Royal Caribbean Cruises Ltd (RCL)
Fair ValueFundamental
67
Price
$276.48
Market Cap
$77.15B
Part 1 · What the company is worth
Overview
Royal Caribbean Cruises Ltd. operates as a cruise company worldwide. The company operates cruises under the Royal Caribbean International, Celebrity Cruises, and Silversea Cruises brands, which comprise a range of itineraries. As of December 31, 2025, it operated 69 ships. Royal Caribbean Cruises Ltd. was founded in 1968 and is headquartered in Miami, Florida.
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Direct competitors
Who this company fights with for the same customers
No editorial profile for this company yet
No competitor list for this company yet.
Balance Sheet & Liquidity
Revenue
$18.68B
Trailing 12 months (through 6/30/2026)
Net Income
$4.40B
Trailing 12 months (through 6/30/2026)
Free Cash Flow
$1.24B
Total Equity
$10.04B
Total Liabilities
$31.37B
Current Ratio
0.21
Interest Coverage
4.96
Debt/EBITDA
3.55
Earnings Per Share
Revenue & Net Income
Free Cash Flow
Income Breakdown
Historical statement
Margins over time
Debt over time
How heavy the debt is
Growth grid
Growth — Revenue
Fair Value Estimation
Fair Value
$231.17
Current Price
$276.48
Margin of Safety
-19.6%
Fair Value Range
$150.26 - $312.08
Spread across the valuation methods used, not a statistically calibrated confidence interval.
Estimation Methods
Valuation Metrics
P/E Ratio
17.09
ROE
42.5%
P/B Ratio
7.22
P/FCF
62.42
Gross Margin
49.1%
ROIC
12.2%
Profitability Radar
Value Creation (Economic Moat)
ROIC
12.2%
WACC
12.3%
ROIC − WACC
-0.0 pp
ROIC is roughly in line with the cost of capital — the company is barely covering its capital cost.
Fundamental Analysis Criteria
Passed (17)
- EPS shows upward trend
- EPS CAGR 10.92%
- Price CAGR 12.83%
- ROIC 12.2%
- Gross margin 49.1%
- Debt/equity ratio
- Operating margin 27.3%
- Interest coverage
- Debt/EBITDA
- Return on tangible assets
- Low reliance on intangibles
- ROE 43.8%
- Revenue growth 5Y 52.0%
- Earnings surprise, average 4.0%
- Earnings quality (operating cash flow / net income) 1.54
- Net margin trend 23.5% vs 21.0%
- Piotroski F-Score 7/9
Failed (7)
- P/FCF 62.42
- P/B ratio 7.22
- Positive free cash flow
- Current ratio
- Price below Graham Number
- DCF valuation (Overvalued)
- Share dilution 4.0%
Unavailable (3)
- Dividend payout –
- CapEx intensity
- PEG ratio (needs P/E > 0 and growth > 0)
Piotroski F-Score
Strong financial health
Earnings Quality
High quality: earnings backed by cash
Share Dilution
Issuing new shares, diluting ownership
Institutional Holdings
No institutional filings reported for this company.
Governance
Executive Team
| Name | Title | Age |
|---|---|---|
| Mr. Jason T. Liberty | CEO & Chairman | - |
| Mr. Naftali Holtz | Executive VP & CFO | 47 |
| Mr. Harri U. Kulovaara | Executive Vice President of Newbuilding | 72 |
| Mr. Michael W. Bayley | President & CEO of Royal Caribbean | 66 |
| Ms. Laura J. Hodges Bethge | President of Celebrity Cruises | 50 |
| Mr. Henry L. Pujol | Senior VP & Chief Accounting Officer | 57 |
| Ms. Martha Cecilia Poulter | Senior VP & Chief Information Officer | 58 |
| Ms. Dana Ritzcovan | Executive VP and Chief People & Administrative Officer | - |
| Mr. Blake Vanier | Vice President of Investor Relations | - |
| Mr. Robert Alexander Lake Jr. | Senior VP, Chief Legal Officer & Secretary | 53 |
Audit Risk
6
Board Risk
7
Compensation Risk
7
Shareholder Rights Risk
9
Documents
- View document
Annual Report (10-K)
A yearly overview of the business, its financial results, and the risks it faces.
Filed on 2026-02-11
- View document
Quarterly Report (10-Q)
A snapshot of financial performance for the most recent three-month period.
Filed on 2026-07-28
- View document
Current Report (8-K)
An announcement of a major event, such as a leadership change or big news.
Filed on 2026-09-23
via SEC EDGAR
Income History
via SEC EDGAR
Part 2 · The price and its context
This part shows how the price has behaved, not whether the company is worth owning. Inside: technical analysis, potential, historical drawdowns, gamma exposure.
