We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Should Value Investors Buy Royal Caribbean Cruises (RCL) Stock?
Read MoreHide Full Article
The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
Royal Caribbean Cruises (RCL - Free Report) is a stock many investors are watching right now. RCL is currently sporting a Zacks Rank of #1 (Strong Buy), as well as an A grade for Value. The stock has a Forward P/E ratio of 12.04. This compares to its industry's average Forward P/E of 14.56. Over the last 12 months, RCL's Forward P/E has been as high as 19.64 and as low as 10.16, with a median of 12.88.
Investors will also notice that RCL has a PEG ratio of 0.40. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. RCL's PEG compares to its industry's average PEG of 0.47. RCL's PEG has been as high as 0.49 and as low as 0.40, with a median of 0.45, all within the past year.
Finally, we should also recognize that RCL has a P/CF ratio of 10.11. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. RCL's P/CF compares to its industry's average P/CF of 11.16. Within the past 12 months, RCL's P/CF has been as high as 20.08 and as low as 9.08, with a median of 11.10.
These are just a handful of the figures considered in Royal Caribbean Cruises's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that RCL is an impressive value stock right now.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Should Value Investors Buy Royal Caribbean Cruises (RCL) Stock?
The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.
Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
Royal Caribbean Cruises (RCL - Free Report) is a stock many investors are watching right now. RCL is currently sporting a Zacks Rank of #1 (Strong Buy), as well as an A grade for Value. The stock has a Forward P/E ratio of 12.04. This compares to its industry's average Forward P/E of 14.56. Over the last 12 months, RCL's Forward P/E has been as high as 19.64 and as low as 10.16, with a median of 12.88.
Investors will also notice that RCL has a PEG ratio of 0.40. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. RCL's PEG compares to its industry's average PEG of 0.47. RCL's PEG has been as high as 0.49 and as low as 0.40, with a median of 0.45, all within the past year.
Finally, we should also recognize that RCL has a P/CF ratio of 10.11. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. RCL's P/CF compares to its industry's average P/CF of 11.16. Within the past 12 months, RCL's P/CF has been as high as 20.08 and as low as 9.08, with a median of 11.10.
These are just a handful of the figures considered in Royal Caribbean Cruises's great Value grade. Still, they help show that the stock is likely being undervalued at the moment. Add this to the strength of its earnings outlook, and we can clearly see that RCL is an impressive value stock right now.