TD Cowen Upgrades Royal Caribbean Cruises (NYSE:RCL) to Strong-Buy

Royal Caribbean Cruises (NYSE:RCL) was upgraded by stock analysts at TD Cowen to a “strong-buy” rating in a research note issued to investors on Tuesday, Zacks reports.

A number of other equities research analysts have also recently weighed in on the company. UBS Group reaffirmed a “buy” rating and issued a $367.00 price objective on shares of Royal Caribbean Cruises in a research note on Monday, August 3rd. Citigroup raised their target price on Royal Caribbean Cruises from $327.00 to $362.00 and gave the company a “buy” rating in a report on Wednesday, July 29th. Wells Fargo & Company lifted their target price on Royal Caribbean Cruises from $361.00 to $388.00 and gave the company an “overweight” rating in a research report on Wednesday, July 29th. Loop Capital began coverage on shares of Royal Caribbean Cruises in a research note on Monday, June 1st. They set a “hold” rating and a $304.00 price target on the stock. Finally, Weiss Ratings lowered shares of Royal Caribbean Cruises from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Thursday, September 3rd. Two investment analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating and eight have given a Hold rating to the stock. According to MarketBeat, Royal Caribbean Cruises currently has a consensus rating of “Moderate Buy” and an average price target of $353.40.

Royal Caribbean Cruises Stock Performance

NYSE:RCL opened at $258.51 on Tuesday. The company has a debt-to-equity ratio of 2.03, a quick ratio of 0.19 and a current ratio of 0.21. The stock has a market capitalization of $69.14 billion, a P/E ratio of 15.98, a PEG ratio of 0.93 and a beta of 1.74. The company has a 50 day moving average price of $293.18 and a 200 day moving average price of $285.95. Royal Caribbean Cruises has a fifty-two week low of $232.10 and a fifty-two week high of $356.39.

Royal Caribbean Cruises (NYSE:RCL) last announced its earnings results on Tuesday, July 28th. The company reported $4.21 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $3.98 by $0.23. Royal Caribbean Cruises had a return on equity of 43.33% and a net margin of 23.54%.The company had revenue of $4.83 billion for the quarter, compared to analyst estimates of $4.82 billion. During the same quarter in the previous year, the company earned $4.38 earnings per share. The firm’s quarterly revenue was up 6.5% compared to the same quarter last year. Royal Caribbean Cruises has set its FY 2026 guidance at 17.730-17.870 EPS and its Q3 2026 guidance at 6.260-6.360 EPS. Equities research analysts forecast that Royal Caribbean Cruises will post 17.78 EPS for the current year.

Insider Activity

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 value of $4,048,147.89. Following the completion of the transaction, the chief executive officer directly owned 45,297 shares in the company, 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 document filed with the SEC, which is accessible through this hyperlink. Insiders own 6.44% of the company’s stock.

Institutional Investors Weigh In On Royal Caribbean Cruises

Large investors have recently bought and sold shares of the stock. California State Teachers Retirement System raised its holdings in Royal Caribbean Cruises by 34,251.2% in the second quarter. California State Teachers Retirement System now owns 118,498,068 shares of the company’s stock valued at $37,626,692,000 after acquiring an additional 118,153,108 shares in the last quarter. BlackRock Inc. acquired a new position in Royal Caribbean Cruises during the 2nd quarter worth approximately $6,549,422,000. Capital International Investors grew its holdings in Royal Caribbean Cruises by 9.8% during the 4th quarter. Capital International Investors now owns 36,165,358 shares of the company’s stock worth $10,088,156,000 after acquiring an additional 3,215,382 shares in the last quarter. Primecap Management Co. CA purchased a new stake in shares of Royal Caribbean Cruises in the 2nd quarter valued at approximately $669,804,000. Finally, Jupiter Topco LLC purchased a new stake in shares of Royal Caribbean Cruises in the 2nd quarter valued at approximately $597,350,000. Hedge funds and other institutional investors own 87.53% of the company’s stock.

About Royal Caribbean Cruises

Royal Caribbean Cruises Ltd., now operating as Royal Caribbean Group, is a global cruise vacation company headquartered in Miami, Florida. The company provides cruise vacations and related travel experiences through a fleet of ocean-going ships serving destinations across the Caribbean, Europe, Alaska, Asia, Australia and New Zealand, and other regions.

Royal Caribbean Group’s principal brands include Royal Caribbean International, Celebrity Cruises and Silversea. Royal Caribbean International focuses on large-ship vacations featuring entertainment, dining, family activities and onboard attractions; Celebrity Cruises offers premium cruises; and Silversea specializes in luxury and expedition voyages.