Market Reaction Profile
How much RCL moves, measured on its daily prices.
More volatile than 49% of the tracked stocks (90-day volatility).
- Volatility 30d
- 42.4%
- Volatility 90d
- 35.9%
- Beta vs S&P 500 (1y)
- 1.67Correlation 0.44
- Max drawdown (12m)
- -33.8%
- ATR (14d, % of price)
- 3.55%
Earnings reactions
How RCL moved around its past quarterly results.
Next earnings release
Oct 27, 2026 · In 3 days · Before the open
EPS estimate: 6.38Revenue estimate: $5.6B
What usually happens
- Over the last 12 releases the stock moved a median of 4.4% the next day, up or down.
- Next-day moves: up 8, down 4 (out of 12).
Release history
| Date | When | EPS est. | EPS actual | Surprise | Gap | 1 day | 5 days |
|---|---|---|---|---|---|---|---|
| Jul 28, 2026 | During the session | 4.02 | 4.21 | +4.6% | -0.8% | +5.7% | +6.2% |
| Apr 30, 2026 | During the session | 3.22 | 3.60 | +11.8% | +5.5% | +3.8% | +13.0% |
| Jan 29, 2026 | During the session | 2.83 | 2.80 | -0.9% | +8.4% | +18.6% | +12.7% |
| Oct 28, 2025 | During the session | 5.73 | 5.75 | +0.4% | -7.7% | -8.5% | -13.3% |
| Jul 29, 2025 | During the session | n/a | n/a | n/a | -7.6% | -5.0% | -10.3% |
| Apr 29, 2025 | During the session | n/a | n/a | n/a | +2.5% | +0.1% | +5.8% |
| Jan 28, 2025 | During the session | n/a | n/a | n/a | +4.2% | +12.0% | +10.2% |
| Oct 29, 2024 | During the session | n/a | n/a | n/a | -2.8% | +3.2% | +0.4% |
| Jul 25, 2024 | During the session | n/a | n/a | n/a | -0.6% | -7.6% | -4.7% |
| Apr 25, 2024 | During the session | n/a | n/a | n/a | +1.8% | +0.5% | +0.6% |
| Feb 1, 2024 | During the session | n/a | n/a | n/a | +2.2% | -0.4% | -6.3% |
| Oct 26, 2023 | During the session | n/a | n/a | n/a | +2.0% | +0.8% | +3.7% |
Release dates from SEC 8-K filings.
Updated 10/24/2026
Historical statistics for educational purposes only. They are not forecasts and not investment advice.
Price reaction to the news
Latest news on RCL and what the price did next.
- 9/23/2026PositiveRoyal Caribbean Buys Stake in Sandals Resorts
Published while the US market was open: the move of that day cannot be split into before and after the news, so no figure is shown.
- 7/28/2026PositiveRoyal Caribbean Upbeat on European Sailings Amid Iran War
- +1 day
- +5.5%
- +3 days
- +5.2%
- 7/28/2026NegativeRoyal Caribbean (RCL) Lowers Yield Forecast as Middle East Turmoil Hits Bookings
- +1 day
- +5.5%
- +3 days
- +5.2%
- 6/18/2026PositiveHere's How Much $1000 Invested In Royal Caribbean Group 5 Years Ago Would Be Worth Today
- +1 day
- -0.7%
- +3 days
- +4.5%
- 6/11/2026PositiveHere's How Much $100 Invested In Royal Caribbean Group 5 Years Ago Would Be Worth Today
- +1 day
- +1.7%
- +3 days
- +6.9%
- 5/18/2026NegativeRoyal Caribbean Slides After Mexico Reviews Water Park Plan
Published while the US market was open: the move of that day cannot be split into before and after the news, so no figure is shown.
- 5/13/2026Positive$1000 Invested In Royal Caribbean Group 15 Years Ago Would Be Worth This Much Today
- +1 day
- -0.3%
- +3 days
- -3.9%
- 4/30/2026PositiveHeadline no longer in the latest news feed
Published while the US market was open: the move of that day cannot be split into before and after the news, so no figure is shown.
Return of the stock minus return of SPY over the same days. A news item close to a price move did not necessarily cause it. Historical data for educational purposes only, not investment advice.
Latest News
Recent headlines for RCL.
- 17d agoNEUTRALMorgan Stanley Selling Pieces of $3 Billion Royal Caribbean Loan
Morgan Stanley is reportedly seeking to sell portions of a $3 billion loan facility that was instrumental in Royal Caribbean Cruises Ltd.'s acquisition of a 50% stake in Sandals Resort International. This move by Morgan Stanley suggests a potential shift in the loan's risk profile or a desire to free up capital. For investors in Royal Caribbean, the news itself does not directly impact the company's operational performance or future earnings, but it highlights the financing structure behind a significant strategic investment.
