Zacks Research Issues Optimistic Forecast for RCL Earnings

Royal Caribbean Cruises Ltd. (NYSE:RCL) – Equities researchers at Zacks Research upped their Q2 2025 earnings per share (EPS) estimates for Royal Caribbean Cruises in a research note issued to investors on Tuesday, February 11th. Zacks Research analyst M. Kaushik now anticipates that the company will post earnings of $3.81 per share for the quarter, up from their previous forecast of $3.20. The consensus estimate for Royal Caribbean Cruises’ current full-year earnings is $14.96 per share. Zacks Research also issued estimates for Royal Caribbean Cruises’ Q3 2025 earnings at $5.69 EPS, Q4 2025 earnings at $2.50 EPS and FY2025 earnings at $14.43 EPS.

Royal Caribbean Cruises (NYSE:RCL) last released its earnings results on Tuesday, January 28th. The company reported $1.63 earnings per share for the quarter, beating the consensus estimate of $1.50 by $0.13. Royal Caribbean Cruises had a return on equity of 48.97% and a net margin of 17.46%. During the same quarter in the prior year, the company posted $1.25 EPS.

A number of other equities analysts have also recently commented on RCL. Susquehanna lifted 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. Loop Capital assumed coverage on Royal Caribbean Cruises in a research note on Tuesday, February 4th. They set a “hold” rating and a $250.00 target price on the stock. Barclays increased their price target on Royal Caribbean Cruises from $287.00 to $308.00 and gave the stock an “overweight” rating in a report on Wednesday, January 29th. Macquarie boosted their price objective on Royal Caribbean Cruises from $250.00 to $300.00 and gave the company an “outperform” rating in a report on Thursday, January 30th. Finally, Bank of America increased their target price on Royal Caribbean Cruises from $210.00 to $240.00 and gave the stock a “neutral” rating in a research note on Wednesday, November 13th. Four equities research analysts have rated the stock with a hold rating and fourteen have given a buy rating to the company’s stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $284.12.

Royal Caribbean Cruises Trading Up 1.6 %

RCL stock opened at $260.37 on Friday. Royal Caribbean Cruises has a twelve month low of $113.10 and a twelve month high of $277.08. The stock has a market capitalization of $70.01 billion, a price-to-earnings ratio of 24.36, a price-to-earnings-growth ratio of 1.00 and a beta of 2.59. The company has a quick ratio of 0.15, a current ratio of 0.17 and a debt-to-equity ratio of 2.39. The firm’s fifty day simple moving average is $243.28 and its two-hundred day simple moving average is $207.65.

Hedge Funds Weigh In On Royal Caribbean Cruises

Several institutional investors and hedge funds have recently modified their holdings of RCL. MetLife Investment Management LLC grew its holdings in Royal Caribbean Cruises by 5.5% in the fourth quarter. MetLife Investment Management LLC now owns 68,916 shares of the company’s stock valued at $15,898,000 after purchasing an additional 3,590 shares during the period. NWK Group Inc. increased its holdings in Royal Caribbean Cruises by 2.7% in the 4th quarter. NWK Group Inc. now owns 32,703 shares of the company’s stock worth $7,544,000 after acquiring an additional 869 shares in the last quarter. Natixis Investment Managers International raised its position in Royal Caribbean Cruises by 0.3% during the fourth quarter. Natixis Investment Managers International now owns 11,610 shares of the company’s stock worth $2,678,000 after acquiring an additional 40 shares during the period. Norinchukin Bank The grew its position in shares of Royal Caribbean Cruises by 5.0% in the fourth quarter. Norinchukin Bank The now owns 9,302 shares of the company’s stock valued at $2,146,000 after purchasing an additional 442 shares during the period. Finally, Ossiam grew its position in shares of Royal Caribbean Cruises by 74.6% in the fourth quarter. Ossiam now owns 6,354 shares of the company’s stock valued at $1,466,000 after purchasing an additional 2,714 shares during the period. Hedge funds and other institutional investors own 87.53% of the company’s stock.

Insider Activity at Royal Caribbean Cruises

In related news, Director Arne Alexander Wilhelmsen sold 230,000 shares of the firm’s stock in a transaction on Tuesday, November 19th. The shares were sold at an average price of $233.62, for a total transaction of $53,732,600.00. Following the completion of the transaction, the director now owns 18,556,860 shares of the company’s stock, valued at $4,335,253,633.20. This trade represents a 1.22 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, EVP Harri U. Kulovaara sold 3,256 shares of Royal Caribbean Cruises stock in a transaction that occurred on Wednesday, November 20th. The shares were sold at an average price of $234.62, for a total value of $763,922.72. Following the transaction, the executive vice president now owns 22,348 shares of the company’s stock, valued at approximately $5,243,287.76. This represents a 12.72 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 372,609 shares of company stock valued at $87,647,208 in the last ninety days. Corporate insiders own 7.95% of the company’s stock.

Royal Caribbean Cruises Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, April 4th. Investors of record on Friday, March 7th will be given a dividend of $0.75 per share. This is a boost from Royal Caribbean Cruises’s previous quarterly dividend of $0.55. The ex-dividend date of this dividend is Friday, March 7th. This represents a $3.00 dividend on an annualized basis and a yield of 1.15%. Royal Caribbean Cruises’s dividend payout ratio is presently 20.58%.

Royal Caribbean Cruises declared that its board has authorized a stock repurchase program on Wednesday, February 12th that authorizes the company to buyback $1.00 billion in shares. This buyback authorization authorizes the company to reacquire up to 1.5% of its stock through open market purchases. Stock buyback programs are often an indication that the company’s leadership believes its shares are undervalued.

About Royal Caribbean Cruises

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.