Royal Caribbean Cruises (NYSE:RCL) Announces Quarterly Earnings Results

Royal Caribbean Cruises (NYSE:RCL - Get Free Report) announced its quarterly earnings results on Tuesday. The company reported $2.71 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.53 by $0.18, Zacks reports. Royal Caribbean Cruises had a return on equity of 48.97% and a net margin of 17.46%. During the same period in the prior year, the firm posted $1.77 EPS. Royal Caribbean Cruises's revenue for the quarter was up 7.3% on a year-over-year basis. Royal Caribbean Cruises updated its Q2 2025 guidance to 4.000-4.100 EPS and its FY 2025 guidance to 14.550-15.550 EPS.

Royal Caribbean Cruises Stock Performance

Shares of NYSE RCL opened at $216.14 on Tuesday. The firm has a fifty day moving average price of $210.95 and a 200-day moving average price of $226.99. The stock has a market cap of $58.68 billion, a PE ratio of 20.48, a price-to-earnings-growth ratio of 0.90 and a beta of 2.26. Royal Caribbean Cruises has a 1 year low of $130.08 and a 1 year high of $277.08. The company has a debt-to-equity ratio of 2.39, a current ratio of 0.17 and a quick ratio of 0.15.

Royal Caribbean Cruises Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, April 4th. Investors of record on Friday, March 7th were given a dividend of $0.75 per share. The ex-dividend date of this dividend was Friday, March 7th. This represents a $3.00 annualized dividend and a dividend yield of 1.39%. This is an increase from Royal Caribbean Cruises's previous quarterly dividend of $0.55. Royal Caribbean Cruises's dividend payout ratio (DPR) is 28.06%.

Insider Buying and Selling at Royal Caribbean Cruises

In other Royal Caribbean Cruises news, insider Laura H. Bethge sold 14,992 shares of the company's stock in a transaction on Tuesday, February 18th. The stock was sold at an average price of $261.86, for a total value of $3,925,805.12. Following the completion of the sale, the insider now directly owns 21,155 shares in the company, valued at approximately $5,539,648.30. This represents a 41.48 % 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 Richard D. Fain sold 19,500 shares of the stock in a transaction dated Thursday, February 13th. The shares were sold at an average price of $256.68, for a total transaction of $5,005,260.00. Following the sale, the director now directly owns 185,021 shares of the company's stock, valued at approximately $47,491,190.28. The trade was a 9.53 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 109,492 shares of company stock valued at $28,571,705 in the last 90 days. Insiders own 7.95% of the company's stock.

Institutional Inflows and Outflows

A hedge fund recently raised its stake in Royal Caribbean Cruises stock. Brighton Jones LLC raised its stake in Royal Caribbean Cruises Ltd. (NYSE:RCL - Free Report) by 12.2% during the fourth quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 1,312 shares of the company's stock after purchasing an additional 143 shares during the period. Brighton Jones LLC's holdings in Royal Caribbean Cruises were worth $303,000 as of its most recent filing with the Securities and Exchange Commission (SEC). 87.53% of the stock is owned by institutional investors.

Royal Caribbean Cruises declared that its Board of Directors has authorized a stock buyback program on Wednesday, February 12th that allows the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization allows the company to buy up to 1.5% of its stock through open market purchases. Stock repurchase programs are often a sign that the company's leadership believes its shares are undervalued.

Analysts Set New Price Targets

A number of equities analysts recently issued reports on RCL shares. Macquarie raised their price target on Royal Caribbean Cruises from $250.00 to $300.00 and gave the stock an "outperform" rating in a report on Thursday, January 30th. Citigroup boosted their price objective on shares of Royal Caribbean Cruises from $283.00 to $304.00 and gave the stock a "buy" rating in a research note on Wednesday, January 29th. BNP Paribas started coverage on Royal Caribbean Cruises in a research report on Thursday, March 27th. They issued an "outperform" rating and a $262.00 target price on the stock. Morgan Stanley reduced their price objective on Royal Caribbean Cruises from $270.00 to $220.00 and set an "equal weight" rating for the company in a research report on Thursday, April 10th. Finally, Melius Research upgraded Royal Caribbean Cruises to a "strong-buy" rating in a research report on Monday, April 21st. Four research analysts have rated the stock with a hold rating, seventeen have given a buy rating and one has given a strong buy rating to the stock. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus price target of $272.85.

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.