Redhawk Wealth Advisors Inc. Acquires 1,311 Shares of Royal Caribbean Cruises Ltd. $RCL

Key Points

• Redhawk Wealth Advisors Inc. increased its stake in Royal Caribbean Cruises Ltd. by 18.2%, holding 8,525 shares valued at $2.67 million as of the latest SEC filing.
• Royal Caribbean recently declared a quarterly dividend of $1.00 per share, up from the previous $0.75, indicating a positive shift in its dividend policy.
• Analyst price targets for Royal Caribbean Cruises have been raised significantly, with several firms setting targets between $355 and $415 and generally maintaining a "buy" rating.

Redhawk Wealth Advisors Inc. lifted its position in Royal Caribbean Cruises Ltd. (NYSE:RCL - Free Report) by 18.2% during the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 8,525 shares of the company's stock after acquiring an additional 1,311 shares during the period. Redhawk Wealth Advisors Inc.'s holdings in Royal Caribbean Cruises were worth $2,670,000 at the end of the most recent quarter.

A number of other hedge funds have also modified their holdings of the company. Vanguard Group Inc. raised its position in shares of 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 period. Bank of New York Mellon Corp raised its position in shares of 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 valued at $614,487,000 after acquiring an additional 535,043 shares during the period. Nuveen LLC acquired a new stake in Royal Caribbean Cruises during the 1st quarter worth approximately $358,614,000. GAMMA Investing LLC raised its holdings in Royal Caribbean Cruises by 22,154.9% during the 1st quarter. GAMMA Investing LLC now owns 1,410,962 shares of the company's stock worth $289,868,000 after buying an additional 1,404,622 shares during the period. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its holdings in Royal Caribbean Cruises by 4.7% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 1,332,682 shares of the company's stock worth $273,786,000 after buying an additional 59,743 shares during the period. 87.53% of the stock is currently owned by institutional investors and hedge funds.

Royal Caribbean Cruises Price Performance

RCL stock traded up $3.35 during midday trading on Friday, reaching $329.16. The company had a trading volume of 3,627,787 shares, compared to its average volume of 1,852,686. The company has a market capitalization of $89.41 billion, a price-to-earnings ratio of 24.67, a price-to-earnings-growth ratio of 0.92 and a beta of 2.12. The stock has a 50 day moving average price of $336.20 and a 200-day moving average price of $273.91. Royal Caribbean Cruises Ltd. has a 1-year low of $164.01 and a 1-year 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.

Royal Caribbean Cruises (NYSE:RCL - Get Free Report) last released its quarterly earnings results on Tuesday, July 29th. The company reported $4.38 earnings per share for the quarter, topping the consensus estimate of $4.04 by $0.34. The company had revenue of $4.54 billion for the quarter, compared to analysts' expectations of $4.54 billion. Royal Caribbean Cruises had a return on equity of 47.15% and a net margin of 20.97%.The business's quarterly revenue was up 10.4% compared to the same quarter last year. During the same period in the previous year, the business posted $3.21 earnings per share. 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 research analysts expect that Royal Caribbean Cruises Ltd. will post 14.9 earnings per share for the current year.

Royal Caribbean Cruises Increases Dividend

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

Insider Buying and Selling

In other news, CAO Henry L. Pujol sold 5,207 shares of the business's stock in a transaction dated Wednesday, July 30th. The stock was sold at an average price of $329.47, for a total transaction of $1,715,550.29. Following the completion of the transaction, the chief accounting officer owned 7,826 shares of the company's stock, valued at approximately $2,578,432.22. The trade was a 39.95% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Vagn O. Sorensen sold 10,300 shares of the business's stock in a transaction dated Tuesday, August 19th. The stock was sold at an average price of $330.04, for a total value of $3,399,412.00. Following the transaction, the director directly owned 16,407 shares of the company's stock, valued at $5,414,966.28. The trade was a 38.57% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 31,507 shares of company stock valued at $10,091,282. 6.95% of the stock is owned by insiders.

Wall Street Analyst Weigh In

Several analysts have commented on RCL shares. Citigroup raised their target price on shares of Royal Caribbean Cruises from $390.00 to $399.00 and gave the stock a "buy" rating in a report on Wednesday, July 30th. TD Cowen began coverage on shares of Royal Caribbean Cruises in a report on Tuesday, July 22nd. They set a "buy" rating and a $405.00 target price for the company. Tigress Financial increased their target price on shares of Royal Caribbean Cruises from $330.00 to $415.00 and gave the stock a "buy" rating in a report on Thursday, August 21st. Bank of America increased their target price on shares of Royal Caribbean Cruises from $230.00 to $355.00 and gave the stock a "neutral" rating in a report on Wednesday, July 23rd. Finally, Jefferies Financial Group increased their target price on shares of Royal Caribbean Cruises from $235.00 to $315.00 and gave the stock a "hold" rating in a report on Monday, July 7th. One analyst has rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating and four have issued a Hold rating to the stock. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus price target of $326.95.

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.