Zacks Research Has Pessimistic Outlook of RCL Q3 Earnings

Key Points

• Zacks Research lowered its Q3 2026 EPS estimate for Royal Caribbean Cruises to $6.29 from $6.33, reflecting a slightly more pessimistic outlook ahead of the quarter.
• The company recently beat Q1 earnings expectations, reporting $3.60 EPS versus $3.20 expected, while revenue of $4.45 billion was just shy of estimates and still rose 11.3% year over year.
• Royal Caribbean also reaffirmed solid full-year guidance, projecting FY 2026 EPS of $17.10 to $17.50, even as analysts remain mixed with a consensus rating of “Moderate Buy” and a $347.21 price target.

Royal Caribbean Cruises Ltd. (NYSE:RCL - Free Report) - Zacks Research dropped their Q3 2026 EPS estimates for Royal Caribbean Cruises in a report released on Thursday, May 21st. Zacks Research analyst Team now forecasts that the company will post earnings of $6.29 per share for the quarter, down from their previous forecast of $6.33. The consensus estimate for Royal Caribbean Cruises' current full-year earnings is $17.28 per share. Zacks Research also issued estimates for Royal Caribbean Cruises' Q4 2026 earnings at $3.37 EPS, FY2026 earnings at $17.13 EPS and Q1 2027 earnings at $3.68 EPS.

Royal Caribbean Cruises (NYSE:RCL - Get Free Report) last announced its quarterly earnings results on Thursday, April 30th. The company reported $3.60 earnings per share for the quarter, beating the consensus estimate of $3.20 by $0.40. The business had revenue of $4.45 billion for the quarter, compared to analysts' expectations of $4.46 billion. Royal Caribbean Cruises had a net margin of 24.36% and a return on equity of 45.25%. The firm's revenue for the quarter was up 11.3% compared to the same quarter last year. During the same quarter last year, the firm earned $2.71 EPS. Royal Caribbean Cruises has set its Q2 2026 guidance at 3.830-3.930 EPS and its FY 2026 guidance at 17.100-17.500 EPS.

Other analysts have also issued research reports about the stock. Deutsche Bank Aktiengesellschaft set a $296.00 target price on shares of Royal Caribbean Cruises in a research note on Friday, May 1st. Wells Fargo & Company boosted their price target on shares of Royal Caribbean Cruises from $349.00 to $360.00 and gave the stock an "overweight" rating in a report on Friday, May 1st. UBS Group reduced their price objective on shares of Royal Caribbean Cruises from $321.00 to $309.00 and set a "buy" rating for the company in a research report on Thursday, May 14th. JPMorgan Chase & Co. decreased their price objective on shares of Royal Caribbean Cruises from $376.00 to $341.00 and set an "overweight" rating for the company in a research note on Wednesday, April 8th. Finally, The Goldman Sachs Group lifted their target price on shares of Royal Caribbean Cruises from $310.00 to $370.00 and gave the stock a "buy" rating in a research report on Friday, January 30th. Fifteen analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company's stock. According to data from MarketBeat, Royal Caribbean Cruises presently has a consensus rating of "Moderate Buy" and a consensus price target of $347.21.

Royal Caribbean Cruises Stock Up 2.7%

RCL stock opened at $260.69 on Friday. The firm has a market capitalization of $69.92 billion, a PE ratio of 15.91, a P/E/G ratio of 0.89 and a beta of 1.77. The company has a quick ratio of 0.17, a current ratio of 0.20 and a debt-to-equity ratio of 1.96. Royal Caribbean Cruises has a twelve month low of $232.10 and a twelve month high of $366.50. The stock's 50 day moving average is $270.13 and its 200-day moving average is $281.87.

Royal Caribbean Cruises Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, July 2nd. Shareholders of record on Wednesday, June 3rd will be paid a $1.50 dividend. The ex-dividend date is Wednesday, June 3rd. This represents a $6.00 annualized dividend and a dividend yield of 2.3%. Royal Caribbean Cruises's payout ratio is presently 36.61%.

Insider Activity at Royal Caribbean Cruises

In other news, Director Arne Alexander Wilhelmsen sold 356,026 shares of the company's stock in a transaction on Thursday, February 26th. The stock was sold at an average price of $318.39, for a total transaction of $113,355,118.14. Following the transaction, the director owned 16,681,386 shares of the company's stock, valued at $5,311,186,488.54. This represents a 2.09% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Over the last 90 days, insiders sold 1,135,858 shares of company stock worth $358,605,301. 6.44% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Royal Caribbean Cruises

Several institutional investors have recently added to or reduced their stakes in the business. Vanguard Group Inc. increased its holdings in Royal Caribbean Cruises by 1.6% during the 3rd quarter. Vanguard Group Inc. now owns 30,066,167 shares of the company's stock worth $9,728,810,000 after acquiring an additional 461,990 shares during the period. Y Intercept Hong Kong Ltd bought a new position in Royal Caribbean Cruises in the 3rd quarter valued at $4,806,000. Russell Investments Group Ltd. grew its position in shares of Royal Caribbean Cruises by 49.3% during the 3rd quarter. Russell Investments Group Ltd. now owns 117,162 shares of the company's stock valued at $37,931,000 after purchasing an additional 38,698 shares in the last quarter. Crossmark Global Holdings Inc. grew its position in shares of Royal Caribbean Cruises by 19.0% during the 3rd quarter. Crossmark Global Holdings Inc. now owns 39,123 shares of the company's stock valued at $12,659,000 after purchasing an additional 6,253 shares in the last quarter. Finally, WINTON GROUP Ltd increased its holdings in shares of Royal Caribbean Cruises by 1,231.6% in the third quarter. WINTON GROUP Ltd now owns 20,173 shares of the company's stock worth $6,528,000 after purchasing an additional 18,658 shares during the period. 87.53% of the stock is owned by hedge funds and other institutional investors.

About Royal Caribbean Cruises

Royal Caribbean Cruises NYSE: RCL, operating as part of the Royal Caribbean Group, is a global cruise company that develops, markets and operates passenger cruise ships. The company operates multiple consumer-facing cruise brands that offer short- and long-duration itineraries and a range of onboard experiences. Its core activities include itineraries and voyage operations, guest services and hospitality, onboard food and beverage, entertainment and recreation programming, and the commercial activities needed to sell and support cruises through both direct and travel‑agent channels.

Royal Caribbean's ships serve a broad set of geographies worldwide, regularly deploying vessels in the Caribbean, North America (including Alaska), Europe, Asia, Australia and South America.

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