Royal Caribbean Cruises (NYSE:RCL) Announces Earnings Results

Royal Caribbean Cruises (NYSE:RCL) posted its quarterly earnings data on Tuesday. The company reported $6.57 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $6.38 by $0.19, FiscalAI reports. Royal Caribbean Cruises had a net margin of 23.54% and a return on equity of 43.33%. The firm had revenue of $5.59 billion for the quarter, compared to the consensus estimate of $5.61 billion. During the same period in the previous year, the firm earned $5.75 EPS. The business’s revenue for the quarter was up 8.8% compared to the same quarter last year.

Royal Caribbean Cruises Price Performance

RCL stock traded up $18.73 during mid-day trading on Tuesday, reaching $299.33. 1,257,458 shares of the company traded hands, compared to its average volume of 2,523,396. The company has a debt-to-equity ratio of 2.03, a current ratio of 0.21 and a quick ratio of 0.19. The company has a market capitalization of $80.06 billion, a P/E ratio of 18.51, a P/E/G ratio of 0.97 and a beta of 1.82. Royal Caribbean Cruises has a 52-week low of $222.22 and a 52-week high of $356.39. The company has a fifty day moving average price of $272.01 and a 200-day moving average price of $286.88.

Royal Caribbean Cruises Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, October 8th. Stockholders of record on Thursday, September 17th were paid a $1.50 dividend. The ex-dividend date was Thursday, September 17th. This represents a $6.00 annualized dividend and a dividend yield of 2.0%. Royal Caribbean Cruises’s dividend payout ratio (DPR) is presently 37.08%.

Key Stories Impacting Royal Caribbean Cruises

Here are the key news stories impacting Royal Caribbean Cruises this week:

• Positive Sentiment: Adjusted earnings beat expectations: Royal Caribbean reported third-quarter adjusted EPS of $6.57, above the $6.38 analyst consensus and up from $5.75 a year earlier. GAAP EPS was $6.45, with net profit rising to $1.73 billion from $1.58 billion. This marked the company’s sixth consecutive quarterly EPS beat. Royal Caribbean Beats Q3 Earnings and Revenue Estimates
• Positive Sentiment: Full-year guidance was raised: Management now expects 2026 adjusted EPS of $17.85 to $17.95, reflecting better-than-expected third-quarter performance. Strong close-in bookings and demand, along with lower costs due partly to timing, supported the improvement. Royal Caribbean Reports Third Quarter Results and Raises Guidance
• Positive Sentiment: Revenue continued to grow: Third-quarter revenue increased 8.8% year over year to $5.59 billion, indicating continued strength in cruise demand and pricing, despite being slightly below the $5.61 billion consensus estimate. Royal Caribbean Q3 Sales in Line With Estimates
• Neutral Sentiment: Fuel costs remain a risk: Higher-than-anticipated fuel expenses partly offset the earnings benefit from strong demand and cost timing. Management expects fourth-quarter adjusted EPS of $3.48 to $3.58, giving investors a near-term profitability benchmark. Royal Caribbean Earnings Are Good News for Cruise Fuel Fears

Analyst Ratings Changes

A number of research analysts recently weighed in on the stock. JPMorgan Chase & Co. raised their price target on shares of Royal Caribbean Cruises from $345.00 to $394.00 and gave the company an “overweight” rating in a research report on Thursday, September 24th. Deutsche Bank Aktiengesellschaft raised shares of Royal Caribbean Cruises from a “hold” rating to a “buy” rating and upped their price objective for the stock from $299.00 to $330.00 in a research report on Monday, September 28th. Stifel Nicolaus increased their price objective on shares of Royal Caribbean Cruises from $410.00 to $415.00 and gave the company a “buy” rating in a research note on Wednesday, July 29th. Morgan Stanley increased their price objective on shares of Royal Caribbean Cruises from $280.00 to $300.00 and gave the company an “equal weight” rating in a research note on Thursday, July 30th. Finally, Freedom Capital cut shares of Royal Caribbean Cruises from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, July 29th. Twenty research analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $350.50.

Insider Transactions at Royal Caribbean Cruises

In related news, CEO Michael Bayley sold 12,811 shares of Royal Caribbean Cruises stock in a transaction on Wednesday, July 29th. The stock was sold at an average price of $315.99, for a total transaction of $4,048,147.89. Following the completion of the sale, the chief executive officer owned 45,297 shares of the company’s stock, valued at approximately $14,313,399.03. This trade represents a 22.05% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. 6.44% of the stock is owned by corporate insiders.

About Royal Caribbean Cruises

Royal Caribbean Cruises Ltd., doing business as Royal Caribbean Group (NYSE: RCL), is a global cruise company that operates vacation cruises and related travel experiences. Its fleet visits destinations across the Caribbean, Europe, Alaska, Asia, Australia, and other regions, with itineraries that typically include onboard entertainment, dining, accommodations, recreational activities, and shore excursions.

The company’s principal brands include Royal Caribbean International, Celebrity Cruises, and Silversea Cruises.