| Snowflake Score | |
|---|---|
| Valuation | 2/6 |
| Future Growth | 6/6 |
| Past Performance | 0/6 |
| Financial Health | 0/6 |
| Dividends | 0/6 |
RCL Stock Overview
Royal Caribbean Cruises Ltd. operates as a cruise company worldwide.
Royal Caribbean Cruises Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$59.60 |
| 52 Week High | US$98.27 |
| 52 Week Low | US$56.15 |
| Beta | 2.39 |
| 1 Month Change | -26.71% |
| 3 Month Change | -30.00% |
| 1 Year Change | -29.04% |
| 3 Year Change | -52.31% |
| 5 Year Change | -44.91% |
| Change since IPO | 553.15% |
Recent News & Updates
Is Royal Caribbean Cruises (NYSE:RCL) Using Debt Sensibly?
Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...
Shareholder Returns
| RCL | US Hospitality | US Market | |
|---|---|---|---|
| 7D | -0.6% | 2.1% | 2.7% |
| 1Y | -29.0% | -21.1% | -8.1% |
Return vs Industry: RCL underperformed the US Hospitality industry which returned -21.1% over the past year.
Return vs Market: RCL underperformed the US Market which returned -8.1% over the past year.
Price Volatility
| RCL volatility | |
|---|---|
| RCL Average Weekly Movement | 7.9% |
| Hospitality Industry Average Movement | 9.2% |
| Market Average Movement | 7.8% |
| 10% most volatile stocks in US Market | 16.9% |
| 10% least volatile stocks in US Market | 2.9% |
Stable Share Price: RCL is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.
Volatility Over Time: RCL's weekly volatility (8%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1968 | 84,950 | Jason Liberty | https://www.rclinvestor.com |
Royal Caribbean Cruises Ltd. operates as a cruise company worldwide. The company operates cruises under the Royal Caribbean International, Celebrity Cruises, Azamara, and Silversea Cruises brands, which comprise a range of itineraries that call on approximately 1,000 destinations. As of February 25, 2022, it operated 61 ships.
Royal Caribbean Cruises Fundamentals Summary
| RCL fundamental statistics | |
|---|---|
| Market Cap | US$16.30b |
| Earnings (TTM) | -US$5.30b |
| Revenue (TTM) | US$2.55b |
6.0x
P/S Ratio-2.9x
P/E RatioIs RCL overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| RCL income statement (TTM) | |
|---|---|
| Revenue | US$2.55b |
| Cost of Revenue | US$3.49b |
| Gross Profit | -US$944.25m |
| Other Expenses | US$4.35b |
| Earnings | -US$5.30b |
Last Reported Earnings
Mar 31, 2022
Next Earnings Date
n/a
| Earnings per share (EPS) | -20.77 |
| Gross Margin | -37.04% |
| Net Profit Margin | -207.74% |
| Debt/Equity Ratio | 553.4% |
How did RCL perform over the long term?
See historical performance and comparisonValuation
Is Royal Caribbean Cruises undervalued compared to its fair value and its price relative to the market?
Valuation Score
2/6Valuation Score 2/6
Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry
33.4%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: RCL ($59.6) is trading below our estimate of fair value ($89.46)
Significantly Below Fair Value: RCL is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: RCL is unprofitable, so we can't compare its PE Ratio to the US Hospitality industry average.
PE vs Market: RCL is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate RCL's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: RCL is overvalued based on its PB Ratio (3.8x) compared to the US Hospitality industry average (2.6x).
Future Growth
How is Royal Caribbean Cruises forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?
Future Growth Score
6/6Future Growth Score 6/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
74.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: RCL is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).
Earnings vs Market: RCL is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: RCL's is expected to become profitable in the next 3 years.
Revenue vs Market: RCL's revenue (25.7% per year) is forecast to grow faster than the US market (7.8% per year).
High Growth Revenue: RCL's revenue (25.7% per year) is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: RCL's Return on Equity is forecast to be very high in 3 years time (53.9%).
Past Performance
How has Royal Caribbean Cruises performed over the past 5 years?
Past Performance Score
0/6Past Performance Score 0/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
-64.4%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: RCL is currently unprofitable.
Growing Profit Margin: RCL is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: RCL is unprofitable, and losses have increased over the past 5 years at a rate of 64.4% per year.
Accelerating Growth: Unable to compare RCL's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: RCL is unprofitable, making it difficult to compare its past year earnings growth to the Hospitality industry (86.7%).
Return on Equity
High ROE: RCL has a negative Return on Equity (-132.77%), as it is currently unprofitable.
Financial Health
How is Royal Caribbean Cruises's financial position?
Financial Health Score
0/6Financial Health Score 0/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Stable Cash Runway
Forecast Cash Runway
Financial Position Analysis
Short Term Liabilities: RCL's short term assets ($3.2B) do not cover its short term liabilities ($8.0B).
Long Term Liabilities: RCL's short term assets ($3.2B) do not cover its long term liabilities ($20.9B).
Debt to Equity History and Analysis
Debt Level: RCL's net debt to equity ratio (504%) is considered high.
Reducing Debt: RCL's debt to equity ratio has increased from 92.5% to 553.4% over the past 5 years.
Balance Sheet
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: RCL has less than a year of cash runway based on its current free cash flow.
Forecast Cash Runway: RCL has less than a year of cash runway if free cash flow continues to reduce at historical rates of 55.1% each year
Dividend
What is Royal Caribbean Cruises's current dividend yield, its reliability and sustainability?
Dividend Score
0/6Dividend Score 0/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage
0.40%
Forecast Dividend Yield
Dividend Yield vs Market
Notable Dividend: Unable to evaluate RCL's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate RCL's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if RCL's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if RCL's dividend payments have been increasing.
Earnings Payout to Shareholders
Earnings Coverage: RCL is not paying a notable dividend for the US market.
Cash Payout to Shareholders
Cash Flow Coverage: Unable to calculate sustainability of dividends as RCL has not reported any payouts.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
6.7yrs
Average management tenure
CEO
Jason Liberty (45 yo)
0.33
Tenure
US$13,034,682
Compensation
Mr. Jason T. Liberty serves as President and Chief Executive Officer for Royal Caribbean Group at Royal Caribbean International, Ltd. Mr. Liberty serves as an Independent Director at WNS (Holdings) Limited...
CEO Compensation Analysis
Compensation vs Market: Jason's total compensation ($USD13.03M) is about average for companies of similar size in the US market ($USD13.27M).
Compensation vs Earnings: Jason's compensation has increased whilst the company is unprofitable.
Leadership Team
Experienced Management: RCL's management team is seasoned and experienced (6.7 years average tenure).
Board Members
Experienced Board: RCL's board of directors are seasoned and experienced ( 10.4 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Royal Caribbean Cruises Ltd.'s employee growth, exchange listings and data sources
Key Information
- Name: Royal Caribbean Cruises Ltd.
- Ticker: RCL
- Exchange: NYSE
- Founded: 1968
- Industry: Hotels, Resorts and Cruise Lines
- Sector: Consumer Services
- Implied Market Cap: US$16.297b
- Shares outstanding: 254.96m
- Website: https://www.rclinvestor.com
Number of Employees
Location
- Royal Caribbean Cruises Ltd.
- 1050 Caribbean Way
- Miami
- Florida
- 33132-2096
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/05/18 00:00 |
| End of Day Share Price | 2022/05/18 00:00 |
| Earnings | 2022/03/31 |
| Annual Earnings | 2021/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.