Royal Caribbean Cruises (NYSE:RCL) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a report issued on Thursday. The brokerage presently has a $131.00 price target on the stock. Zacks Investment Research‘s price target indicates a potential upside of 14.08% from the company’s current price.
According to Zacks, “Royal Caribbean shares have outpaced the industry in the past year. Solid demand trends and continued cost discipline led the company to successfully complete its Double-Double program.Going forward, we are particularly positive on Royal Caribbean’s three-year program designed to drive performance: 20/20 Vision. Also, moving ahead, the company’s sailings are all likely to continue performing strongly given strong bookings trends. Moreover, while its capacity growth is expected to aid in meeting increased demand, ship innovation and technology investments may lead to higher yields. The company has also been successful in dealing with the volatility in fuel prices given its environmental efforts. Yet, higher costs in the near-term and adverse forex translations might hamper its profitability. Despite growth opportunities, lingering global uncertainties in key operating regions are likely to affect its international profits.”
A number of other equities analysts have also weighed in on RCL. ValuEngine lowered Royal Caribbean Cruises from a “buy” rating to a “hold” rating in a research note on Wednesday, January 3rd. Berenberg Bank raised Royal Caribbean Cruises from a “hold” rating to a “buy” rating in a research note on Thursday, January 11th. SunTrust Banks boosted their target price on Royal Caribbean Cruises to $149.00 and gave the stock a “buy” rating in a research report on Wednesday, January 17th. Wedbush reiterated an “outperform” rating and issued a $145.00 target price (up from $139.00) on shares of Royal Caribbean Cruises in a research report on Thursday, January 25th. Finally, Stifel Nicolaus boosted their target price on Royal Caribbean Cruises from $150.00 to $152.00 and gave the stock a “buy” rating in a research report on Thursday, January 25th. One equities research analyst has rated the stock with a sell rating, four have given a hold rating, eleven have given a buy rating and one has assigned a strong buy rating to the company. The stock has an average rating of “Buy” and an average price target of $136.93.
Royal Caribbean Cruises (NYSE:RCL) last released its quarterly earnings data on Wednesday, January 24th. The company reported $1.34 earnings per share for the quarter, topping analysts’ consensus estimates of $1.20 by $0.14. The firm had revenue of $2 billion during the quarter, compared to analyst estimates of $1.97 billion. Royal Caribbean Cruises had a return on equity of 16.22% and a net margin of 18.51%. The business’s quarterly revenue was up 5.0% compared to the same quarter last year. During the same quarter in the prior year, the company posted $1.23 earnings per share. equities research analysts predict that Royal Caribbean Cruises will post 8.7 earnings per share for the current fiscal year.
In other Royal Caribbean Cruises news, CEO Richard D. Fain sold 20,000 shares of the company’s stock in a transaction that occurred on Tuesday, March 13th. The stock was sold at an average price of $126.33, for a total transaction of $2,526,600.00. Following the sale, the chief executive officer now directly owns 911,737 shares in the company, valued at $115,179,735.21. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, CFO Jason T. Liberty sold 5,892 shares of the company’s stock in a transaction that occurred on Thursday, January 25th. The shares were sold at an average price of $131.19, for a total value of $772,971.48. Following the sale, the chief financial officer now owns 43,972 shares in the company, valued at $5,768,686.68. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 120,799 shares of company stock worth $15,556,896. Company insiders own 15.30% of the company’s stock.
Hedge funds have recently modified their holdings of the business. NuWave Investment Management LLC purchased a new stake in Royal Caribbean Cruises during the fourth quarter valued at approximately $185,000. Sheaff Brock Investment Advisors LLC purchased a new stake in Royal Caribbean Cruises during the third quarter valued at approximately $204,000. Checchi Capital Advisers LLC purchased a new stake in Royal Caribbean Cruises during the fourth quarter valued at approximately $207,000. Squar Milner Financial Services LLC purchased a new stake in Royal Caribbean Cruises during the fourth quarter valued at approximately $207,000. Finally, Boothbay Fund Management LLC purchased a new stake in Royal Caribbean Cruises during the third quarter valued at approximately $212,000. Institutional investors and hedge funds own 74.41% of the company’s stock.
Royal Caribbean Cruises Company Profile
Royal Caribbean Cruises Ltd. operates as a cruise company. The company operates cruises under the Royal Caribbean International, Celebrity Cruises, and Azamara Club Cruises brands. The Royal Caribbean International brand provides itineraries to destinations worldwide, including Alaska, Asia, Australia, Bahamas, Bermuda, Canada, the Caribbean, Europe, the Panama Canal, and New Zealand with cruise lengths that range from 2 to 23 nights.
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