Royal Caribbean Cruises (NYSE:RCL) Stock Price Down 5.5% After Analyst Downgrade

Royal Caribbean Cruises Ltd. (NYSE:RCL) fell 5.5% during mid-day trading on Wednesday after Truist Financial lowered their price target on the stock from $318.00 to $297.00. Truist Financial currently has a hold rating on the stock. Royal Caribbean Cruises traded as low as $233.15 and last traded at $233.4880. 579,648 shares changed hands during mid-day trading, a decline of 77% from the average session volume of 2,550,728 shares. The stock had previously closed at $247.20.

RCL has been the subject of several other research reports. Barclays reduced their target price on shares of Royal Caribbean Cruises from $351.00 to $340.00 and set an “overweight” rating for the company in a research note on Friday, May 1st. TD Cowen cut their price target on shares of Royal Caribbean Cruises from $350.00 to $337.00 and set a “buy” rating on the stock in a report on Friday, May 15th. William Blair reissued an “outperform” rating on shares of Royal Caribbean Cruises in a report on Thursday, January 29th. Mizuho set a $380.00 price target on shares of Royal Caribbean Cruises in a report on Friday, May 1st. Finally, Stifel Nicolaus set a $410.00 price target on shares of Royal Caribbean Cruises in a report on Friday, May 1st. Fifteen analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $345.63.

Insider Buying and Selling at Royal Caribbean Cruises

In related news, Director Arne Alexander Wilhelmsen sold 356,026 shares of the business’s stock in a transaction dated Thursday, February 26th. The shares were sold at an average price of $318.39, for a total value of $113,355,118.14. Following the transaction, the director directly owned 16,681,386 shares of the company’s stock, valued at approximately $5,311,186,488.54. The trade was a 2.09% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Over the last quarter, insiders have sold 1,135,858 shares of company stock valued at $358,605,301. 6.44% of the stock is currently owned by insiders.

Royal Caribbean Cruises News Summary

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

• Negative Sentiment: Zacks Research downgraded Royal Caribbean Cruises from “hold” to “strong sell,” a bearish signal that may weigh on investor sentiment. Zacks downgrade report
• Negative Sentiment: The firm also lowered earnings estimates for Q3 2026, Q4 2026, FY2026, and Q1 2027, suggesting expectations for slightly softer results ahead. Zacks estimate revisions
• Negative Sentiment: Royal Caribbean is also facing a potential setback in Mexico, after authorities rejected its “Perfect Day” water park proposal, forcing the company to reassess related investment plans. Mexico rejects Royal Caribbean’s Perfect Day water park
• Neutral Sentiment: Investor attention remains elevated, with RCL among the most searched cruise stocks and compared with peers in recent market commentary, but this is not a direct fundamental catalyst. Investors heavily search Royal Caribbean Cruises Ltd. (RCL)

Institutional Investors Weigh In On Royal Caribbean Cruises

Several institutional investors have recently added to or reduced their stakes in RCL. Montag A & Associates Inc. lifted its holdings in Royal Caribbean Cruises by 184.4% during the fourth quarter. Montag A & Associates Inc. now owns 91 shares of the company’s stock valued at $25,000 after purchasing an additional 59 shares during the last quarter. Ares Financial Consulting LLC purchased a new stake in Royal Caribbean Cruises during the fourth quarter valued at about $26,000. University of Texas Texas AM Investment Management Co. purchased a new stake in Royal Caribbean Cruises during the fourth quarter valued at about $26,000. IMG Wealth Management Inc. purchased a new stake in Royal Caribbean Cruises during the first quarter valued at about $27,000. Finally, Kemnay Advisory Services Inc. purchased a new stake in Royal Caribbean Cruises during the fourth quarter valued at about $27,000. 87.53% of the stock is owned by hedge funds and other institutional investors.

Royal Caribbean Cruises Stock Performance

The company has a 50-day moving average price of $270.13 and a two-hundred day moving average price of $281.87. The stock has a market capitalization of $69.92 billion, a P/E ratio of 15.91, a PEG ratio of 0.89 and a beta of 1.77. The company has a quick ratio of 0.17, a current ratio of 0.20 and a debt-to-equity ratio of 1.96.

Royal Caribbean Cruises (NYSE:RCL) last announced its quarterly earnings results on Thursday, April 30th. The company reported $3.60 earnings per share for the quarter, beating the consensus estimate of $3.20 by $0.40. Royal Caribbean Cruises had a return on equity of 45.25% and a net margin of 24.36%.The firm had revenue of $4.45 billion for the quarter, compared to analysts’ expectations of $4.46 billion. During the same period in the prior year, the business posted $2.71 earnings per share. The company’s revenue was up 11.3% on a year-over-year basis. Royal Caribbean Cruises has set its Q2 2026 guidance at 3.830-3.930 EPS and its FY 2026 guidance at 17.100-17.500 EPS. Equities analysts expect that Royal Caribbean Cruises Ltd. will post 17.28 earnings per share for the current year.

Royal Caribbean Cruises Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, July 2nd. Stockholders of record on Wednesday, June 3rd will be given a dividend of $1.50 per share. The ex-dividend date is Wednesday, June 3rd. This represents a $6.00 annualized dividend and a dividend yield of 2.3%. Royal Caribbean Cruises’s dividend payout ratio is currently 36.61%.

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.