Mizuho Forecasts Strong Price Appreciation for Royal Caribbean Cruises (NYSE:RCL) Stock

Royal Caribbean Cruises (NYSE:RCL) had its price target upped by equities research analysts at Mizuho from $378.00 to $381.00 in a note issued to investors on Thursday, MarketBeat reports. The brokerage presently has an “outperform” rating on the stock. Mizuho’s target price would suggest a potential upside of 33.13% from the stock’s previous close.

A number of other analysts have also recently issued reports on RCL. Barclays lowered their target price on Royal Caribbean Cruises from $342.00 to $324.00 and set an “overweight” rating for the company in a research note on Wednesday, December 17th. Stifel Nicolaus lowered their price objective on shares of Royal Caribbean Cruises from $400.00 to $380.00 and set a “buy” rating for the company in a research report on Tuesday. JPMorgan Chase & Co. dropped their price objective on shares of Royal Caribbean Cruises from $367.00 to $357.00 and set an “overweight” rating on the stock in a report on Wednesday, October 29th. Jefferies Financial Group reduced their target price on shares of Royal Caribbean Cruises from $286.00 to $275.00 and set a “hold” rating for the company in a research note on Monday, December 15th. Finally, Bank of America lifted their price target on Royal Caribbean Cruises from $325.00 to $330.00 and gave the company a “neutral” rating in a research note on Monday, January 12th. One equities research analyst has rated the stock with a Strong Buy rating, nineteen have issued a Buy rating and four have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $327.68.

Royal Caribbean Cruises Price Performance

RCL opened at $286.18 on Thursday. The stock has a market cap of $78.04 billion, a P/E ratio of 19.25, a P/E/G ratio of 0.80 and a beta of 1.94. Royal Caribbean Cruises has a 12 month low of $164.01 and a 12 month high of $366.50. The company has a quick ratio of 0.14, a current ratio of 0.16 and a debt-to-equity ratio of 1.67. The company has a fifty day simple moving average of $277.02 and a 200 day simple moving average of $305.30.

Royal Caribbean Cruises (NYSE:RCL) last posted its earnings results on Tuesday, October 28th. The company reported $5.75 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $5.68 by $0.07. Royal Caribbean Cruises had a return on equity of 44.68% and a net margin of 23.33%.The firm had revenue of $5.14 billion during the quarter, compared to analysts’ expectations of $5.16 billion. During the same period in the previous year, the firm earned $5.20 earnings per share. The company’s revenue was up 5.2% on a year-over-year basis. Royal Caribbean Cruises has set its FY 2025 guidance at 15.580-15.630 EPS and its Q4 2025 guidance at 2.740-2.790 EPS. On average, research analysts expect that Royal Caribbean Cruises will post 14.9 EPS for the current year.

Royal Caribbean Cruises declared that its Board of Directors has authorized a stock buyback plan on Wednesday, December 10th that authorizes the company to repurchase $2.00 billion in shares. This repurchase authorization authorizes the company to buy up to 2.6% of its stock through open market purchases. Stock repurchase plans are generally a sign that the company’s board of directors believes its shares are undervalued.

Insider Transactions at Royal Caribbean Cruises

In related news, Director Maritza Gomez Montiel sold 1,100 shares of the company’s stock in a transaction dated Monday, November 3rd. The stock was sold at an average price of $281.76, for a total transaction of $309,936.00. Following the sale, the director owned 14,234 shares in the company, valued at approximately $4,010,571.84. This represents a 7.17% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Insiders own 6.95% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in the stock. Optima Capital LLC acquired a new stake in shares of Royal Caribbean Cruises in the 4th quarter valued at approximately $55,000. FSM Wealth Advisors LLC increased its holdings in Royal Caribbean Cruises by 10.2% during the fourth quarter. FSM Wealth Advisors LLC now owns 1,970 shares of the company’s stock worth $549,000 after buying an additional 182 shares during the last quarter. Stanley Laman Group Ltd. bought a new stake in Royal Caribbean Cruises during the fourth quarter worth $2,159,000. U.S. Capital Wealth Advisors LLC lifted its stake in Royal Caribbean Cruises by 3.2% in the fourth quarter. U.S. Capital Wealth Advisors LLC now owns 2,179 shares of the company’s stock valued at $608,000 after acquiring an additional 67 shares during the last quarter. Finally, Robeco Institutional Asset Management B.V. grew its position in shares of Royal Caribbean Cruises by 100.4% in the 4th quarter. Robeco Institutional Asset Management B.V. now owns 226,230 shares of the company’s stock valued at $63,100,000 after acquiring an additional 113,349 shares during the period. Institutional investors and hedge funds own 87.53% of the company’s stock.

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.