Freedom Capital Downgrades Royal Caribbean Cruises (NYSE:RCL) to Hold

Royal Caribbean Cruises (NYSE:RCL) was downgraded by Freedom Capital from a “strong-buy” rating to a “hold” rating in a research note issued to investors on Wednesday,Zacks.com reports.

Several other equities research analysts also recently commented on the company. Deutsche Bank Aktiengesellschaft set a $296.00 target price on Royal Caribbean Cruises in a report on Friday, May 1st. Mizuho set a $380.00 price target on Royal Caribbean Cruises in a report on Friday, May 1st. Citigroup increased their price objective on shares of Royal Caribbean Cruises from $327.00 to $362.00 and gave the company a “buy” rating in a research report on Wednesday. Stifel Nicolaus lifted their price objective on shares of Royal Caribbean Cruises from $410.00 to $415.00 and gave the company a “buy” rating in a research note on Wednesday. Finally, JPMorgan Chase & Co. reduced their target price on shares of Royal Caribbean Cruises from $376.00 to $341.00 and set an “overweight” rating on the stock in a research report on Wednesday, April 8th. One analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating and seven have given a Hold rating to the stock. According to MarketBeat.com, Royal Caribbean Cruises has a consensus rating of “Moderate Buy” and an average price target of $350.50.

Royal Caribbean Cruises Stock Performance

NYSE:RCL opened at $322.15 on Wednesday. Royal Caribbean Cruises has a twelve month low of $232.10 and a twelve month high of $366.50. The firm has a market capitalization of $86.40 billion, a price-to-earnings ratio of 19.91, a PEG ratio of 1.12 and a beta of 1.76. The company has a current ratio of 0.21, a quick ratio of 0.17 and a debt-to-equity ratio of 2.03. The firm’s fifty day simple moving average is $294.60 and its 200 day simple moving average is $289.60.

Royal Caribbean Cruises (NYSE:RCL) last released its quarterly earnings data on Tuesday, July 28th. The company reported $4.21 EPS for the quarter, beating the consensus estimate of $3.98 by $0.23. The company had revenue of $4.83 billion for the quarter, compared to analyst estimates of $4.82 billion. Royal Caribbean Cruises had a return on equity of 43.33% and a net margin of 23.54%.The firm’s revenue was up 6.5% compared to the same quarter last year. During the same period last year, the company posted $4.38 earnings per share. 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. As a group, equities research analysts expect that Royal Caribbean Cruises will post 17.74 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the business. Pinnacle Wealth Management Advisory Group LLC increased its stake in shares of Royal Caribbean Cruises by 1.2% in the 4th quarter. Pinnacle Wealth Management Advisory Group LLC now owns 2,485 shares of the company’s stock valued at $693,000 after acquiring an additional 30 shares during the last quarter. AlphaStar Capital Management LLC raised its position in shares of Royal Caribbean Cruises by 4.1% in the 4th quarter. AlphaStar Capital Management LLC now owns 779 shares of the company’s stock valued at $217,000 after acquiring an additional 31 shares during the period. Kestra Investment Management LLC boosted its stake in Royal Caribbean Cruises by 2.6% during the 4th quarter. Kestra Investment Management LLC now owns 1,208 shares of the company’s stock worth $337,000 after acquiring an additional 31 shares during the last quarter. Waterloo Capital L.P. boosted its stake in Royal Caribbean Cruises by 2.9% during the 4th quarter. Waterloo Capital L.P. now owns 1,191 shares of the company’s stock worth $332,000 after acquiring an additional 34 shares during the last quarter. Finally, Rakuten Securities Inc. grew its holdings in Royal Caribbean Cruises by 16.1% during the second quarter. Rakuten Securities Inc. now owns 252 shares of the company’s stock valued at $79,000 after purchasing an additional 35 shares during the period. Hedge funds and other institutional investors own 87.53% of the company’s stock.

Key Royal Caribbean Cruises News

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

• Positive Sentiment: Royal Caribbean reported second-quarter adjusted earnings of $4.21 per share, above the $3.98 analyst consensus, while revenue of $4.83 billion broadly matched estimates and increased 6.5% year over year. Royal Caribbean earnings and outlook article
• Positive Sentiment: Management maintained its 2026 adjusted EPS outlook of $17.73–$17.87 and reiterated 1.75%–2.25% net yield growth. Record booking volumes and pricing, particularly from higher-margin guests, support continued earnings momentum. Royal Caribbean 2026 forecast article
• Positive Sentiment: Investors continue to point to premium offerings, private destinations, fleet expansion, river cruises and substantial share repurchases—including approximately $1 billion in first-half buybacks—as longer-term catalysts. Royal Caribbean growth drivers article
• Neutral Sentiment: Royal Caribbean appears relatively insulated from weaker consumer vacation demand because affluent travelers are continuing to pay for cruises and premium experiences. Analysts comparing RCL with Carnival see resilient demand and strong bookings across the industry. Royal Caribbean cruise pricing article
• Negative Sentiment: Royal Caribbean reduced its 2026 revenue-growth outlook from 10% to approximately 9% and narrowed reported net-yield guidance, partly reflecting itinerary changes and geopolitical effects on bookings. European cruise demand also faces potential headwinds. Royal Caribbean Q2 outlook article
• Negative Sentiment: Higher fuel costs, roughly $23 billion of debt and heavy capital spending create downside risks if travel demand weakens. Morgan Stanley raised its target to $300 but kept an “equal weight” rating, implying the current valuation already reflects much of the company’s growth outlook. Morgan Stanley Royal Caribbean price target report

Royal Caribbean Cruises Company Profile

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.