(RCL) Royal Caribbean Cruises - Overview
Sector: Consumer Cyclical | Industry: Travel Services | Exchange: NYSE (USA) | Market Cap: 68.685m USD | Total Return: 13.5% in 12m
Avg Turnover: 807M
EPS Trend: 79.1%
Qual. Beats: 1
Rev. Trend: 96.7%
Qual. Beats: 0
Warnings
Altman Z'' 0.24 < 1.0 - financial distress zone
Choppy
Tailwinds
No distinct edge detected
Royal Caribbean Cruises Ltd. (RCL) is a global cruise vacation company headquartered in Miami, Florida. Established in 1968, the firm manages a diverse portfolio of brands including Royal Caribbean International, Celebrity Cruises, and Silversea Cruises. As of year-end 2025, the company’s fleet reached 69 ships, providing varied itineraries across the contemporary, premium, and luxury segments.
The cruise industry operates on a high-fixed-cost business model where profitability is heavily driven by occupancy rates and onboard revenue generation. Unlike traditional hotels, cruise operators benefit from mobile assets that can be redeployed to different geographic regions based on seasonal demand or geopolitical stability. Investors can find additional data-driven insights on ValueRay to further evaluate the companys financial positioning.
- Consumer demand for high-margin private destination experiences drives yield growth
- Fuel price volatility and carbon emission regulations impact operating margins
- High debt servicing costs influence net income amid elevated interest rates
- New ship deliveries expand capacity and drive premium ticket revenue growth
- Geopolitical instability in key cruise regions disrupts planned itinerary profitability
| Net Income: 4.48b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.03 > 0.02 and ΔFCF/TA -2.37 > 1.0 |
| NWC/Revenue: -48.19% < 20% (prev -50.56%; Δ 2.37% < -1%) |
| CFO/TA 0.16 > 3% & CFO 6.67b > Net Income 4.48b |
| Net Debt (22.0b) to EBITDA (7.13b): 3.08 < 3 |
| Current Ratio: 0.20 > 1.5 & < 3 |
| Outstanding Shares: last quarter (271.0m) vs 12m ago -1.81% < -2% |
| Gross Margin: 47.23% > 18% (prev 0.48%; Δ 4.67k% > 0.5%) |
| Asset Turnover: 46.29% > 50% (prev 44.74%; Δ 1.55% > 0%) |
| Interest Coverage Ratio: 5.36 > 6 (EBITDA TTM 7.13b / Interest Expense TTM 1.02b) |
| A: -0.21 (Total Current Assets 2.20b - Total Current Liabilities 11.1b) / Total Assets 42.0b |
| B: 0.15 (Retained Earnings 6.46b / Total Assets 42.0b) |
| C: 0.14 (EBIT TTM 5.47b / Avg Total Assets 39.7b) |
| D: 0.19 (Book Value of Equity 6.08b / Total Liabilities 32.0b) |
| Altman-Z'' = 0.24 = B |
| DSRI: 1.02 (Receivables 479.0m/427.0m, Revenue 18.4b/16.8b) |
| GMI: 1.02 (GM 47.23% / 48.24%) |
| AQI: 0.96 (AQ_t 0.08 / AQ_t-1 0.08) |
| SGI: 1.10 (Revenue 18.4b / 16.8b) |
| TATA: -0.05 (NI 4.48b - CFO 6.67b) / TA 42.0b) |
| Beneish M = -3.00 (Cap -4..+1) = A |
As of May 31, 2026, the stock is trading at USD 284.63 with a total of 4,231,406 shares traded.
Over the past week, the price has changed by +9.34%,
over one month by +12.05%,
over three months by -7.98% and
over the past year by +13.51%.
Royal Caribbean Cruises has received a consensus analysts rating of 4.33. Therefore, it is recommended to buy RCL.
