Bank of Nova Scotia Cuts Stock Position in Royal Caribbean Cruises Ltd. $RCL

Key Points

• Bank of Nova Scotia cut its Royal Caribbean stake by 8.1% in the first quarter, though it still held 104,848 shares valued at about $28.9 million.
• Royal Caribbean’s latest quarter beat earnings expectations, posting $3.60 EPS versus the $3.20 consensus, while revenue rose 11.3% year over year to $4.45 billion.
• The company remains well covered by Wall Street, with analysts maintaining a Moderate Buy rating overall and an average price target of $345.05, even as some firms have recently trimmed targets.

Bank of Nova Scotia decreased its stake in shares of Royal Caribbean Cruises Ltd. (NYSE:RCL - Free Report) by 8.1% in the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 104,848 shares of the company's stock after selling 9,277 shares during the quarter. Bank of Nova Scotia's holdings in Royal Caribbean Cruises were worth $28,852,000 at the end of the most recent quarter.

Several other hedge funds have also added to or reduced their stakes in RCL. Dougherty & Associates LLC purchased a new position in Royal Caribbean Cruises in the 4th quarter worth approximately $10,827,000. TD Asset Management Inc boosted its stake in Royal Caribbean Cruises by 29.7% during the 4th quarter. TD Asset Management Inc now owns 877,659 shares of the company's stock valued at $244,797,000 after purchasing an additional 201,014 shares during the last quarter. North Dakota State Investment Board purchased a new stake in Royal Caribbean Cruises during the 4th quarter valued at $2,424,000. Stanley Laman Group Ltd. bought a new stake in shares of Royal Caribbean Cruises in the 4th quarter worth $2,159,000. Finally, Capital International Sarl increased its holdings in shares of Royal Caribbean Cruises by 19.3% in the 4th quarter. Capital International Sarl now owns 363,713 shares of the company's stock worth $101,447,000 after purchasing an additional 58,734 shares in the last quarter. 87.53% of the stock is owned by institutional investors.

Royal Caribbean Cruises Stock Up 3.4%

RCL opened at $293.00 on Friday. The stock has a market cap of $78.58 billion, a price-to-earnings ratio of 17.88, a price-to-earnings-growth ratio of 1.00 and a beta of 1.76. The company has a debt-to-equity ratio of 1.96, a quick ratio of 0.17 and a current ratio of 0.20. The firm's fifty day moving average is $289.42 and its 200 day moving average is $289.13. Royal Caribbean Cruises Ltd. has a fifty-two week low of $232.10 and a fifty-two week high of $366.50.

Royal Caribbean Cruises (NYSE:RCL - Get Free Report) last announced its quarterly earnings data on Thursday, April 30th. The company reported $3.60 EPS for the quarter, beating the consensus estimate of $3.20 by $0.40. Royal Caribbean Cruises had a return on equity of 45.25% and a net margin of 24.36%.The business had revenue of $4.45 billion for the quarter, compared to the consensus estimate of $4.46 billion. During the same period in the previous year, the business earned $2.71 earnings per share. The business's revenue was up 11.3% on a year-over-year basis. Royal Caribbean Cruises has set its Q2 2026 guidance at 3.830-3.930 EPS and its FY 2026 guidance at 17.100-17.500 EPS. On average, sell-side analysts forecast that Royal Caribbean Cruises Ltd. will post 17.29 earnings per share for the current fiscal year.

Royal Caribbean Cruises Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, July 2nd. Shareholders of record on Wednesday, June 3rd were issued a dividend of $1.50 per share. This represents a $6.00 dividend on an annualized basis and a yield of 2.0%. The ex-dividend date of this dividend was Wednesday, June 3rd. Royal Caribbean Cruises's dividend payout ratio (DPR) is 36.61%.

More Royal Caribbean Cruises News

Here are the key news stories impacting Royal Caribbean Cruises this week:

• Positive Sentiment: Analysts say Royal Caribbean heads into Q2 earnings with strong booking demand and improving digital momentum, which could support another solid quarterly result. Should Investors Hold or Fold RCL Stock Ahead of Q2 Earnings?
• Positive Sentiment: The company recently beat first-quarter expectations, reinforcing the view that Royal Caribbean’s earnings power remains strong even though the stock has lagged broader market gains this year. Should You Buy Royal Caribbean Stock Before July 28?
• Neutral Sentiment: Wall Street estimate roundups ahead of Q2 earnings are keeping attention on key operating metrics, but these previews are not signaling a major new catalyst by themselves. Curious about Royal Caribbean (RCL) Q2 Performance? Explore Wall Street Estimates for Key Metrics
• Neutral Sentiment: Royal Caribbean’s community-center outreach in Mahahual may help strengthen local government relations, but the stock impact is likely limited in the near term. Royal Caribbean courts Mexican government with community center in Mahahual
• Negative Sentiment: Some broader consumer-discretionary commentary remains cautious, noting that demand trends across the group have been mixed, which could temper enthusiasm for cruise stocks. 3 Consumer Stocks We Steer Clear Of
• Negative Sentiment: Citigroup trimmed its price target on Royal Caribbean, which can weigh on sentiment even though the firm still sees upside from current levels. Citigroup Lowers Royal Caribbean Cruises NYSE: RCL Price Target to $327.00

Analysts Set New Price Targets

A number of brokerages have recently issued reports on RCL. Truist Financial lowered their price target on Royal Caribbean Cruises from $318.00 to $297.00 and set a "hold" rating on the stock in a report on Friday, May 22nd. Mizuho set a $380.00 target price on Royal Caribbean Cruises in a research report on Friday, May 1st. Wells Fargo & Company upped their target price on shares of Royal Caribbean Cruises from $360.00 to $361.00 and gave the company an "overweight" rating in a research note on Monday, June 22nd. BMO Capital Markets started coverage on shares of Royal Caribbean Cruises in a report on Tuesday, July 7th. They set an "outperform" rating and a $370.00 price target on the stock. Finally, Morgan Stanley decreased their price objective on shares of Royal Caribbean Cruises from $310.00 to $280.00 and set an "equal weight" rating for the company in a report on Tuesday, May 26th. Two research analysts have rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and six have assigned a Hold rating to the company's stock. According to MarketBeat.com, Royal Caribbean Cruises has an average rating of "Moderate Buy" and an average target price of $345.05.

About Royal Caribbean Cruises

Royal Caribbean Cruises NYSE: RCL, operating as part of the Royal Caribbean Group, is a global cruise company that develops, markets and operates passenger cruise ships. The company operates multiple consumer-facing cruise brands that offer short- and long-duration itineraries and a range of onboard experiences. Its core activities include itineraries and voyage operations, guest services and hospitality, onboard food and beverage, entertainment and recreation programming, and the commercial activities needed to sell and support cruises through both direct and travel‑agent channels.

Royal Caribbean's ships serve a broad set of geographies worldwide, regularly deploying vessels in the Caribbean, North America (including Alaska), Europe, Asia, Australia and South America.

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