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

Royal Caribbean Cruises (NYSE:RCL - Get Free Report) released its quarterly earnings results on Tuesday. The company reported $2.71 EPS for the quarter, topping the consensus estimate 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%. The business had revenue of $4 billion during the quarter, compared to analysts' expectations of $4.02 billion. During the same quarter in the prior year, the business earned $1.77 earnings per share. The company's quarterly revenue was up 7.3% compared to the same quarter last year. 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 Up 4.2 %

NYSE RCL traded up $9.26 on Friday, reaching $230.03. The company had a trading volume of 2,208,409 shares, compared to its average volume of 2,302,639. The firm has a market capitalization of $62.47 billion, a PE ratio of 21.52, a P/E/G ratio of 0.90 and a beta of 2.12. The firm has a 50-day moving average of $209.52 and a 200-day moving average of $227.36. 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 has a 1 year low of $130.08 and a 1 year high of $277.08.

Royal Caribbean Cruises Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, April 4th. Investors of record on Friday, March 7th were given a $0.75 dividend. This is a positive change from Royal Caribbean Cruises's previous quarterly dividend of $0.55. This represents a $3.00 annualized dividend and a dividend yield of 1.30%. The ex-dividend date of this dividend was Friday, March 7th. Royal Caribbean Cruises's dividend payout ratio (DPR) is 24.92%.

Royal Caribbean Cruises declared that its board has approved a stock repurchase plan on Wednesday, February 12th that authorizes the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization authorizes the company to repurchase up to 1.5% of its shares through open market purchases. Shares repurchase plans are usually a sign that the company's board of directors believes its stock is undervalued.

Analyst Ratings Changes

RCL has been the subject of a number of analyst reports. Citigroup upped 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 report on Wednesday, January 29th. Tigress Financial raised their price objective on shares of Royal Caribbean Cruises from $270.00 to $330.00 and gave the company a "buy" rating in a research report on Friday, February 7th. Northcoast Research assumed coverage on Royal Caribbean Cruises in a research report on Friday, April 25th. They set a "buy" rating and a $279.00 target price on the stock. UBS Group increased their target price on Royal Caribbean Cruises from $271.00 to $301.00 and gave the stock a "buy" rating in a research note on Tuesday, February 4th. Finally, Argus lifted their price target on Royal Caribbean Cruises from $280.00 to $305.00 and gave the company a "buy" rating in a research note on Wednesday, January 29th. Four equities research analysts have rated the stock with a hold rating, seventeen have given a buy rating and one has issued a strong buy rating to the company's stock. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and an average target price of $272.55.

Insider Activity

In other Royal Caribbean Cruises news, insider Laura H. Bethge sold 14,992 shares of Royal Caribbean Cruises stock in a transaction on Tuesday, February 18th. The shares were sold at an average price of $261.86, for a total value of $3,925,805.12. Following the completion of the transaction, the insider now owns 21,155 shares of the company's stock, valued at $5,539,648.30. The trade was a 41.48 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this link. Also, Director Richard D. Fain sold 19,500 shares of the stock in a transaction on Thursday, February 13th. The stock was 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 in the company, valued at $47,491,190.28. This trade represents 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 worth $28,571,705 over the last ninety days. Corporate 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% in the fourth quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 1,312 shares of the company's stock after acquiring 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 SEC filing. Institutional investors and hedge funds own 87.53% of the company's stock.

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.