Royal Caribbean Cruises (NYSE:RCL) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a note issued to investors on Thursday.

According to Zacks, “Royal Caribbean is currently benefiting from strong booking trends and capacity growth along with its profitability initiatives. The company’s shares have outpaced the industry over the past year. Moreover, estimate for 2018 earnings have gone up over the last 60 days. Going forward, we are particularly positive on the company’s new three-year program — 20/20 Vision — designed to drive performance. It leverages the culture and the discipline instilled by Double-Double program while including a broader set of goals. The company’s sailings are likely to continue performing strongly in the long term, given strong bookings trends. However, higher costs might hurt the company’s profitability. Further, lingering global uncertainties in key operating regions along with negative currency translation remain concerns.”

A number of other brokerages have also recently issued reports on RCL. Wedbush reiterated an “outperform” rating and issued a $139.00 price target (up previously from $129.00) on shares of Royal Caribbean Cruises in a research note on Wednesday, November 8th. Deutsche Bank upped their price target on shares of Royal Caribbean Cruises from $114.00 to $118.00 and gave the stock a “hold” rating in a research note on Wednesday, November 8th. Buckingham Research upped their price target on shares of Royal Caribbean Cruises from $149.00 to $155.00 and gave the stock a “buy” rating in a research note on Wednesday, November 8th. Stifel Nicolaus upped their target price on shares of Royal Caribbean Cruises from $134.00 to $150.00 and gave the company a “buy” rating in a research note on Wednesday, November 8th. Finally, SunTrust Banks restated a “buy” rating and set a $126.00 target price on shares of Royal Caribbean Cruises in a research note on Sunday, October 15th. Two analysts have rated the stock with a sell rating, five have given a hold rating, thirteen have assigned a buy rating and one has given a strong buy rating to the company’s stock. The company currently has a consensus rating of “Buy” and a consensus target price of $128.54.

Shares of Royal Caribbean Cruises (NYSE RCL) traded up $3.46 during mid-day trading on Thursday, hitting $130.21. 1,754,500 shares of the stock were exchanged, compared to its average volume of 1,369,091. Royal Caribbean Cruises has a 1 year low of $84.05 and a 1 year high of $133.75. The company has a market cap of $27,860.00, a PE ratio of 17.38, a PEG ratio of 0.66 and a beta of 1.06. The company has a current ratio of 0.16, a quick ratio of 0.13 and a debt-to-equity ratio of 0.58.

Royal Caribbean Cruises (NYSE:RCL) last announced its quarterly earnings results on Tuesday, November 7th. The company reported $3.49 earnings per share (EPS) for the quarter, topping the Zacks’ consensus estimate of $3.43 by $0.06. The company had revenue of $2.57 billion for the quarter, compared to analysts’ expectations of $2.57 billion. Royal Caribbean Cruises had a net margin of 18.41% and a return on equity of 16.64%. Royal Caribbean Cruises’s revenue was up .2% compared to the same quarter last year. During the same quarter in the previous year, the business posted $3.20 EPS. equities research analysts expect that Royal Caribbean Cruises will post 7.39 earnings per share for the current year.

In other news, CEO Richard D. Fain sold 20,000 shares of the company’s stock in a transaction dated Wednesday, December 13th. The shares were sold at an average price of $123.00, for a total transaction of $2,460,000.00. Following the completion of the sale, the chief executive officer now owns 847,741 shares of the company’s stock, valued at approximately $104,272,143. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Insiders have sold a total of 60,000 shares of company stock valued at $7,497,200 in the last ninety days. Insiders own 15.30% of the company’s stock.

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Eqis Capital Management Inc. increased its holdings in Royal Caribbean Cruises by 0.3% in the 2nd quarter. Eqis Capital Management Inc. now owns 2,370 shares of the company’s stock worth $259,000 after acquiring an additional 8 shares in the last quarter. Granahan Investment Management Inc. MA increased its holdings in Royal Caribbean Cruises by 0.4% in the 1st quarter. Granahan Investment Management Inc. MA now owns 2,882 shares of the company’s stock worth $283,000 after acquiring an additional 11 shares in the last quarter. Financial Architects Inc increased its holdings in Royal Caribbean Cruises by 0.6% in the 3rd quarter. Financial Architects Inc now owns 3,522 shares of the company’s stock worth $263,000 after acquiring an additional 22 shares in the last quarter. Gerstein Fisher increased its holdings in Royal Caribbean Cruises by 0.3% in the 3rd quarter. Gerstein Fisher now owns 9,668 shares of the company’s stock worth $861,000 after acquiring an additional 25 shares in the last quarter. Finally, Cleararc Capital Inc. increased its holdings in Royal Caribbean Cruises by 0.6% in the 1st quarter. Cleararc Capital Inc. now owns 4,095 shares of the company’s stock worth $402,000 after acquiring an additional 25 shares in the last quarter. 73.23% of the stock is owned by hedge funds and other institutional investors.

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Royal Caribbean Cruises Company Profile

Royal Caribbean Cruises Ltd. is a cruise company. The Company owns and operates three global cruise brands: Royal Caribbean International, Celebrity Cruises and Azamara Club Cruises (Global Brands). The Company also own joint venture interest in the German brand TUI Cruises, interest in the Spanish brand Pullmantur and interest in the Chinese brand SkySea Cruises (collectively, Partner Brands).

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