- StrongBuy: 15
- Buy: 6
- Hold: 6
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 338.3 | 18.9% |
P/E Trailing = 15.6159
P/E Forward = 14.5138
P/S = 3.7353
P/B = 7.1169
P/EG = 1.1986
Revenue TTM = 18.4b USD
EBIT TTM = 5.47b USD
EBITDA TTM = 7.13b USD
Long Term Debt = 19.7b USD (from longTermDebt, last quarter)
Short Term Debt = 1.53b USD (from shortTermDebt, last quarter)
Debt = 22.5b USD (from shortLongTermDebtTotal, last quarter) + Leases 678.0m
Net Debt = 22.0b USD (calculated: Debt 22.5b - CCE 512.0m)
Enterprise Value = 90.6b USD (68.7b + Debt 22.5b - CCE 512.0m)
Interest Coverage Ratio = 5.36 (Ebit TTM 5.47b / Interest Expense TTM 1.02b)
EV/FCF = 66.11x (Enterprise Value 90.6b / FCF TTM 1.37b)
FCF Yield = 1.51% (FCF TTM 1.37b / Enterprise Value 90.6b)
FCF Margin = 7.46% (FCF TTM 1.37b / Revenue TTM 18.4b)
Net Margin = 24.39% (Net Income TTM 4.48b / Revenue TTM 18.4b)
Gross Margin = 47.23% ((Revenue TTM 18.4b - Cost of Revenue TTM 9.70b) / Revenue TTM)
Gross Margin QoQ = 49.53% (prev 36.72%)
Tobins Q-Ratio = 2.16 (Enterprise Value 90.6b / Total Assets 42.0b)
Interest Expense / Debt = 4.54% (Interest Expense 1.02b / Debt 22.5b)
Taxrate = 2.66% (26.0m / 976.0m)
NOPAT = 5.33b (EBIT 5.47b * (1 - 2.66%))
Current Ratio = 0.20 (Total Current Assets 2.20b / Total Current Liabilities 11.1b)
Debt / Equity = 2.29 (Debt 22.5b / totalStockholderEquity, last quarter 9.81b)
Debt / EBITDA = 3.08 (Net Debt 22.0b / EBITDA 7.13b)
Debt / FCF = 16.02 (Net Debt 22.0b / FCF TTM 1.37b)
Total Stockholder Equity = 9.78b (last 4 quarters mean from totalStockholderEquity)
RoA = 11.29% (Net Income 4.48b / Total Assets 42.0b)
RoE = 45.86% (Net Income TTM 4.48b / Total Stockholder Equity 9.78b)
RoCE = 18.59% (EBIT 5.47b / Capital Employed (Equity 9.78b + L.T.Debt 19.7b))
RoIC = 16.43% (NOPAT 5.33b / Invested Capital 32.4b)
WACC = 8.99% (E(68.7b)/V(91.2b) * Re(10.48%) + D(22.5b)/V(91.2b) * Rd(4.54%) * (1-Tc(0.03)))
Discount Rate = 10.48% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -62.93 | Cagr: -1.44%
[DCF] Terminal Value 70.74% ; FCFF base≈1.67b ; Y1≈1.46b ; Y5≈1.18b
[DCF] Fair Price = N/A (negative equity: EV 17.2b - Net Debt 22.0b = -4.81b; debt exceeds intrinsic value)
EPS Correlation: 79.08 | EPS CAGR: 114.0% | SUE: 2.34 | # QB: 1
Revenue Correlation: 96.75 | Revenue CAGR: 15.19% | SUE: -0.71 | # QB: 0
EPS current Quarter (2026-06-30): EPS=3.93 | Chg30d=-4.19% | Revisions=-30% | Analysts=20
EPS next Quarter (2026-09-30): EPS=6.32 | Chg30d=-3.19% | Revisions=-48% | Analysts=20
EPS current Year (2026-12-31): EPS=17.33 | Chg30d=+0.22% | Revisions=+8% | GrowthEPS=+10.8% | GrowthRev=+9.5%
EPS next Year (2027-12-31): EPS=20.01 | Chg30d=+0.09% | Revisions=-7% | GrowthEPS=+15.5% | GrowthRev=+7.4%
[Analyst] Revisions Ratio: -48%