share for the quarter, up from their prior estimate of $3.98. The consensus estimate for Royal Caribbean Cruises' current full-year earnings is $14.90 per share. William Blair also issued estimates for Royal Caribbean Cruises' FY2025 earnings at $15.30 EPS and FY2026 earnings at $18.23 EPS.

Royal Caribbean Cruises (NYSE:RCL - Get Free Report) last announced its earnings results on Tuesday, April 29th. The company reported $2.71 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.53 by $0.18. Royal Caribbean Cruises had a net margin of 17.46% and a return on equity of 48.97%. The firm had revenue of $4 billion for the quarter, compared to analyst estimates of $4.02 billion. During the same quarter in the prior year, the business posted $1.77 EPS. The business's revenue was up 7.3% compared to the same quarter last year.

A number of other brokerages have also issued reports on RCL. Tigress Financial increased their target price on shares of Royal Caribbean Cruises from $270.00 to $330.00 and gave the stock a "buy" rating in a research report on Friday, February 7th. Susquehanna decreased their target price on shares of Royal Caribbean Cruises from $295.00 to $275.00 and set a "positive" rating on the stock in a research report on Wednesday. Loop Capital upgraded shares of Royal Caribbean Cruises from a "hold" rating to a "buy" rating and set a $250.00 price target on the stock in a research report on Wednesday, March 5th. Northcoast Research began coverage on shares of Royal Caribbean Cruises in a research report on Friday, April 25th. They set a "buy" rating and a $279.00 price target on the stock. Finally, Wells Fargo & Company increased their price target on shares of Royal Caribbean Cruises from $232.00 to $272.00 and gave the stock an "overweight" rating in a research report on Monday, January 27th. Four equities research analysts have rated the stock with a hold rating, seventeen have given a buy rating and one has given a strong buy rating to the stock. According to MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus price target of $272.55.

Royal Caribbean Cruises Stock Performance

Shares of NYSE:RCL opened at $214.92 on Thursday. The company's 50 day moving average price is $210.01 and its two-hundred day moving average price is $226.83. Royal Caribbean Cruises has a 12-month low of $130.08 and a 12-month high of $277.08. The firm has a market cap of $58.35 billion, a PE ratio of 20.10, a PEG ratio of 0.90 and a beta of 2.26. The company has a quick ratio of 0.15, a current ratio of 0.17 and a debt-to-equity ratio of 2.39.

Royal Caribbean Cruises declared that its board has authorized a share repurchase program on Wednesday, February 12th that permits the company to buyback $1.00 billion in outstanding shares. This buyback authorization permits the company to repurchase up to 1.5% of its shares through open market purchases. Shares buyback programs are generally an indication that the company's board believes its shares are undervalued.

Royal Caribbean Cruises Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, April 4th. Stockholders of record on Friday, March 7th were paid a dividend of $0.75 per share. The ex-dividend date was Friday, March 7th. This represents a $3.00 annualized dividend and a dividend yield of 1.40%. This is an increase from Royal Caribbean Cruises's previous quarterly dividend of $0.55. Royal Caribbean Cruises's dividend payout ratio (DPR) is presently 28.06%.

Insider Buying and Selling

In related news, Director Richard D. Fain sold 19,500 shares of Royal Caribbean Cruises stock in a transaction on Thursday, February 13th. The shares were sold at an average price of $256.68, for a total transaction of $5,005,260.00. Following the completion of the transaction, the director now owns 185,021 shares of the company's stock, valued at $47,491,190.28. This trade represents a 9.53 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Laura H. Bethge sold 14,992 shares of Royal Caribbean Cruises stock in a transaction on Tuesday, February 18th. The stock was sold at an average price of $261.86, for a total transaction of $3,925,805.12. Following the transaction, the insider now directly owns 21,155 shares of the company's stock, valued at $5,539,648.30. This represents a 41.48 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 109,492 shares of company stock valued at $28,571,705 over the last quarter. Insiders own 7.95% of the company's stock.

Hedge Funds Weigh In On Royal Caribbean Cruises

A number of hedge funds have recently bought and sold shares of RCL. Capital International Investors grew its holdings in Royal Caribbean Cruises by 0.9% in the fourth quarter. Capital International Investors now owns 29,712,610 shares of the company's stock worth $6,854,905,000 after purchasing an additional 278,860 shares during the period. Vanguard Group Inc. grew its stake in shares of Royal Caribbean Cruises by 8.0% in the 4th quarter. Vanguard Group Inc. now owns 28,072,316 shares of the company's stock valued at $6,476,003,000 after buying an additional 2,068,114 shares during the period. Geode Capital Management LLC increased its position in Royal Caribbean Cruises by 6.3% in the 4th quarter. Geode Capital Management LLC now owns 5,969,532 shares of the company's stock valued at $1,373,856,000 after buying an additional 353,893 shares in the last quarter. Norges Bank bought a new stake in Royal Caribbean Cruises in the 4th quarter valued at about $707,833,000. Finally, Bank of New York Mellon Corp raised its stake in Royal Caribbean Cruises by 21.8% during the 1st quarter. Bank of New York Mellon Corp now owns 2,991,079 shares of the company's stock worth $614,487,000 after buying an additional 535,043 shares during the period. Institutional investors own 87.53% of the company's stock.

Royal Caribbean Cruises Company Profile

Royal Caribbean Cruises Ltd. operates as a cruise company worldwide. The company operates cruises under the Royal Caribbean International, Celebrity Cruises, and Silversea Cruises brands, which comprise a range of itineraries. As of February 21, 2024, it operated 65 ships. Royal Caribbean Cruises Ltd.

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