Generate Investment Management Ltd Grows Stock Position in Royal Caribbean Cruises Ltd. $RCL

Key Points

• Generate Investment Management Ltd increased its stake in Royal Caribbean Cruises Ltd. by 1.9%, acquiring a total of 125,102 shares valued at approximately $39.17 million.
• Royal Caribbean Cruises recently reported a strong earnings performance, with EPS of $4.38 for the quarter, surpassing estimates by $0.34.
• The company announced a quarterly dividend increase from $0.75 to $1.00 per share, reflecting a commitment to returning value to shareholders.

Generate Investment Management Ltd boosted its position in Royal Caribbean Cruises Ltd. (NYSE:RCL - Free Report) by 1.9% in the 2nd quarter, according to the company in its most recent 13F filing with the SEC. The fund owned 125,102 shares of the company's stock after purchasing an additional 2,341 shares during the quarter. Royal Caribbean Cruises comprises approximately 2.2% of Generate Investment Management Ltd's investment portfolio, making the stock its 12th largest position. Generate Investment Management Ltd's holdings in Royal Caribbean Cruises were worth $39,174,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors also recently added to or reduced their stakes in RCL. Nuveen LLC purchased a new position in shares of Royal Caribbean Cruises in the first quarter worth about $358,614,000. Vanguard Group Inc. raised its holdings in Royal Caribbean Cruises by 2.1% in the 1st quarter. Vanguard Group Inc. now owns 28,674,763 shares of the company's stock valued at $5,890,943,000 after acquiring an additional 602,447 shares during the last quarter. Bank of New York Mellon Corp lifted its stake in Royal Caribbean Cruises by 21.8% in 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 purchasing an additional 535,043 shares in the last quarter. Adage Capital Partners GP L.L.C. boosted its holdings in shares of Royal Caribbean Cruises by 179.2% during the 1st quarter. Adage Capital Partners GP L.L.C. now owns 645,200 shares of the company's stock worth $132,550,000 after purchasing an additional 414,100 shares during the last quarter. Finally, Ameriprise Financial Inc. boosted its holdings in shares of Royal Caribbean Cruises by 112.9% during the 1st quarter. Ameriprise Financial Inc. now owns 566,273 shares of the company's stock worth $116,396,000 after purchasing an additional 300,232 shares during the last quarter. Hedge funds and other institutional investors own 87.53% of the company's stock.

Analysts Set New Price Targets

Several equities research analysts recently commented on the company. Susquehanna reaffirmed a "positive" rating and issued a $385.00 price target (up previously from $275.00) on shares of Royal Caribbean Cruises in a report on Wednesday, July 30th. TD Cowen started coverage on Royal Caribbean Cruises in a research note on Tuesday, July 22nd. They issued a "buy" rating and a $405.00 target price for the company. William Blair reiterated an "outperform" rating on shares of Royal Caribbean Cruises in a report on Wednesday, July 23rd. JPMorgan Chase & Co. boosted their price target on shares of Royal Caribbean Cruises from $302.00 to $367.00 and gave the company an "overweight" rating in a research report on Wednesday, July 30th. Finally, Loop Capital restated a "buy" rating and set a $290.00 price objective (up from $250.00) on shares of Royal Caribbean Cruises in a research report on Tuesday, June 3rd. One equities research analyst has rated the stock with a Strong Buy rating, eighteen have given a Buy rating and four have issued a Hold rating to the stock. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus price target of $326.95.

Insider Transactions at Royal Caribbean Cruises

In other Royal Caribbean Cruises news, CAO Henry L. Pujol sold 5,207 shares of the company's stock in a transaction that occurred on Wednesday, July 30th. The stock was sold at an average price of $329.47, for a total value of $1,715,550.29. Following the completion of the transaction, the chief accounting officer owned 7,826 shares in the company, valued at $2,578,432.22. This represents a 39.95% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Vagn O. Sorensen sold 10,300 shares of Royal Caribbean Cruises stock in a transaction that occurred on Tuesday, August 19th. The shares were sold at an average price of $330.04, for a total transaction of $3,399,412.00. Following the sale, the director owned 16,407 shares in the company, valued at $5,414,966.28. This represents a 38.57% decrease in their position. The disclosure for this sale can be found here. Insiders sold 31,507 shares of company stock valued at $10,091,282 over the last quarter. Company insiders own 6.95% of the company's stock.

Royal Caribbean Cruises Stock Performance

Royal Caribbean Cruises stock opened at $326.50 on Monday. The company has a market cap of $88.69 billion, a price-to-earnings ratio of 24.48, a price-to-earnings-growth ratio of 0.92 and a beta of 2.12. Royal Caribbean Cruises Ltd. has a 12 month low of $164.01 and a 12 month high of $366.50. The company has a debt-to-equity ratio of 1.88, a current ratio of 0.23 and a quick ratio of 0.21. The stock's 50-day moving average is $334.54 and its 200-day moving average is $278.79.

Royal Caribbean Cruises (NYSE:RCL - Get Free Report) last posted its earnings results on Tuesday, July 29th. The company reported $4.38 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $4.04 by $0.34. The firm had revenue of $4.54 billion during the quarter, compared to the consensus estimate of $4.54 billion. Royal Caribbean Cruises had a net margin of 20.97% and a return on equity of 47.15%. The company's revenue was up 10.4% on a year-over-year basis. During the same quarter in the prior year, the company earned $3.21 EPS. Royal Caribbean Cruises has set its FY 2025 guidance at 15.410-15.550 EPS. Q3 2025 guidance at 5.550-5.650 EPS. Equities analysts anticipate that Royal Caribbean Cruises Ltd. will post 14.9 earnings per share for the current year.

Royal Caribbean Cruises Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, October 13th. Shareholders of record on Thursday, September 25th will be paid a dividend of $1.00 per share. This is a boost from Royal Caribbean Cruises's previous quarterly dividend of $0.75. This represents a $4.00 dividend on an annualized basis and a dividend yield of 1.2%. The ex-dividend date is Thursday, September 25th. Royal Caribbean Cruises's payout ratio is presently 29.99%.

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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