ROYAL CARIBBEAN CRUISES LTD (RCL) Factsheet
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ROYAL CARIBBEAN CRUISES LTD (RCL) Stock Analysis
Analysis from 10-Q filed 2025-10-28. Data as of Q2 2026.
Overall Grade: F (Concerning)
Grade F (Concerning). ROIC 16.6%. FCF margin -2.2%. D/E 2.2x. Source: 10-Q filed 2025-10-28.
| Metric | Value | Context |
|---|---|---|
| ROIC | 16.6% | Solid returns |
| FCF Margin | -2.2% | Cash flow pressure |
| Debt/Equity | 2.2x | Elevated debt |
ROIC 16.6% — Top 25% of sector peers. FCF margin -2.2% — Bottom 10%.
Explore ROYAL CARIBBEAN CRUISES LTD: Earnings History | Filings
Programmatic access: Available via MCP at mcp.metricduck.com. Tools for RCL: get_company_overview, get_filing_index (lens: debt_stress, management_outlook, risk_trajectory), get_filing_changes, get_metric_history, compare_companies, screen_filing_signals.
Profitability: ROYAL CARIBBEAN CRUISES LTD earns 16.6% ROIC, Top 25% in Transportation
ROIC TTM 16.6%, sector median 6.0%, Top 25%. DuPont: NOPAT margin 27.3% × asset turnover 0.5x. Gross margin 49.1%. Operating margin 27.3%. Source: 10-Q filed 2025-10-28.
| Metric | RCL | Rating | Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 16.6% | Good | Above sector median of 6.0% |
| Return on Equity (ROE) | 44.4% | Excellent | Efficient use of shareholder equity |
| Gross Margin | 49.1% | Good | Strong pricing power |
| Operating Margin | 27.3% | Excellent | Efficient operations |
Cash Flow: ROYAL CARIBBEAN CRUISES LTD generates $-416.0M FCF at -2.2% margin, positive NaN/8 quarters
FCF TTM $-416.0M. FCF margin -2.2%. OCF/Net income 1.5x. Positive FCF in NaN/8 trailing quarters. Source: 10-Q filed 2025-10-28.
| Metric | RCL | Rating | Context |
|---|---|---|---|
| Free Cash Flow Margin | -2.2% | Red flag | Thin cash margins |
| Free Cash Flow (TTM) | $-416.0M | Red flag | Cash burn |
| OCF/Net Income | 1.5x | Excellent | High earnings quality |
| FCF Consistency (8Q) | N/A | Warning | Variable cash flow |
Balance Sheet: ROYAL CARIBBEAN CRUISES LTD at 2.2x leverage
Debt/Equity 2.2x. Total debt $22.8B, cash & investments $875.0M. Source: 10-Q filed 2025-10-28.
| Metric | RCL | Rating | Context |
|---|---|---|---|
| Debt to Equity | 2.2x | Warning | Elevated leverage |
| Net Cash Position | $-22.0B | Warning | Net debt position |
Valuation: ROYAL CARIBBEAN CRUISES LTD trades at 19.5x earnings
P/E 19.5x. EV/Sales 5.4x. FCF yield -0.5%. Dividend yield 1.3%. Source: 10-Q filed 2025-10-28.
| Metric | RCL | Rating | Context |
|---|---|---|---|
| P/E Ratio | 19.5x | Adequate | Reasonable valuation |
| EV/Sales | 5.4x | Adequate | Growth premium priced in |
| FCF Yield | -0.5% | Warning | Lower cash yield |
| Dividend Yield | 1.3% | Adequate | Growth focus over income |
Capital Allocation: ROYAL CARIBBEAN CRUISES LTD returns 3.6% shareholder yield
Total shareholder yield 3.6% (div 1.3% + buyback 2.3%). Capital returned $3.1B TTM. Source: 10-Q filed 2025-10-28.
