Zacks Research Has Optimistic Outlook of RCL Q2 Earnings

Royal Caribbean Cruises Ltd. (NYSE:RCL - Free Report) - Stock analysts at Zacks Research upped their Q2 2025 earnings per share estimates for shares of Royal Caribbean Cruises in a research report issued to clients and investors on Tuesday, May 13th. Zacks Research analyst M. Kaushik now anticipates that the company will earn $4.00 per share for the quarter, up from their prior estimate of $3.81. The consensus estimate for Royal Caribbean Cruises' current full-year earnings is $14.90 per share. Zacks Research also issued estimates for Royal Caribbean Cruises' Q3 2025 earnings at $5.85 EPS, Q4 2025 earnings at $2.40 EPS, FY2025 earnings at $14.96 EPS, Q2 2026 earnings at $4.28 EPS, Q3 2026 earnings at $5.06 EPS, Q4 2026 earnings at $3.42 EPS, FY2026 earnings at $15.82 EPS, Q1 2027 earnings at $4.14 EPS and FY2027 earnings at $18.30 EPS.

A number of other brokerages also recently issued reports on RCL. Morgan Stanley upped their price objective on Royal Caribbean Cruises from $220.00 to $230.00 and gave the company an "equal weight" rating in a research report on Tuesday, May 6th. UBS Group boosted their target price on Royal Caribbean Cruises from $271.00 to $301.00 and gave the company a "buy" rating in a research report on Tuesday, February 4th. The Goldman Sachs Group lowered their price target on Royal Caribbean Cruises from $305.00 to $245.00 and set a "buy" rating for the company in a research report on Wednesday, April 23rd. Susquehanna dropped their price objective on shares of Royal Caribbean Cruises from $295.00 to $275.00 and set a "positive" rating for the company in a research note on Wednesday, April 30th. Finally, Barclays boosted their price objective on shares of Royal Caribbean Cruises from $249.00 to $263.00 and gave the company an "overweight" rating in a research report on Wednesday, April 30th. Four analysts have rated the stock with a hold rating, seventeen have given a buy rating and one has assigned a strong buy rating to the company's stock. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $271.30.

Royal Caribbean Cruises Stock Up 1.5%

Shares of NYSE RCL opened at $251.60 on Thursday. The company has a current ratio of 0.17, a quick ratio of 0.15 and a debt-to-equity ratio of 2.39. Royal Caribbean Cruises has a 12-month low of $130.08 and a 12-month high of $277.08. The firm's 50-day moving average price is $210.22 and its 200-day moving average price is $229.11. The stock has a market capitalization of $68.32 billion, a price-to-earnings ratio of 23.54, a P/E/G ratio of 0.90 and a beta of 2.12.

Royal Caribbean Cruises (NYSE:RCL - Get Free Report) last released its quarterly earnings results on Tuesday, April 29th. The company reported $2.71 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.53 by $0.18. Royal Caribbean Cruises had a net margin of 17.46% and a return on equity of 48.97%. The company had revenue of $4 billion for the quarter, compared to the consensus estimate of $4.02 billion. During the same quarter in the prior year, the firm earned $1.77 earnings per share. Royal Caribbean Cruises's revenue was up 7.3% on a year-over-year basis.

Royal Caribbean Cruises announced that its board has authorized a share buyback program on Wednesday, February 12th that allows the company to repurchase $1.00 billion in shares. This repurchase authorization allows the company to buy up to 1.5% of its shares through open market purchases. Shares repurchase programs are often a sign that the company's board of directors believes its shares are undervalued.

Royal Caribbean Cruises Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, July 3rd. Stockholders of record on Wednesday, June 4th will be given a $0.75 dividend. This represents a $3.00 annualized dividend and a dividend yield of 1.19%. Royal Caribbean Cruises's payout ratio is presently 24.92%.

Insider Activity

In other news, CFO Naftali Holtz sold 17,000 shares of Royal Caribbean Cruises stock in a transaction on Tuesday, February 18th. The stock was sold at an average price of $261.62, for a total value of $4,447,540.00. Following the transaction, the chief financial officer now directly owns 42,127 shares in the company, valued at approximately $11,021,265.74. This trade represents a 28.75% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, insider Laura H. Bethge sold 14,992 shares of the business'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 transaction, the insider now directly owns 21,155 shares of the company's stock, valued at approximately $5,539,648.30. The trade was a 41.48% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 89,992 shares of company stock worth $23,566,445. Corporate insiders own 7.95% of the company's stock.

Institutional Investors Weigh In On Royal Caribbean Cruises

Institutional investors have recently added to or reduced their stakes in the stock. Financial Gravity Asset Management Inc. purchased a new stake in shares of Royal Caribbean Cruises during the first quarter valued at about $25,000. Hughes Financial Services LLC purchased a new stake in Royal Caribbean Cruises during the first quarter valued at approximately $26,000. Brown Brothers Harriman & Co. boosted its stake in Royal Caribbean Cruises by 618.8% in the fourth quarter. Brown Brothers Harriman & Co. now owns 115 shares of the company's stock valued at $27,000 after acquiring an additional 99 shares in the last quarter. Optimum Investment Advisors acquired a new stake in Royal Caribbean Cruises in the first quarter valued at approximately $31,000. Finally, Fourth Dimension Wealth LLC purchased a new position in Royal Caribbean Cruises in the fourth quarter worth $35,000. Institutional investors 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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