Royal Caribbean Cruises (NYSE:RCL) Price Target Raised to $394.00

Royal Caribbean Cruises (NYSE:RCL) had its price target upped by JPMorgan Chase & Co. from $345.00 to $394.00 in a report published on Thursday,Benzinga reports. The firm currently has an overweight rating on the stock.

A number of other research analysts have also issued reports on the stock. 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. Freedom Capital lowered shares of Royal Caribbean Cruises from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, July 29th. Truist Financial upped their price target on shares of Royal Caribbean Cruises from $297.00 to $298.00 and gave the company a “hold” rating in a report on Thursday. Citigroup raised their price target on Royal Caribbean Cruises from $327.00 to $362.00 and gave the company a “buy” rating in a research report on Wednesday, July 29th. Finally, UBS Group reaffirmed a “buy” rating on shares of Royal Caribbean Cruises in a research report on Wednesday. One equities research analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and eight have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $356.10.

Royal Caribbean Cruises Stock Up 1.9%

Shares of RCL stock opened at $243.57 on Thursday. The stock’s 50 day simple moving average is $284.09 and its 200 day simple moving average is $281.85. Royal Caribbean Cruises has a twelve month low of $222.22 and a twelve month high of $356.39. 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 company has a market capitalization of $65.14 billion, a price-to-earnings ratio of 15.05, a PEG ratio of 0.80 and a beta of 1.74.

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, topping 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 firm had revenue of $4.83 billion during the quarter, compared to analysts’ expectations of $4.82 billion. During the same quarter in the prior year, the business earned $4.38 earnings per share. The company’s revenue was up 6.5% on a year-over-year basis. 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, research analysts predict that Royal Caribbean Cruises will post 17.78 EPS for the current year.

Royal Caribbean Cruises Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, October 8th. Shareholders of record on Thursday, September 17th will be given a $1.50 dividend. This represents a $6.00 annualized dividend and a yield of 2.5%. The ex-dividend date is Thursday, September 17th. Royal Caribbean Cruises’s dividend payout ratio (DPR) is currently 37.08%.

Insider Activity

In other news, CEO Michael Bayley sold 12,811 shares of the business’s stock in a transaction dated Wednesday, July 29th. The shares were sold at an average price of $315.99, for a total transaction of $4,048,147.89. Following the transaction, the chief executive officer owned 45,297 shares in the company, valued at approximately $14,313,399.03. The trade was a 22.05% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Insiders own 6.44% of the company’s stock.

Institutional Investors Weigh In On Royal Caribbean Cruises

A number of institutional investors have recently added to or reduced their stakes in RCL. Kestra Investment Management LLC grew its holdings in shares of 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 purchasing an additional 31 shares in the last quarter. Waterloo Capital L.P. boosted its stake in Royal Caribbean Cruises by 2.9% during the fourth quarter. Waterloo Capital L.P. now owns 1,191 shares of the company’s stock worth $332,000 after buying an additional 34 shares in the last quarter. REAP Financial Group LLC boosted its stake in Royal Caribbean Cruises by 16.8% during the fourth quarter. REAP Financial Group LLC now owns 243 shares of the company’s stock worth $68,000 after buying an additional 35 shares in the last quarter. Global Financial Private Client LLC increased its holdings in Royal Caribbean Cruises by 1.6% in the 1st quarter. Global Financial Private Client LLC now owns 2,343 shares of the company’s stock valued at $645,000 after buying an additional 38 shares during the period. Finally, D.A. Davidson & CO. increased its holdings in Royal Caribbean Cruises by 1.5% in the 2nd quarter. D.A. Davidson & CO. now owns 2,647 shares of the company’s stock valued at $841,000 after buying an additional 40 shares during the period. 87.53% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting Royal Caribbean Cruises

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

• Positive Sentiment: Royal Caribbean’s agreement to acquire a 50% stake in Sandals Resorts and Beaches Resorts for approximately $3 billion provides a new growth platform beyond cruising. The transaction, expected to close in early 2027, could help broaden the company’s customer ecosystem and create cross-selling opportunities. A Cruise Line Betting on Land: Is Royal Caribbean’s Sandals Deal Genius or Overreach?
• Positive Sentiment: Analysts reacted favorably to the Sandals partnership. Citi placed RCL on a 90-day positive catalyst watch, while JPMorgan raised its price target to $394 from $345 and maintained an “overweight” rating. BMO Capital Markets also rated the shares “outperform,” reinforcing the bullish view. JPMorgan, Citi Bullish on Royal Caribbean’s Sandals Partnership
• Positive Sentiment: Strong bookings, cash flow and raised 2026 earnings expectations suggest that cruise demand remains resilient despite the stock’s decline over the past year. Some valuation analysis estimates that RCL could be materially undervalued if earnings growth continues. Royal Caribbean Cruises Could Be 31% Undervalued
• Neutral Sentiment: RCL’s recent advance occurred on above-average volume, but analysts caution that earnings-estimate revisions alone may not sustain additional near-term gains. The shares have also delivered a strong five-year return while remaining sharply lower over the past year, creating a mixed valuation signal. Royal Caribbean Moves Higher: Will This Strength Last?
• Negative Sentiment: The Sandals investment increases capital requirements and execution risk, while Royal Caribbean already carries substantial leverage. Investors will need evidence that the resort stake can generate attractive returns without weakening the cruise company’s balance sheet.
• Negative Sentiment: Recent weakness appears linked less to collapsing demand than to slower cabin pricing in the third quarter. Continued pressure on fares, combined with the risk that the market has already priced in much of the earnings recovery, could limit further upside. Should You Buy Royal Caribbean At a One-Year Low?

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.