Steven Wieczynski, an analyst from Stifel Nicolaus, maintained the Buy rating on Royal Caribbean. The associated price target remains the same with $400.00.
TipRanks Black Friday Sale
- Claim 60% off TipRanks Premium for the data-backed insights and research tools you need to invest with confidence.
- Subscribe to TipRanks' Smart Investor Picks and see our data in action through our high-performing model portfolio - now also 60% off
Steven Wieczynski has given his Buy rating due to a combination of factors that suggest Royal Caribbean is well-positioned for future growth. Despite concerns about Caribbean capacity and pricing, Wieczynski believes that the company’s offerings and destinations will outperform the industry, particularly with the new-to-cruise cohort driving demand. He anticipates positive yield growth for Royal Caribbean in 2026, with initial guidance expected to show moderate growth, which is a positive indicator for the company’s financial health.
Furthermore, Wieczynski points out that the market has overreacted to fears about the cruise industry’s future, resulting in a significant drop in Royal Caribbean’s market capitalization. He argues that this decline is excessive, given the current booking trends and the company’s strategic positioning. Wieczynski sees the recent sell-off as an opportunity for investors to buy into a company with strong management and potential for robust earnings growth through 2028. He also highlights that the company’s conservative initial EPS guidance for 2026 could lead to upside surprises, making Royal Caribbean an attractive investment at its current valuation.
Based on the recent corporate insider activity of 55 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of RCL in relation to earlier this year.