Undervalued Value Stocks: Royal Caribbean Cruises
Cruise liners operators are one of the market segments that greatly suffered during the pandemic. But the situation has improved, as the World Health Organisation (WHO) recently declared that the pandemic is over. So, Royal Caribbean could now recovery. RCL stocks dropped to $20 in 2020 and have recovered to $75 since then, but prices are still lower than $135 that were recorded in 2019. The Q1 2023 made losses to the company but they are much less than before. RCL revenues were recorded at $2.9 billion compared to $2.5 billion in Q1 2019, while EPS was negative at -$0.23, beating analysts’ expectations of -$0.69.
Such developments are pointing to the fact that the company is on its way to a recovery much faster than expected. The management expects EPS at $4.60 in 2023 and at $10 by the end of 2024, while analysts’ consensus is at $8.4. This target could be upgraded when the company delivers its new earnings report.
Royal Caribbean has reported bookings during Q1 2023 at $5.3 billion compared to $4.2 billion at the end of 2022. The management expects a record operational profit in 2023 that will allow the company to cover most of the losses caused by the pandemic.
Disclaimer:
The comments, insights, and reviews posted in this section are solely the opinions and perspectives of authors and do not represent the views or endorsements of RHC Investments or its administrators, except if explicitly indicated. RHC Investments provides a platform for users to share their thoughts on financial market news, investing strategies, and related topics. However, we do not guarantee the accuracy, completeness, or reliability of any user-generated content.
Investment Risks and Advice:
Please be aware that all investment decisions involve risks, and the information shared on metadoro.com should not be considered as financial advice. Always conduct thorough research, seek professional advice, and exercise caution when making investment decisions.
Moderation and Monitoring:
While we strive to maintain a respectful and informative environment, we cannot endorse or verify the accuracy of all user-generated content. We reserve the right to moderate, edit, or remove any comments or posts that violate our community guidelines, infringe on intellectual property rights, or contain harmful content.
Content Ownership:
By submitting content to metadoro.com, users grant RHC Investments a non-exclusive, royalty-free license to use, display, and distribute the content. Users are responsible for ensuring they have the necessary rights to share the content they post.
Community Guidelines:
To maintain a positive and respectful community, users are expected to adhere to the community guidelines of Metadoro. Any content that is misleading, offensive, or violates applicable laws and regulations will be subject to moderation or removal.
Changes to Disclaimer:
We reserve the right to update, modify, or amend this disclaimer at any time. Users are encouraged to review this disclaimer periodically to stay informed about any changes.
