Royal Caribbean Cruises Ltd. (RCL): Clutching At Straws?

The stock of Royal Caribbean Cruises Ltd. (NYSE:RCL) has been Downgraded to Hold from Buy by Argus in its latest research note that was published on August 13. Deutsche Bank analysts bumped their recommendation on RCL stock from Hold to Buy in a separate flash note to investors on August 29. Analysts at Susquehanna are sticking to their Positive recommendation. However, on June 15, they lifted target price for these shares to $146 from $142.Analysts at Susquehanna, made their first call for the stock with a Positive rating, according to a research note that dated back to June 15.

Royal’s stock is covered by 19 analysts, with 12 of them rating the stock as Buy. It has been deemed to have strong buy by 3 of the analysts, 4 of them have rated it as a Hold while none of them rated it as sell. The situation was different a month ago when the stock was rated as a Buy by only 13 analysts. 3 of them rated it as strong buy with 4 of them recommended investors to Hold on to the stock. Meanwhile, none analyst(s) rated it as a sell. The above data shows that RCL has an average analyst rating of 1.58.

Royal Caribbean Cruises Ltd., which has current market capitalization of above $21 Billion, published its last quarter earnings on June 30, 2019. The company was able to amass $2806.63 million in revenue. This figure is $9.02 million more than what analysts had expected, which was $2797.61 million. During that quarter, the company also recorded $2.54 earnings per share (EPS) which is $0.0899999999999999 above the $2.45 estimated by Thomson Reuter’s analyst, leading to a surprise factor of 3.75%.

RCL declined by $-1.28 during the normal trading session on Tuesday and reaching a high of $103.00 during the day while it closed the day at $102.85. The Royal stock had a low trading volume of 1.80 million shares on that day, which is low compared to the average daily volume of 1.82M shares. RCL has also gained 0.35% of its value over the past 7 days. However, the stock has declined by 15.36% in the 3 months of the year. Over the past six months meanwhile, it has lost 13.87% while it has added 5.17% year-on date. Let us now take a look at the stock’s potential support and resistance levels. The publicly traded company was seen to have slipped by -18.1% from its 3 months high price. However, taking another look at RCL will indicate that it is trading +2.2% away from its 90-day low. Looking at the bigger picture, the Royal Caribbean Cruises Ltd. stock has dropped by -23.02% from its 52-week high while it has surged by +14.94% from its 52-week low price.

On August 21, 2019 Pimentel Lawrence R, Pres&CEO, Azamara Club Cruises sold 10518 shares of the company. The average price for that transaction was $108.25 per share, which meant that Pimentel Lawrence R earned $1138574 selling the stocks. The sale was made public, with the document of the transaction filed with the SEC. Another insider trading occurred, with Chairman & CEO, Fain Richard D selling 20000 shares of this stock on August 05, 2019. The average selling price for the stock was $108.46 per share, with the sold stock accruing $2169200. Following this transaction, the Chairman & CEO Fain Richard D now holds 45391 shares of the company, which is worth around $4733373.

Royal has around 235 Billion cash on their books at the moment. This figure will have to be compared and looked into, with their current liabilities standing at $8 Trillion. The Royal stock is bringing in revenue of over 12 months, which is roughly 2 Trillion. Despite all that, Royal Caribbean Cruises Ltd. is seeing things progressing very much as their y-o-y quarterly revenue surged by 17.51%.

Looking at the stock’s Technical analysis information over the past 50 days shows that its Raw Stochastic average stood at 9.93%. This figure is worse than the company’s 20-day Raw Stochastic average which currently stands at 22.51%. Over the past 20 days, Royal’s Stochastic %K stood at 32% while its Stochastic %D was revealed to be 29.18%.