Truist Financial Issues Pessimistic Forecast for Royal Caribbean Cruises (NYSE:RCL) Stock Price

Key Points

• Truist Financial has decreased its price target on Royal Caribbean Cruises from $337.00 to $333.00 while maintaining a "hold" rating, suggesting a potential upside of 5.05% from the current stock price.
• Despite Truist's pessimistic outlook, analysts from UBS and Stifel Nicolaus have issued higher price targets of $353.00 and $420.00 respectively, with several other firms also maintaining a generally positive sentiment towards the stock.
• Royal Caribbean's stock traded down 2.7% recently, reaching $317.01, while the company reported positive earnings growth with a current EPS guidance range of $15.410-15.550 for FY 2025.

Royal Caribbean Cruises (NYSE:RCL - Get Free Report) had its price target lowered by equities research analysts at Truist Financial from $337.00 to $333.00 in a report issued on Friday,Benzinga reports. The firm currently has a "hold" rating on the stock. Truist Financial's price target would indicate a potential upside of 5.05% from the stock's current price.

A number of other equities analysts also recently commented on RCL. UBS Group increased their price objective on shares of Royal Caribbean Cruises from $311.00 to $353.00 and gave the stock a "buy" rating in a research note on Friday, August 8th. Stifel Nicolaus increased their price target on Royal Caribbean Cruises from $400.00 to $420.00 and gave the company a "buy" rating in a research report on Wednesday, July 30th. TD Cowen initiated coverage on Royal Caribbean Cruises in a research report on Tuesday, July 22nd. They set a "buy" rating and a $405.00 price target for the company. Susquehanna reiterated a "positive" rating and issued a $385.00 target price (up from $275.00) on shares of Royal Caribbean Cruises in a research note on Wednesday, July 30th. Finally, Bank of America raised their price target on Royal Caribbean Cruises from $230.00 to $355.00 and gave the company a "neutral" rating in a report on Wednesday, July 23rd. One analyst has rated the stock with a Strong Buy rating, eighteen have given a Buy rating and four have issued a Hold rating to the stock. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and an average target price of $326.95.

Royal Caribbean Cruises Trading Down 2.7%

NYSE:RCL traded down $8.81 on Friday, reaching $317.01. The company's stock had a trading volume of 197,749 shares, compared to its average volume of 2,449,630. Royal Caribbean Cruises 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 quick ratio of 0.21 and a current ratio of 0.23. The firm has a market cap of $86.11 billion, a PE ratio of 23.79, a PEG ratio of 0.91 and a beta of 2.12. The business's 50-day moving average price is $336.38 and its two-hundred day moving average price is $273.21.

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 for the quarter, topping analysts' consensus estimates of $4.04 by $0.34. The firm had revenue of $4.54 billion during the quarter, compared to analyst estimates of $4.54 billion. Royal Caribbean Cruises had a net margin of 20.97% and a return on equity of 47.15%. The company's revenue for the quarter was up 10.4% compared to the same quarter last year. During the same period in the prior year, the business 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. Equities research analysts anticipate that Royal Caribbean Cruises will post 14.9 earnings per share for the current fiscal year.

Insider Activity at Royal Caribbean Cruises

In other news, Director Vagn O. Sorensen sold 10,300 shares of the 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 completion of the sale, 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 sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, CAO Henry L. Pujol sold 5,207 shares of the stock in a transaction that occurred on Wednesday, July 30th. The shares were sold at an average price of $329.47, for a total transaction of $1,715,550.29. Following the sale, the chief accounting officer directly owned 7,826 shares of the company's stock, valued at $2,578,432.22. This represents a 39.95% decrease in their position. The disclosure for this sale can be found here. Insiders sold 31,507 shares of company stock worth $10,091,282 over the last three months. Company insiders own 6.95% of the company's stock.

Institutional Investors Weigh In On Royal Caribbean Cruises

Large investors have recently added to or reduced their stakes in the business. Valeo Financial Advisors LLC grew its position in shares of Royal Caribbean Cruises by 1.0% during the 2nd quarter. Valeo Financial Advisors LLC now owns 3,823 shares of the company's stock worth $1,197,000 after buying an additional 39 shares during the period. Osaic Holdings Inc. grew its position in shares of Royal Caribbean Cruises by 24.8% during the 2nd quarter. Osaic Holdings Inc. now owns 88,697 shares of the company's stock worth $26,949,000 after buying an additional 17,637 shares during the period. American Trust acquired a new stake in shares of Royal Caribbean Cruises in the 2nd quarter valued at about $311,000. Evolution Wealth Management Inc. acquired a new stake in Royal Caribbean Cruises in the 2nd quarter valued at $31,000. Finally, Centaurus Financial Inc. grew its position in Royal Caribbean Cruises by 0.8% in the 2nd quarter. Centaurus Financial Inc. now owns 6,092 shares of the company's stock valued at $1,908,000 after purchasing an additional 48 shares during the period. 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.

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