Royal Caribbean Group (RCL) Sold After Strong Run as Growth Outlook Weakens

Group 1 - Renaissance Investment Management's Q4 2025 "Large Cap Growth Strategy" underperformed the S&P 500, which gained 2.7%, and the Russell 1000 Growth Index, as market leadership remained concentrated in a few mega-cap technology companies linked to artificial intelligence [1] - Nearly 60% of Russell 1000 Growth constituents posted negative returns, despite equities rallying for a third consecutive quarter [1] - Portfolio performance was bolstered by holdings with strong operating results and demand related to AI infrastructure, semiconductor equipment, and resilient healthcare distribution trends [1] Group 2 - The strategy added exposure to semiconductor equipment manufacturers benefiting from AI-driven demand and exited a travel and leisure holding after strong post-pandemic gains [1] - The firm remains cautiously optimistic due to improving inflation trends, potential Federal Reserve rate cuts, and resilient corporate earnings expectations, while noting that elevated valuations among mega-cap stocks could create volatility [1] - Royal Caribbean Cruises Ltd. (NYSE:RCL) experienced a one-month return of -13.87%, with shares trading between $164.01 and $366.50 over the last 52 weeks, and closed at approximately $273.39 per share on March 24, 2026, with a market capitalization of about $74.56 billion [2][3]