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Why Royal Caribbean Stock Cruised to a Nearly 15% Gain This Week
RCLRoyal Caribbean Cruises .(RCL) The Motley Fool·2025-01-31 23:22

Core Insights - Royal Caribbean Group's stock has seen a significant increase, rising nearly 15% in value over a recent week, driven by strong earnings and analyst upgrades [1][2] Financial Performance - The company reported 3.76billioninrevenueforthefourthquarter,markinga133.76 billion in revenue for the fourth quarter, marking a 13% increase compared to the same period in 2023 [3] - Net income nearly doubled to 553 million, with adjusted earnings per share rising 30% to 1.63,surpassinganalystexpectations[3]BusinessExpansion−RoyalCaribbeanannouncedthelaunchofCelebrityRiverCruises,enteringanewnichesegmentofthecruiseindustry,withplanstobeginoperationsin2027usinganinitialfleetof10ships[4]AnalystSentiment−Followingthepositiveearningsreport,severalanalystsraisedtheirpricetargetsforRoyalCaribbean,includingBarclays,whichincreaseditstargetfrom1.63, surpassing analyst expectations [3] Business Expansion - Royal Caribbean announced the launch of Celebrity River Cruises, entering a new niche segment of the cruise industry, with plans to begin operations in 2027 using an initial fleet of 10 ships [4] Analyst Sentiment - Following the positive earnings report, several analysts raised their price targets for Royal Caribbean, including Barclays, which increased its target from 287 to $308 per share while maintaining an overweight recommendation [5]