- 9/23/2026NEUTRALRoyal Caribbean Teams with Sandals, Morgan Stanley Addresses Deals Leak
Royal Caribbean Cruises Ltd. is mentioned in a news segment discussing corporate transactions, alongside a partnership with Sandals and a deal leak addressed by Morgan Stanley. The program features insights from M&A experts at JPMorgan and Weil, Gotshal & Manges. While the specific details of the Royal Caribbean partnership or the Morgan Stanley deal leak are not elaborated upon, the context suggests a focus on significant corporate activity. Investors should monitor for further disclosures regarding these transactions, as they could impact the company's strategic positioning and financial performance.
- 9/23/2026POSITIVERoyal Caribbean Buys Stake in Sandals Resorts
Royal Caribbean Cruises has announced a strategic move to acquire a 50% stake in Sandals Resorts International for approximately $3 billion. This significant investment positions Royal Caribbean to expand its footprint within the all-inclusive resort sector, potentially enhancing its integrated travel offerings. The deal is expected to leverage synergies between the cruise line's extensive customer base and Sandals' established resort brand, aiming to create a more comprehensive vacation experience. Investors will be watching for the integration progress and its impact on future earnings and market share.
- 7/28/2026POSITIVERoyal Caribbean Upbeat on European Sailings Amid Iran War
Royal Caribbean Cruises Ltd. reported robust demand for its European itineraries, signaling resilience despite geopolitical tensions in the Middle East. The company indicated that ongoing conflicts have not significantly impacted bookings for its lucrative Mediterranean sailings. This positive outlook suggests that consumer confidence for leisure travel remains strong, particularly for established cruise lines. Investors may view this as a sign of the company's ability to navigate external risks and maintain its revenue streams, potentially leading to upward price adjustments for the stock.
- 7/28/2026NEGATIVERoyal Caribbean (RCL) Lowers Yield Forecast as Middle East Turmoil Hits Bookings
Royal Caribbean Cruises Ltd. has revised its yield forecast downwards, citing a "modest" impact on bookings stemming from ongoing geopolitical turmoil. This adjustment signals potential headwinds for the cruise line operator as international instability affects consumer travel decisions. Investors will be monitoring future booking trends and management's strategies to mitigate these external pressures. The company's ability to navigate these challenges will be crucial for its near-term financial performance and stock valuation.
- 6/18/2026POSITIVEHere's How Much $1000 Invested In Royal Caribbean Group 5 Years Ago Would Be Worth Today
An investment of $1000 in Royal Caribbean Group (RCL) five years ago would have grown to approximately $3,140 today, representing a substantial 214% return. This performance significantly outpaced the broader market, highlighting the cruise line's strong recovery and growth trajectory post-pandemic. The company has benefited from robust consumer demand for travel and effective capacity management. For investors, this demonstrates the potential for significant capital appreciation in well-managed companies within the leisure and travel sector, even after periods of significant disruption.
- 6/11/2026POSITIVEHere's How Much $100 Invested In Royal Caribbean Group 5 Years Ago Would Be Worth Today
An investment of $100 in Royal Caribbean Group five years ago would have yielded a substantial return, growing to approximately $385 today. This represents a compound annual growth rate of roughly 31.5%. The cruise line operator has seen significant recovery and growth post-pandemic, driven by strong consumer demand for travel and effective capacity management. Investors who held RCL stock during this period have benefited from the company's robust financial performance and strategic initiatives aimed at enhancing shareholder value.
- 5/18/2026NEGATIVERoyal Caribbean Slides After Mexico Reviews Water Park Plan
Royal Caribbean Cruises Ltd. (RCL) experienced a share price decline following an announcement by Mexican President Claudia Sheinbaum. The President has initiated a review of the cruise line operator's proposed water park project located in the Quintana Roo state. This regulatory scrutiny introduces uncertainty and potential delays or modifications to the project, which could impact future revenue streams and operational expansion plans for the company. Investors are likely to react cautiously to this news, awaiting further clarity on the review's outcome.
- 5/13/2026POSITIVE$1000 Invested In Royal Caribbean Group 15 Years Ago Would Be Worth This Much Today
An investment of $1000 in Royal Caribbean Group (RCL) 15 years ago would have yielded a substantial return, illustrating the company's strong performance and growth trajectory over the past decade and a half. This historical performance indicates robust operational execution, effective management strategies, and favorable market conditions within the cruise industry. For current and potential investors, this data point underscores Royal Caribbean's capacity for significant shareholder value creation and its resilience in a dynamic travel sector.