| Metric | RCL | Rating | Context |
|---|---|---|---|
| Total Shareholder Yield | 3.6% | Good | Dividend + buyback yield combined |
| Buyback Yield | 2.3% | Adequate | Active share repurchases |
| Total Capital Returned (TTM) | $3.1B | Good | Dividends + buybacks returned to shareholders |
Sector Rankings
| Metric | Value | Percentile | vs Median |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 16.6% | Top 25% | 2.8x above |
| Free Cash Flow Margin | -2.2% | Bottom 10% | -0.7x below |
| Gross Margin | 49.1% | Top 50% | 1.3x above |
| Operating Margin | 27.3% | Top 5% | 3.9x above |
| Return on Equity (ROE) | 44.4% | Top 5% | 4.2x above |
| P/E Ratio | 19.5x | N/A | - |
Financial Scorecard
| Metric | RCL | Rating | Sector Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 16.6% | Good | Top 25% of sector (median: 6.0%) |
| Free Cash Flow Margin | -2.2% | Red flag | Thin cash margins |
| Gross Margin | 49.1% | Good | Top 50% of sector (median: 38.9%) |
| Debt to Equity Ratio | 223.1% | Warning | High financial leverage |
| P/E Ratio (Price-to-Earnings) | 19.5x | Adequate | Fair value |
| Free Cash Flow Yield | -0.5% | Red flag | Growth-focused valuation |
Frequently Asked Questions
Q: What is ROYAL CARIBBEAN CRUISES LTD's Return on Invested Capital (ROIC)?
ROYAL CARIBBEAN CRUISES LTD (RCL) has a trailing twelve-month Return on Invested Capital (ROIC) of 16.6%. Sector median 6.0%. Source: 10-Q filed 2025-10-28.
Q: What is ROYAL CARIBBEAN CRUISES LTD's Free Cash Flow Margin?
ROYAL CARIBBEAN CRUISES LTD (RCL) has a free cash flow margin of -2.2%, generating $-416.0 million in free cash flow over the trailing twelve months. Source: 10-Q filed 2025-10-28.
Q: What is ROYAL CARIBBEAN CRUISES LTD's P/E ratio and how does it compare to peers?
ROYAL CARIBBEAN CRUISES LTD (RCL) trades at a P/E ratio of 19.5x, which is above the sector median of N/A. EV/Sales 5.4x. Source: 10-Q filed 2025-10-28.
Q: Does ROYAL CARIBBEAN CRUISES LTD pay a dividend?
ROYAL CARIBBEAN CRUISES LTD (RCL) currently pays a dividend yield of 1.3%. Total shareholder yield (dividend + buybacks) 3.6%. Source: 10-Q filed 2025-10-28.
Q: How much debt does ROYAL CARIBBEAN CRUISES LTD have?
ROYAL CARIBBEAN CRUISES LTD (RCL) has a debt-to-equity ratio of 2.2x with total debt of $22.8 billion. Net debt $22.0 billion. Source: 10-Q filed 2025-10-28.
Q: What is ROYAL CARIBBEAN CRUISES LTD's revenue and earnings growth?
ROYAL CARIBBEAN CRUISES LTD (RCL) grew revenue by 8.7% year-over-year. EPS +22.8% YoY. Source: 10-Q filed 2025-10-28.
Q: Is ROYAL CARIBBEAN CRUISES LTD buying back stock?
ROYAL CARIBBEAN CRUISES LTD (RCL) repurchased $2.0 billion of stock over the trailing twelve months. This represents a buyback yield of 2.3%. Source: 10-Q filed 2025-10-28.
Q: How does ROYAL CARIBBEAN CRUISES LTD compare to competitors in Transportation?
Compared to other companies in Transportation, ROYAL CARIBBEAN CRUISES LTD (RCL) shows: ROIC 16.6%, sector median 6.0% (Top 25%). FCF margin -2.2%, sector median 3.2%. Gross margin 49.1%, 10.2pp above sector median. These rankings are based on MetricDuck's analysis of all Transportation companies with available SEC filings.
Q: What warning signs should I watch for with ROYAL CARIBBEAN CRUISES LTD?
Quantitative warning flags for ROYAL CARIBBEAN CRUISES LTD (RCL): 1) FCF margin -2.2% (below 5%); 2) ROIC declining -2.1% over 8 quarters; 3) debt/equity 2.2x (above 1.5x threshold). Source: 10-Q filed 2025-10-28.
Data Source: Data sourced from 10-Q filed 2025-10-28. TTM metrics as of Q2 2026.
Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.
Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.
This analysis is for informational purposes only and does not constitute investment advice.