Royal Caribbean Cruises (NYSE:RCL) Shares Gap Up – Here’s What Happened

Royal Caribbean Cruises Ltd. (NYSE:RCL)’s share price gapped up prior to trading on Friday . The stock had previously closed at $230.76, but opened at $236.84. Royal Caribbean Cruises shares last traded at $238.20, with a volume of 401,750 shares changing hands.

Wall Street Analysts Forecast Growth

Several analysts have recently weighed in on the stock. Citigroup lifted their target price on shares of Royal Caribbean Cruises from $257.00 to $283.00 and gave the company a “buy” rating in a research report on Wednesday, December 11th. JPMorgan Chase & Co. lifted their price objective on Royal Caribbean Cruises from $213.00 to $243.00 and gave the company an “overweight” rating in a report on Tuesday, October 29th. The Goldman Sachs Group increased their target price on Royal Caribbean Cruises from $245.00 to $275.00 and gave the stock a “buy” rating in a report on Tuesday, December 10th. Wells Fargo & Company upped their price target on Royal Caribbean Cruises from $180.00 to $232.00 and gave the company an “overweight” rating in a research report on Wednesday, October 30th. Finally, Macquarie increased their price objective on Royal Caribbean Cruises from $189.00 to $250.00 and gave the stock an “outperform” rating in a research note on Wednesday, October 30th. Three investment analysts have rated the stock with a hold rating and fourteen have issued a buy rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $239.75.

Royal Caribbean Cruises Stock Performance

The firm has a fifty day simple moving average of $227.13 and a 200-day simple moving average of $185.17. The stock has a market cap of $64.11 billion, a price-to-earnings ratio of 24.50, a P/E/G ratio of 0.65 and a beta of 2.59. The company has a current ratio of 0.19, a quick ratio of 0.16 and a debt-to-equity ratio of 2.63.

Royal Caribbean Cruises (NYSE:RCL) last posted its quarterly earnings results on Tuesday, October 29th. The company reported $5.20 earnings per share (EPS) for the quarter, beating the consensus estimate of $5.05 by $0.15. The business had revenue of $4.89 billion for the quarter, compared to analysts’ expectations of $4.89 billion. Royal Caribbean Cruises had a return on equity of 52.92% and a net margin of 16.21%. The firm’s quarterly revenue was up 17.5% compared to the same quarter last year. During the same quarter last year, the business earned $3.85 earnings per share. Analysts forecast that Royal Caribbean Cruises Ltd. will post 11.65 EPS for the current fiscal year.

Royal Caribbean Cruises Cuts Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, January 13th. Stockholders of record on Friday, December 27th will be given a dividend of $0.55 per share. This represents a $2.20 annualized dividend and a dividend yield of 0.92%. The ex-dividend date of this dividend is Friday, December 27th. Royal Caribbean Cruises’s dividend payout ratio is 22.61%.

Insider Activity at Royal Caribbean Cruises

In related news, Director Richard D. Fain sold 25,000 shares of Royal Caribbean Cruises stock in a transaction that occurred on Wednesday, October 30th. The shares were sold at an average price of $210.02, for a total transaction of $5,250,500.00. Following the transaction, the director now owns 204,521 shares of the company’s stock, valued at $42,953,500.42. This trade represents a 10.89 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CAO Henry L. Pujol sold 6,723 shares of the company’s stock in a transaction that occurred on Wednesday, October 30th. The shares were sold at an average price of $208.51, for a total transaction of $1,401,812.73. Following the completion of the sale, the chief accounting officer now directly owns 9,964 shares of the company’s stock, valued at $2,077,593.64. The trade was a 40.29 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 404,332 shares of company stock worth $94,299,521 over the last ninety days. Company insiders own 7.95% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in RCL. Assenagon Asset Management S.A. grew its position in shares of Royal Caribbean Cruises by 17.9% in the 2nd quarter. Assenagon Asset Management S.A. now owns 5,201 shares of the company’s stock valued at $829,000 after purchasing an additional 789 shares during the period. Atria Wealth Solutions Inc. raised its holdings in shares of Royal Caribbean Cruises by 33.3% during the second quarter. Atria Wealth Solutions Inc. now owns 5,859 shares of the company’s stock worth $934,000 after acquiring an additional 1,463 shares during the period. &PARTNERS lifted its position in Royal Caribbean Cruises by 68.1% in the 2nd quarter. &PARTNERS now owns 3,981 shares of the company’s stock valued at $635,000 after acquiring an additional 1,613 shares in the last quarter. Clear Creek Financial Management LLC acquired a new position in Royal Caribbean Cruises in the 2nd quarter worth $204,000. Finally, Verdence Capital Advisors LLC acquired a new position in Royal Caribbean Cruises in the 2nd quarter worth $208,000. 87.53% of the stock is owned by institutional investors and hedge funds.

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.