Royal Caribbean Cruises (NYSE:RCL) Upgraded to “Buy” at Loop Capital

Loop Capital upgraded shares of Royal Caribbean Cruises (NYSE:RCL) from a hold rating to a buy rating in a research report released on Wednesday morning, Marketbeat reports. The brokerage currently has $250.00 target price on the stock.

A number of other research analysts have also commented on the company. Susquehanna upped their price objective on Royal Caribbean Cruises from $245.00 to $305.00 and gave the company a “positive” rating in a report on Wednesday, January 29th. Argus increased their target price on Royal Caribbean Cruises from $280.00 to $305.00 and gave the stock a “buy” rating in a report on Wednesday, January 29th. Sanford C. Bernstein initiated coverage on Royal Caribbean Cruises in a report on Tuesday, November 26th. They set an “outperform” rating and a $290.00 target price on the stock. JPMorgan Chase & Co. increased their target price on Royal Caribbean Cruises from $253.00 to $295.00 and gave the stock an “overweight” rating in a report on Friday, January 17th. Finally, UBS Group increased their target price on Royal Caribbean Cruises from $271.00 to $301.00 and gave the stock a “buy” rating in a report on Tuesday, February 4th. Three equities research analysts have rated the stock with a hold rating and fifteen have assigned a buy rating to the company. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $283.53.

Royal Caribbean Cruises Stock Performance

Shares of NYSE RCL opened at $231.33 on Wednesday. The company has a debt-to-equity ratio of 2.39, a current ratio of 0.17 and a quick ratio of 0.15. The stock’s fifty day moving average price is $244.35 and its two-hundred day moving average price is $217.50. Royal Caribbean Cruises has a one year low of $124.24 and a one year high of $277.08. The firm has a market cap of $62.26 billion, a price-to-earnings ratio of 21.64, a P/E/G ratio of 0.90 and a beta of 2.53.

Royal Caribbean Cruises (NYSE:RCL) last issued its quarterly earnings data on Tuesday, January 28th. The company reported $1.63 EPS for the quarter, beating analysts’ consensus estimates 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 period last year, the business posted $1.25 EPS. On average, equities analysts forecast that Royal Caribbean Cruises will post 14.9 EPS for the current year.

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

Royal Caribbean Cruises Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, April 4th. Stockholders of record on Friday, March 7th will be given a dividend of $0.75 per share. This represents a $3.00 dividend on an annualized basis and a dividend yield of 1.30%. This is an increase from Royal Caribbean Cruises’s previous quarterly dividend of $0.55. The ex-dividend date of this dividend is Friday, March 7th. Royal Caribbean Cruises’s dividend payout ratio (DPR) is 28.06%.

Insider Transactions at Royal Caribbean Cruises

In other news, Director Richard D. Fain sold 19,500 shares of the firm’s stock in a transaction dated Thursday, February 13th. The stock was sold at an average price of $256.68, for a total transaction of $5,005,260.00. Following the completion of the transaction, 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 sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Jason T. Liberty sold 58,000 shares of the firm’s stock in a transaction dated Tuesday, February 18th. The stock was sold at an average price of $261.95, for a total value of $15,193,100.00. Following the transaction, the chief executive officer now owns 143,214 shares of the company’s stock, valued at $37,514,907.30. This trade represents a 28.83 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 109,492 shares of company stock worth $28,571,705 over the last ninety days. 7.95% of the stock is owned by insiders.

Institutional Investors Weigh In On Royal Caribbean Cruises

Large investors have recently added to or reduced their stakes in the business. Plato Investment Management Ltd acquired a new stake in Royal Caribbean Cruises during the third quarter worth approximately $26,000. Safe Harbor Fiduciary LLC acquired a new stake in Royal Caribbean Cruises during the third quarter worth approximately $27,000. Brown Brothers Harriman & Co. grew its stake in Royal Caribbean Cruises by 618.8% during the fourth quarter. Brown Brothers Harriman & Co. now owns 115 shares of the company’s stock worth $27,000 after purchasing an additional 99 shares during the period. LRI Investments LLC acquired a new stake in Royal Caribbean Cruises during the third quarter worth approximately $31,000. Finally, Fourth Dimension Wealth LLC acquired a new stake in Royal Caribbean Cruises during the fourth quarter worth approximately $35,000. Institutional investors and hedge funds own 87.53% of the company’s stock.

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.