Will Royal Caribbean (RCL) Beat Estimates Again in Its Next Earnings Report?

Core Insights - Royal Caribbean (RCL) has a strong track record of exceeding earnings estimates, particularly in the last two quarters, with an average surprise of 7.89% [1][5] - The company reported earnings of $2.53 per share for the most recent quarter, falling short of the expected $2.71, resulting in a surprise of 7.11% [2] - For the previous quarter, Royal Caribbean exceeded expectations by reporting $1.63 per share against a consensus estimate of $1.50, achieving a surprise of 8.67% [2] Earnings Estimates and Predictions - Recent changes in earnings estimates for Royal Caribbean have been favorable, with a positive Earnings ESP (Expected Surprise Prediction) indicating potential for an earnings beat [5][8] - The current Earnings ESP for Royal Caribbean stands at +1.25%, suggesting analysts have become more optimistic about the company's earnings prospects [8] - Stocks with a positive Earnings ESP and a Zacks Rank of 3 (Hold) or better have a nearly 70% chance of producing a positive surprise [6][8] Importance of Earnings ESP - The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate, with the Most Accurate Estimate reflecting the latest analyst revisions [7] - A negative Earnings ESP reduces predictive power but does not necessarily indicate an earnings miss [8] - Monitoring a company's Earnings ESP prior to quarterly releases is crucial for increasing the likelihood of successful investment decisions [10]