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Royal Caribbean (RCL) Stock Falls Amid Market Uptick: What Investors Need to Know
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Royal Caribbean (RCL - Free Report) closed the most recent trading day at $153.19, moving -1.42% from the previous trading session. The stock's change was less than the S&P 500's daily gain of 0.27%. On the other hand, the Dow registered a loss of 0.31%, and the technology-centric Nasdaq increased by 0.88%.
Shares of the cruise operator witnessed a gain of 10.34% over the previous month, beating the performance of the Consumer Discretionary sector with its gain of 1.03% and the S&P 500's gain of 2.85%.
The upcoming earnings release of Royal Caribbean will be of great interest to investors. The company is expected to report EPS of $2.76, up 51.65% from the prior-year quarter. In the meantime, our current consensus estimate forecasts the revenue to be $3.99 billion, indicating a 13.38% growth compared to the corresponding quarter of the prior year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $11.09 per share and revenue of $16.23 billion. These totals would mark changes of +63.81% and +16.79%, respectively, from last year.
Investors should also pay attention to any latest changes in analyst estimates for Royal Caribbean. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Right now, Royal Caribbean possesses a Zacks Rank of #1 (Strong Buy).
In terms of valuation, Royal Caribbean is currently trading at a Forward P/E ratio of 14.01. Its industry sports an average Forward P/E of 16.53, so one might conclude that Royal Caribbean is trading at a discount comparatively.
We can also see that RCL currently has a PEG ratio of 0.47. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Leisure and Recreation Services was holding an average PEG ratio of 1.39 at yesterday's closing price.
The Leisure and Recreation Services industry is part of the Consumer Discretionary sector. At present, this industry carries a Zacks Industry Rank of 80, placing it within the top 32% of over 250 industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Royal Caribbean (RCL) Stock Falls Amid Market Uptick: What Investors Need to Know
Royal Caribbean (RCL - Free Report) closed the most recent trading day at $153.19, moving -1.42% from the previous trading session. The stock's change was less than the S&P 500's daily gain of 0.27%. On the other hand, the Dow registered a loss of 0.31%, and the technology-centric Nasdaq increased by 0.88%.
Shares of the cruise operator witnessed a gain of 10.34% over the previous month, beating the performance of the Consumer Discretionary sector with its gain of 1.03% and the S&P 500's gain of 2.85%.
The upcoming earnings release of Royal Caribbean will be of great interest to investors. The company is expected to report EPS of $2.76, up 51.65% from the prior-year quarter. In the meantime, our current consensus estimate forecasts the revenue to be $3.99 billion, indicating a 13.38% growth compared to the corresponding quarter of the prior year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $11.09 per share and revenue of $16.23 billion. These totals would mark changes of +63.81% and +16.79%, respectively, from last year.
Investors should also pay attention to any latest changes in analyst estimates for Royal Caribbean. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Right now, Royal Caribbean possesses a Zacks Rank of #1 (Strong Buy).
In terms of valuation, Royal Caribbean is currently trading at a Forward P/E ratio of 14.01. Its industry sports an average Forward P/E of 16.53, so one might conclude that Royal Caribbean is trading at a discount comparatively.
We can also see that RCL currently has a PEG ratio of 0.47. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Leisure and Recreation Services was holding an average PEG ratio of 1.39 at yesterday's closing price.
The Leisure and Recreation Services industry is part of the Consumer Discretionary sector. At present, this industry carries a Zacks Industry Rank of 80, placing it within the top 32% of over 250 industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.