Key Points
- Director insider selling: Arne Alexander Wilhelmsen sold 101,902 shares on Feb. 19 for $31.8M — part of multiple sales Feb. 13–19 that totalled hundreds of thousands of shares and tens of millions of dollars, a near‑term negative for the stock; he still holds 17,681,065 shares (a 0.57% reduction).
- Shareholder returns boosted: The board approved a $2.0 billion buyback (about 2.6% of shares) and raised the quarterly dividend to $1.50 ($6.00 annualized), increasing cash returns to investors.
- Recent results and analyst view: Royal Caribbean posted $2.80 EPS (met estimates) with revenue up 13.2% YoY, a market cap of roughly $85.3B, and a consensus "Moderate Buy" analyst rating with a ~$348 price target.
Royal Caribbean Cruises Ltd. (NYSE:RCL - Get Free Report) Director Arne Alexander Wilhelmsen sold 101,902 shares of Royal Caribbean Cruises stock in a transaction dated Thursday, February 19th. The shares were sold at an average price of $312.09, for a total value of $31,802,595.18. Following the transaction, the director owned 17,681,065 shares of the company's stock, valued at $5,518,083,575.85. This trade represents a 0.57% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link.
Arne Alexander Wilhelmsen also recently made the following trade(s):
- On Wednesday, February 18th, Arne Alexander Wilhelmsen sold 104,540 shares of Royal Caribbean Cruises stock. The stock was sold at an average price of $321.64, for a total value of $33,624,245.60.
- On Tuesday, February 17th, Arne Alexander Wilhelmsen sold 180,000 shares of Royal Caribbean Cruises stock. The shares were sold at an average price of $325.09, for a total value of $58,516,200.00.
- On Friday, February 13th, Arne Alexander Wilhelmsen sold 100,000 shares of Royal Caribbean Cruises stock. The shares were sold at an average price of $326.58, for a total value of $32,658,000.00.
Royal Caribbean Cruises Trading Up 1.6%
Shares of Royal Caribbean Cruises stock opened at $315.34 on Friday. The stock has a fifty day simple moving average of $302.05 and a 200 day simple moving average of $303.19. Royal Caribbean Cruises Ltd. has a 12-month low of $164.01 and a 12-month high of $366.50. The company has a market capitalization of $85.31 billion, a P/E ratio of 20.20, a price-to-earnings-growth ratio of 1.01 and a beta of 1.91. The company has a current ratio of 0.18, a quick ratio of 0.16 and a debt-to-equity ratio of 1.77.
Royal Caribbean Cruises (NYSE:RCL - Get Free Report) last issued its quarterly earnings data on Thursday, January 29th. The company reported $2.80 earnings per share for the quarter, meeting the consensus estimate of $2.80. The business had revenue of $4.26 billion for the quarter, compared to analysts' expectations of $4.28 billion. Royal Caribbean Cruises had a return on equity of 45.06% and a net margin of 23.80%.The business's revenue was up 13.2% on a year-over-year basis. During the same period last year, the business earned $1.63 EPS. On average, sell-side analysts anticipate that Royal Caribbean Cruises Ltd. will post 14.9 earnings per share for the current fiscal year.
Royal Caribbean Cruises announced that its Board of Directors has initiated a share buyback program on Wednesday, December 10th that permits the company to repurchase $2.00 billion in shares. This repurchase authorization permits the company to purchase up to 2.6% of its shares through open market purchases. Shares repurchase programs are often a sign that the company's board believes its stock is undervalued.
Royal Caribbean Cruises Increases Dividend
The company also recently declared a quarterly dividend, which will be paid on Friday, April 3rd. Investors of record on Friday, March 6th will be issued a dividend of $1.50 per share. This represents a $6.00 annualized dividend and a yield of 1.9%. This is a boost from Royal Caribbean Cruises's previous quarterly dividend of $1.00. The ex-dividend date is Friday, March 6th. Royal Caribbean Cruises's dividend payout ratio is presently 25.62%.
