RCL

Consumer Cyclical

Royal Caribbean Cruises Ltd. · Travel Services · $69B

UQS Score — Balanced Preset
50.1
Below Average

Royal Caribbean Cruises Ltd. scores 50.1/100 using the Balanced preset.

UQS vs Consumer Cyclical Sector
RCL
50.1
Sector avg
37.7
Quality
Good
Moat
Weak
Growth
Good
Risk
Weak
Valuation
Good

What is Royal Caribbean Cruises Ltd.?

Royal Caribbean Cruises Ltd. is one of the world's largest cruise operators, running voyages across roughly 1,000 destinations under multiple well-known brands.

Royal Caribbean generates revenue by selling cruise vacations across a tiered portfolio of brands — from mainstream to ultra-luxury. Guests pay for cabins, onboard dining, entertainment, and shore excursions. The company owns and operates its fleet, making capital-intensive ship construction and maintenance central to its business model.

The company was founded in 1968 and is headquartered in Miami, Florida.

  • Royal Caribbean International voyages
  • Celebrity Cruises premium experiences
  • Silversea ultra-luxury cruises
  • Azamara destination-focused itineraries

Is RCL a Good Stock to Buy?

UQS Score rates RCL as Below Average overall.

The Quality and Growth pillars both come in at Good, reflecting the company's scale advantages and recovering demand in the cruise sector. Revenue momentum has been a relative bright spot post-pandemic.

The Moat and Risk pillars are both rated Weak, pointing to limited pricing power versus alternatives and meaningful balance-sheet and macro sensitivity.

See the exact pillar breakdown and full financial metrics by signing up for a Pro membership at UQS Score. Sign up free →

Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.

Does RCL pay dividends?

Yes — Royal Caribbean Cruises Ltd. pays a dividend.

Royal Caribbean pays a regular dividend, offering income alongside its growth story. Cruise operators historically use dividends to return capital when cash flows allow. Investors should monitor payout sustainability given the sector's cyclical nature and the company's capital requirements for fleet expansion.

When does RCL report earnings?

Royal Caribbean reports earnings on a quarterly cadence, typical for US-listed equities.

Demand for cruise travel has rebounded meaningfully, supporting occupancy and onboard spending trends. However, fuel costs and debt servicing remain headwinds that can weigh on reported results quarter to quarter.

For the most recent quarter's results, visit Royal Caribbean's investor relations page directly.

RCL Price History

+197.7% over 5Y

Monthly close, adjusted for stock splits and dividend reinvestment.

Return Calculator

What if I invested in Royal Caribbean Cruises Ltd.?

$
Today it would be worth
$34,246
That's a +242% total return, or +27.9% annualized.

Based on Royal Caribbean Cruises Ltd.'s historical closing prices, adjusted for stock splits and dividend reinvestment. Past performance does not guarantee future results. This is for informational purposes only and is not financial advice.

Frequently Asked Questions

What does Royal Caribbean do?

Royal Caribbean operates cruise vacations worldwide under four brands — Royal Caribbean International, Celebrity Cruises, Silversea, and Azamara. The company sells cabin bookings, onboard experiences, and shore excursions across roughly 1,000 destinations globally.

Does RCL pay dividends?

Yes, Royal Caribbean pays a regular dividend. The amount and continuity can vary with business conditions, so income-focused investors should review the latest declaration on the company's investor relations page.

When does RCL report earnings?

Royal Caribbean follows a standard quarterly earnings schedule. For the exact upcoming date, check the company's investor relations page or a financial calendar service.

Is RCL a good stock to buy?

UQS Score rates RCL as Below Average overall. While Quality and Growth score at Good, the Weak Moat and Weak Risk ratings highlight real concerns. Whether it fits your portfolio depends on your risk tolerance and investment horizon.

Is RCL overvalued?

The UQS Valuation pillar for RCL is rated Neutral, suggesting the market price is neither clearly cheap nor expensive relative to fundamentals. Pro members can view the detailed valuation metrics behind that rating.

What is RCL's market cap bracket?

Royal Caribbean is classified as a large-cap company, placing it among the bigger publicly traded names in the Consumer Cyclical sector.

