Royal Caribbean Cruises Ltd. (NYSE:RCL) Receives Average Rating of “Moderate Buy” from Analysts

Royal Caribbean Cruises Ltd. (NYSE:RCL) has been given a consensus recommendation of “Moderate Buy” by the seventeen analysts that are currently covering the company, MarketBeat reports. Three research analysts have rated the stock with a hold rating and fourteen have given a buy rating to the company. The average 1-year price objective among analysts that have updated their coverage on the stock in the last year is $284.12.

RCL has been the subject of a number of research reports. StockNews.com raised shares of Royal Caribbean Cruises from a “sell” rating to a “hold” rating in a research note on Tuesday, November 26th. JPMorgan Chase & Co. increased their price target on shares of Royal Caribbean Cruises from $253.00 to $295.00 and gave the stock an “overweight” rating in a research note on Friday, January 17th. Stifel Nicolaus increased their price target on shares of Royal Caribbean Cruises from $250.00 to $310.00 and gave the stock a “buy” rating in a research note on Friday, December 6th. Argus increased their price target on shares of Royal Caribbean Cruises from $280.00 to $305.00 and gave the stock a “buy” rating in a research note on Wednesday, January 29th. Finally, Susquehanna increased their price target on shares of Royal Caribbean Cruises from $245.00 to $305.00 and gave the stock a “positive” rating in a research note on Wednesday, January 29th.

Royal Caribbean Cruises Stock Down 6.0 %

Shares of NYSE:RCL opened at $226.67 on Friday. Royal Caribbean Cruises has a 52-week low of $124.24 and a 52-week high of $277.08. The firm has a fifty day moving average of $244.53 and a 200 day moving average of $217.40. The firm has a market capitalization of $61.00 billion, a PE ratio of 21.20, a price-to-earnings-growth ratio of 0.90 and a beta of 2.59. The company has a debt-to-equity ratio of 2.39, a quick ratio of 0.15 and a current ratio of 0.17.

Royal Caribbean Cruises (NYSE:RCL) last posted its quarterly earnings results on Tuesday, January 28th. The company reported $1.63 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.50 by $0.13. Royal Caribbean Cruises had a net margin of 17.46% and a return on equity of 48.97%. During the same quarter last year, the business earned $1.25 earnings per share. As a group, research analysts anticipate that Royal Caribbean Cruises will post 14.9 EPS for the current fiscal year.

Royal Caribbean Cruises declared that its Board of Directors has approved a share repurchase program on Wednesday, February 12th that permits the company to buyback $1.00 billion in outstanding shares. This buyback authorization permits the company to purchase up to 1.5% of its shares through open market purchases. Shares buyback programs are usually a sign that the company’s board of directors believes its shares are undervalued.

Royal Caribbean Cruises Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, April 4th. Stockholders of record on Friday, March 7th will be paid a $0.75 dividend. This is an increase from Royal Caribbean Cruises’s previous quarterly dividend of $0.55. This represents a $3.00 annualized dividend and a dividend yield of 1.32%. The ex-dividend date of this dividend is Friday, March 7th. Royal Caribbean Cruises’s dividend payout ratio (DPR) is currently 28.06%.

Insiders Place Their Bets

In other news, CEO Jason T. Liberty sold 58,000 shares of the business’s stock in a transaction that occurred on Tuesday, February 18th. The shares were sold at an average price of $261.95, for a total value of $15,193,100.00. Following the sale, the chief executive officer now directly owns 143,214 shares of the company’s stock, valued at approximately $37,514,907.30. The trade was a 28.83 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Richard D. Fain sold 19,500 shares of the business’s stock in a transaction that occurred on 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 completion of 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 have sold 109,492 shares of company stock valued at $28,571,705 over the last ninety days. Company insiders own 7.95% of the company’s stock.

Institutional Investors Weigh In On Royal Caribbean Cruises

A number of institutional investors and hedge funds have recently made changes to their positions in RCL. Park Square Financial Group LLC acquired a new position in shares of Royal Caribbean Cruises in the fourth quarter valued at approximately $90,000. Universal Beteiligungs und Servicegesellschaft mbH acquired a new position in shares of Royal Caribbean Cruises in the fourth quarter valued at approximately $28,954,000. Capital A Wealth Management LLC acquired a new position in shares of Royal Caribbean Cruises in the fourth quarter valued at approximately $40,000. Leigh Baldwin & CO. LLC acquired a new position in shares of Royal Caribbean Cruises in the fourth quarter valued at approximately $279,000. Finally, Armis Advisers LLC acquired a new position in shares of Royal Caribbean Cruises in the fourth quarter valued at approximately $592,000. 87.53% of the stock is owned by hedge funds and other institutional investors.

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.