Analysts Set New Price Targets
A number of equities analysts have recently weighed in on RCL shares. Morgan Stanley boosted their target price on Royal Caribbean Cruises from $290.00 to $330.00 and gave the stock an "equal weight" rating in a research note on Tuesday, February 3rd. Stifel Nicolaus lifted their price target on Royal Caribbean Cruises from $380.00 to $420.00 and gave the stock a "buy" rating in a report on Friday, January 30th. Susquehanna set a $350.00 price objective on Royal Caribbean Cruises and gave the stock a "positive" rating in a research report on Thursday, October 30th. Bank of America boosted their price objective on Royal Caribbean Cruises from $325.00 to $330.00 and gave the stock a "neutral" rating in a research report on Monday, January 12th. Finally, Jefferies Financial Group raised their target price on Royal Caribbean Cruises from $275.00 to $334.00 and gave the company a "hold" rating in a research report on Friday, January 30th. One investment analyst has rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating and four have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $348.29.
Check Out Our Latest Stock Report on Royal Caribbean Cruises
Key Stories Impacting Royal Caribbean Cruises
Here are the key news stories impacting Royal Caribbean Cruises this week:
- Positive Sentiment: Company raised its quarterly dividend to $1.50 (annualized $6.00); ex‑dividend/record/pay dates disclosed — a cash return boost that supports shareholder sentiment. Read More.
- Positive Sentiment: Board-authorized $2.0 billion share buyback program—management signaling conviction in long‑term value, which can support the stock and EPS. Read More.
- Positive Sentiment: Board upgrade — appointment of Christopher J. Wiernicki adds maritime/regulatory expertise that could improve governance and operational oversight. Read More.
- Neutral Sentiment: Analyst coverage remains constructive: several firms have raised targets or reiterated buys (consensus price target near $348), which can attract investor interest but is not an immediate catalyst. Read More.
- Neutral Sentiment: Positive media/momentum stories (Zacks, FXEmpire) highlight RCL as a long‑term value/flow beneficiary — may support continued inflows but not a near‑term driver by itself. Read More. Read More.
- Negative Sentiment: Large, repeated insider selling by director Arne Alexander Wilhelmsen across Feb. 13–19 (multiple transactions totaling hundreds of thousands of shares, tens of millions of dollars) — a clear short‑term negative signal that has pressured the stock. Read More.
- Negative Sentiment: Additional insider disposals (Laura H. Bethge, Maritza Gomez Montiel) in the same window amplify the selling signal and raise near‑term concern about insider conviction. Read More. Read More.
- Negative Sentiment: Rising crude / fuel costs: coverage flags that oil near multi‑month highs can hit margins quickly for cruise operators (especially with notable leverage), creating downside risk to earnings and multiples. Read More.
Hedge Funds Weigh In On Royal Caribbean Cruises
Several institutional investors and hedge funds have recently bought and sold shares of RCL. Brighton Jones LLC raised its stake in shares of Royal Caribbean Cruises by 12.2% in the fourth quarter. Brighton Jones LLC now owns 1,312 shares of the company's stock valued at $303,000 after buying an additional 143 shares during the period. Woodline Partners LP increased its holdings in Royal Caribbean Cruises by 40.8% in the 1st quarter. Woodline Partners LP now owns 20,918 shares of the company's stock worth $4,297,000 after acquiring an additional 6,063 shares during the last quarter. DekaBank Deutsche Girozentrale raised its stake in Royal Caribbean Cruises by 16.6% in the 2nd quarter. DekaBank Deutsche Girozentrale now owns 57,884 shares of the company's stock valued at $17,891,000 after acquiring an additional 8,235 shares during the period. Cullen Frost Bankers Inc. lifted its holdings in Royal Caribbean Cruises by 3.5% during the second quarter. Cullen Frost Bankers Inc. now owns 37,969 shares of the company's stock valued at $11,890,000 after purchasing an additional 1,294 shares during the last quarter. Finally, D.A. Davidson & CO. boosted its position in Royal Caribbean Cruises by 151.8% during the second quarter. D.A. Davidson & CO. now owns 5,913 shares of the company's stock worth $1,852,000 after purchasing an additional 3,565 shares during the period. 87.53% of the stock is owned by institutional investors.
Royal Caribbean Cruises Company Profile
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Get Free Report)
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.
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