Is RCL a long-term quality investment?

As a long-term quality indicator, RCL's Below Average UQS Score — driven by Weak Moat and Weak Risk ratings — warrants caution. The Good Growth and Quality scores offer some offset, but structural risks in the cruise industry are worth weighing carefully.

What sector does RCL belong to?

Royal Caribbean is classified in the Consumer Cyclical sector. This means its business performance is closely tied to consumer spending confidence, travel trends, and broader economic conditions.

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Pro Analysis

RCL — Score History

4045505560Apr 2Apr 12Apr 22May 2May 12May 22May 24v5
Score changes· 23 most recent
DateUQSQualityMoatGrowthRiskValueChange
May 21, 202650.171.835.066.95.361.9+0.2
May 17, 202649.971.735.066.95.360.3-0.1
May 15, 202650.071.735.067.15.360.5+0.2
May 14, 202649.871.635.067.05.359.9+0.2
May 11, 202649.671.535.067.05.358.3+0.6
May 10, 202649.030.435.067.043.485.2+0.1
May 8, 202648.930.435.067.043.484.4-0.5
May 7, 202649.470.335.067.05.059.2-0.4
May 4, 202649.870.335.067.05.062.0+0.1
May 3, 202649.770.335.066.65.061.90.0

RCL — Pillar Breakdown

Quality

71.8/100 (25%)

Royal Caribbean Cruises Ltd. shows solid profitability with healthy returns on capital and reasonable margins.

Capital Efficiency (ROIC)Moderate

How effectively capital is deployed to generate returns.

Return on EquityStrong

Profitability relative to shareholders' equity.

Operating ProfitabilityStrong

Ability to convert revenue into operating profit.

Net ProfitabilityStrong

Bottom-line profit as a share of revenue.

Gross Profit / AssetsModerate

Asset productivity — how much gross profit each dollar of assets generates.

Cash GenerationWeak

Free cash flow relative to market value.

Growth

66.9/100 (20%)

Royal Caribbean Cruises Ltd. demonstrates healthy growth trends across revenue and earnings.

Recent Revenue TrendWeak

Revenue trajectory over the last twelve months.

3Y Revenue CAGRStrong

Compound annual revenue growth rate over 3 years.

EPS GrowthStrong

Year-over-year earnings per share growth.

Forward Revenue OutlookModerate

Analyst consensus for future revenue growth.

Forward EPS GrowthStrong

Analyst consensus for future earnings growth.

Risk

5.3/100 (15%)

Royal Caribbean Cruises Ltd. presents elevated risk with concerns around leverage or financial stability.

Financial LeverageWeak

Debt levels relative to earnings capacity.

Debt/EquityWeak

Total debt relative to shareholder equity.

Current RatioWeak

Short-term liquidity — ability to pay near-term obligations.

Interest CoverageWeak

Earnings capacity relative to interest payments.

Valuation

62.0/100 (15%)

Royal Caribbean Cruises Ltd. trades at a reasonable valuation with decent earnings yield and FCF multiples.

Earnings YieldStrong

Inverse of forward P/E — higher yield means cheaper stock.

Price to Free Cash FlowWeak

How many years of FCF the market cap represents.

PEG RatioStrong

P/E relative to earnings growth — lower is more attractive.

EV/EBITDA vs SectorModerate

Enterprise value multiple relative to sector median.

Moat

35/100 (25%)

Royal Caribbean Cruises Ltd. possesses some competitive advantages but faces meaningful competition. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for RCL.

Score Composition

Quality
71.8×25%17.9
Growth
66.9×20%13.4
Risk
5.3×15%0.8
Valuation
62.0×15%9.3
Moat
35.0×25%8.8
Total
50.1Below Average

Financial Data

More Stock Analysis

How is the RCL UQS Score Calculated?

The UQS (Unified Quality Score) for Royal Caribbean Cruises Ltd. is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.

Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.

Moat (25%) assesses Royal Caribbean Cruises Ltd.'s competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.

Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.

Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.

Valuation (15%) measures whether Royal Caribbean Cruises Ltd. is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.

Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.