Royal Caribbean Intrinsic Value – Royal Caribbean Streaks Ahead with 10 Consecutive Sessions of Gains!
December 12, 2023
☀️Trending News
Royal Caribbean ($NYSE:RCL) is making waves on the stock market, with its stock expected to close positively for the tenth consecutive session. The company, which operates a global cruise line, has been steadily gaining momentum since the beginning of this year, leading to a remarkable streak of ten consecutive days of gains. Royal Caribbean is one of the world’s leading providers of cruise holidays, with ships sailing to destinations all over the globe. The cruise line has four ships in its fleet, offering customers a variety of options when it comes to taking a vacation.
The company also owns several land-based resorts around the world. Royal Caribbean is an excellent example of how a business can remain profitable even in the wake of global economic uncertainty. This is evidenced by its recent run of positive returns on the stock market.
Market Price
The stock opened at $120.2 and closed at $120.4, continuing its streak of positive performance since the beginning of the month. This is a testament to the resilience of ROYAL CARIBBEAN and its ability to navigate the tumultuous stock market landscape. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Royal Caribbean. More…
| Total Revenues | Net Income | Net Margin |
| 13.17k | 919.72 | 5.9% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Royal Caribbean. More…
| Operations | Investing | Financing |
| 3.94k | -1.47k | -3.44k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Royal Caribbean. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 32.77k | 28.17k | 17.26 |
Key Ratios Snapshot
Some of the financial key ratios for Royal Caribbean are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 41.1% | 11.9% | 18.3% |
| FCF Margin | ROE | ROA |
| 18.5% | 38.7% | 4.6% |
Analysis – Royal Caribbean Intrinsic Value
At GoodWhale, we recently conducted an analysis of ROYAL CARIBBEAN‘s fundamentals. After examining the company’s financial statements and ratios, we were able to compute its intrinsic value, which came out to be around $722.2 according to our proprietary Valuation Line. This number indicates that ROYAL CARIBBEAN is currently undervalued by 83.3%, as its current stock price is $120.4. We believe that this is a significant discrepancy and could present a great opportunity for investors who are looking to purchase shares of the company at a discounted rate. More…
Peers
The Royal Caribbean Group is one of the world’s leading cruise companies. It operates a fleet of 43 ships with an capacity of over 90,000 guests. The company has a strong presence in North America, Europe, and Asia. Royal Caribbean Group’s main competitors are Norwegian Cruise Line Holdings Ltd, Choice Hotels International Inc, and Marriott International Inc.
– Norwegian Cruise Line Holdings Ltd ($NYSE:NCLH)
Norwegian Cruise Line Holdings Ltd is a cruise company that operates cruise ships in various segments of the cruise market. The company has a market cap of $6 billion and an ROE of -120.42%. The company’s main business is operating cruise ships and it offers a variety of cruise experiences, including freestyle cruising, which offers a more relaxed and informal cruising experience, and traditional cruising, which offers a more structured and formal cruising experience.
– Choice Hotels International Inc ($NYSE:CHH)
Choice Hotels International, Inc. is one of the world’s largest hotel companies. It owns, operates, and franchises more than 7,000 hotels across more than 35 brands in over 40 countries. The company has a market cap of $6.67 billion and a return on equity of 87.46%. Choice Hotels is headquartered in Rockville, Maryland, and has over 20,000 employees worldwide. The company’s brands include Comfort Inn, Comfort Suites, Quality Inn, Sleep Inn, Clarion, Cambria Suites, MainStay Suites, Suburban Extended Stay Hotel, Econo Lodge, and Rodeway Inn.
– Marriott International Inc ($NASDAQ:MAR)
Marriott International Inc. is a leading hospitality company with a portfolio of hotels and lodging properties around the world. The company has a market capitalization of 47.88 billion as of 2022 and a return on equity of 116.05%. Marriott International is a global operator and franchisor of hotels and related lodging facilities. The company operates and franchises hotels and corporate housing properties under various brand names. As of December 31, 2020, Marriott International operated or franchised 7,585 properties with 1,158,392 rooms in over 130 countries and territories.
Summary
This is a clear indication of investor confidence in the stock, and the company’s prospects. Analysts are noting the stock’s strong performance, especially given macroeconomic factors that could have potentially weighed on the stock’s performance. A closer look at Royal Caribbean’s financials reveals a stronger than expected balance sheet and cash flow that are encouraging signs for investors.
Furthermore, Royal Caribbean’s strong management team has created value for shareholders by successfully expanding into different geographic markets and introducing innovative product offerings. As such, investors may want to consider investing in Royal Caribbean as an attractive opportunity for the long-term.
