In a report released today, Andrew Didora from Bank of America Securities reiterated a Hold rating on Royal Caribbean, with a price target of $355.00.
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Andrew Didora’s rating is based on a combination of factors including Royal Caribbean’s recent financial performance and future projections. The company’s second-quarter earnings per share (EPS) exceeded expectations, but the net yield performance did not meet forecasts, particularly for the latter half of 2025. This discrepancy between earnings and yield guidance has led to a more cautious outlook for the upcoming quarters.
Additionally, while Royal Caribbean continues to demonstrate strong financial metrics such as EBITDA margins and return on invested capital (ROIC) that surpass industry peers, the company’s guidance for the third quarter EPS fell short of market estimates. Despite these challenges, the company maintains a premium valuation compared to competitors, which supports the Hold rating. The price objective of $355 reflects these considerations, balancing the strong historical performance with the tempered future outlook.
In another report released on July 23, Morgan Stanley also maintained a Hold rating on the stock with a $300.00 price target.