Kingstone Capital Partners Texas LLC Invests $35.52 Million in Royal Caribbean Cruises Ltd. $RCL

Key Points

• Kingstone Capital Partners Texas LLC acquired 113,424 shares of Royal Caribbean Cruises Ltd., valued at approximately $35.5 million, in the second quarter.
• Royal Caribbean recently reported an earnings per share (EPS) of $4.38, exceeding estimates by $0.34, with a revenue growth of 10.4% year-over-year.
• The company has raised its quarterly dividend from $0.75 to $1.00, reflecting a positive investor outlook with a yield of 1.2%.

Kingstone Capital Partners Texas LLC purchased a new stake in Royal Caribbean Cruises Ltd. (NYSE:RCL - Free Report) during the 2nd quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The firm purchased 113,424 shares of the company's stock, valued at approximately $35,518,000.

Other hedge funds have also added to or reduced their stakes in the company. Financial Gravity Asset Management Inc. bought a new position in Royal Caribbean Cruises in the first quarter valued at about $25,000. Hughes Financial Services LLC bought a new position in Royal Caribbean Cruises during the first quarter worth about $26,000. Optimum Investment Advisors bought a new position in Royal Caribbean Cruises during the first quarter worth about $31,000. Oliver Lagore Vanvalin Investment Group bought a new position in Royal Caribbean Cruises during the second quarter worth about $31,000. Finally, Fourth Dimension Wealth LLC bought a new position in Royal Caribbean Cruises during the fourth quarter worth about $35,000. Institutional investors own 87.53% of the company's stock.

Royal Caribbean Cruises Stock Up 1.0%

Royal Caribbean Cruises stock traded up $3.35 during midday trading on Friday, reaching $329.16. The stock had a trading volume of 3,627,787 shares, compared to its average volume of 1,852,686. The firm's fifty day simple moving average is $336.20 and its 200-day simple moving average is $274.21. Royal Caribbean Cruises Ltd. has a 1-year low of $164.01 and a 1-year high of $366.50. The stock has a market capitalization of $89.41 billion, a P/E ratio of 24.67, a price-to-earnings-growth ratio of 0.92 and a beta of 2.12. The company has a debt-to-equity ratio of 1.88, a quick ratio of 0.21 and a current ratio of 0.23.

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

Royal Caribbean Cruises Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Monday, October 13th. Investors of record on Thursday, September 25th will be given a $1.00 dividend. The ex-dividend date of this dividend is Thursday, September 25th. This represents a $4.00 dividend on an annualized basis and a yield of 1.2%. This is a boost from Royal Caribbean Cruises's previous quarterly dividend of $0.75. Royal Caribbean Cruises's payout ratio is 22.49%.

Analysts Set New Price Targets

A number of equities analysts have issued reports on the company. William Blair restated an "outperform" rating on shares of Royal Caribbean Cruises in a report on Wednesday, July 23rd. JPMorgan Chase & Co. raised their target price on Royal Caribbean Cruises from $302.00 to $367.00 and gave the stock an "overweight" rating in a report on Wednesday, July 30th. UBS Group raised their target price on Royal Caribbean Cruises from $311.00 to $353.00 and gave the stock a "buy" rating in a report on Friday, August 8th. Sanford C. Bernstein raised their target price on Royal Caribbean Cruises from $290.00 to $360.00 and gave the stock an "outperform" rating in a report on Wednesday, July 2nd. Finally, Citigroup raised their target price on Royal Caribbean Cruises from $390.00 to $399.00 and gave the stock a "buy" rating in a report on Wednesday, July 30th. One analyst has rated the stock with a Strong Buy rating, eighteen have given a Buy rating and four have given a Hold rating to the stock. According to MarketBeat, Royal Caribbean Cruises presently has a consensus rating of "Moderate Buy" and an average target price of $326.95.

Insider Activity at Royal Caribbean Cruises

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

Royal Caribbean Cruises 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.