Royal Caribbean Cruises Ltd. (NYSE:RCL) Given Consensus Recommendation of "Moderate Buy" by Brokerages

Key Points

• Royal Caribbean Cruises Ltd. has received a consensus recommendation of "Moderate Buy" from 23 brokerages, with 18 assigning a buy recommendation and one a strong buy.
• The company's stock opened at $325.22 with a market capitalization of $88.34 billion and has experienced a 12-month high of $355.91.
• Royal Caribbean reported an earnings per share (EPS) of $4.38 for the last quarter, beating the consensus estimate by $0.34 amidst a year-over-year revenue increase of 10.4%.

Royal Caribbean Cruises Ltd. (NYSE:RCL - Get Free Report) has been given an average recommendation of "Moderate Buy" by the twenty-three brokerages that are presently covering the firm, Marketbeat reports. Four analysts have rated the stock with a hold recommendation, eighteen have assigned a buy recommendation and one has issued a strong buy recommendation on the company. The average 12-month price target among brokers that have updated their coverage on the stock in the last year is $327.1429.

RCL has been the subject of several research reports. Wall Street Zen cut Royal Caribbean Cruises from a "buy" rating to a "hold" rating in a research note on Saturday, June 28th. Loop Capital reissued a "buy" rating and set a $290.00 price objective (up from $250.00) on shares of Royal Caribbean Cruises in a report on Tuesday, June 3rd. Northcoast Research assumed coverage on Royal Caribbean Cruises in a report on Friday, April 25th. They set a "buy" rating and a $279.00 price objective for the company. Macquarie dropped their price objective on Royal Caribbean Cruises from $300.00 to $265.00 and set an "outperform" rating for the company in a report on Friday, May 9th. Finally, Bank of America boosted their price objective on Royal Caribbean Cruises from $230.00 to $355.00 and gave the stock a "neutral" rating in a report on Wednesday, July 23rd.

Royal Caribbean Cruises Stock Performance

Royal Caribbean Cruises stock opened at $325.2210 on Friday. The stock has a 50-day simple moving average of $317.44 and a 200 day simple moving average of $260.32. The company has a quick ratio of 0.21, a current ratio of 0.23 and a debt-to-equity ratio of 1.88. Royal Caribbean Cruises has a 12-month low of $154.08 and a 12-month high of $355.91. The stock has a market capitalization of $88.34 billion, a price-to-earnings ratio of 24.38, a P/E/G ratio of 0.93 and a beta of 2.22.

Royal Caribbean Cruises (NYSE:RCL - Get Free Report) last released its earnings results on Tuesday, July 29th. The company reported $4.38 EPS for the quarter, beating the consensus estimate of $4.04 by $0.34. The company had revenue of $4.54 billion during 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 revenue for the quarter was up 10.4% on a year-over-year basis. During the same period last year, the firm 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. On average, research analysts anticipate that Royal Caribbean Cruises will post 14.9 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, Director Richard D. Fain sold 16,000 shares of the company's stock in a transaction dated Wednesday, August 6th. The stock was sold at an average price of $311.02, for a total value of $4,976,320.00. Following the completion of the sale, the director directly owned 150,291 shares of the company's stock, valued at $46,743,506.82. This represents a 9.62% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, Director Vagn O. Sorensen sold 10,300 shares of the company's stock in a transaction dated 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 sale, the director directly owned 16,407 shares of the company's stock, valued at approximately $5,414,966.28. This trade represents a 38.57% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 31,507 shares of company stock valued at $10,091,282. 6.95% of the stock is currently owned by insiders.

Institutional Trading of Royal Caribbean Cruises

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Vanguard Group Inc. increased its stake in shares of Royal Caribbean Cruises by 3.2% in the 2nd quarter. Vanguard Group Inc. now owns 29,604,177 shares of the company's stock valued at $9,270,252,000 after acquiring an additional 929,414 shares during the last quarter. State Street Corp increased its stake in shares of Royal Caribbean Cruises by 3.3% in the 2nd quarter. State Street Corp now owns 10,492,549 shares of the company's stock valued at $3,293,302,000 after acquiring an additional 330,770 shares during the last quarter. Geode Capital Management LLC increased its stake in shares of Royal Caribbean Cruises by 6.6% in the 2nd quarter. Geode Capital Management LLC now owns 6,667,927 shares of the company's stock valued at $2,079,877,000 after acquiring an additional 415,230 shares during the last quarter. Invesco Ltd. increased its stake in shares of Royal Caribbean Cruises by 9.4% in the 2nd quarter. Invesco Ltd. now owns 3,317,996 shares of the company's stock valued at $1,038,997,000 after acquiring an additional 284,037 shares during the last quarter. Finally, Norges Bank bought a new stake in shares of Royal Caribbean Cruises in the 2nd quarter valued at about $1,021,893,000. 87.53% of the stock is owned by institutional investors.

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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