Is It Too Late To Consider Royal Caribbean (RCL) After A 396% Three-Year Share Price Surge

Simply Wall St.01-10

If you are looking at Royal Caribbean Cruises and wondering whether the current share price is giving you a fair deal, you are in the right place for a clear, valuation focused checkup. The stock last...

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The stock last...</p>\n\n<a href=\"https://simplywall.st/stocks/us/consumer-services/nyse-rcl/royal-caribbean-cruises/news/is-it-too-late-to-consider-royal-caribbean-rcl-after-a-396-t\">Source Link</a>\n\n</div>\n","source":"simplywall_highlight","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Is It Too Late To Consider Royal Caribbean (RCL) After A 396% Three-Year Share Price Surge</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nIs It Too Late To Consider Royal Caribbean (RCL) After A 396% Three-Year Share Price Surge\n</h2>\n\n<h4 class=\"meta\">\n\n\n2026-01-10 02:37 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://simplywall.st/stocks/us/consumer-services/nyse-rcl/royal-caribbean-cruises/news/is-it-too-late-to-consider-royal-caribbean-rcl-after-a-396-t><strong>Simply Wall St.</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>If you are looking at Royal Caribbean Cruises and wondering whether the current share price is giving you a fair deal, you are in the right place for a clear, valuation focused checkup. The stock last...</p>\n\n<a href=\"https://simplywall.st/stocks/us/consumer-services/nyse-rcl/royal-caribbean-cruises/news/is-it-too-late-to-consider-royal-caribbean-rcl-after-a-396-t\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"LU1670627923.USD","symbol_name":"M&G (LUX) NORTH AMERICAN DIVIDEND \"A\" (USD) ACC","start_time":0,"source_url":"https://simplywall.st/stocks/us/consumer-services/nyse-rcl/royal-caribbean-cruises/news/is-it-too-late-to-consider-royal-caribbean-rcl-after-a-396-t","article_id":"2602306104","we_media_id":null,"thumbnails":["https://images.simplywall.st/asset/industry/4212000-choice2-main-header/1585186722257"],"rights":{"source":"simplywall_highlight","url":"https://simplywall.st/stocks/us/consumer-services/nyse-rcl/royal-caribbean-cruises/news/is-it-too-late-to-consider-royal-caribbean-rcl-after-a-396-t","rn_cache_url":null,"directOrigin":true},"url":"https://stock-news.laohu8.com/highlight/detail?id=2602306104","pubTimestamp":1767983835,"columns":[],"sourceInfo":{"source_id":"simplywall_highlight","name":"Simply Wall St."},"weMediaInfo":null,"summary":"If you are looking at Royal Caribbean Cruises and wondering whether the current share price is giving you a fair deal, you are in the right place for a clear, valuation focused checkup.\nThe stock last closed at US$304.33, with returns of 9.1% over 7 days, 22.6% over 30 days, 7.4% year to date, 35.7% over 1 year and 396.0% over 3 years, which naturally raises questions about how much of that performance is already reflected in the price.\nRecent coverage has focused on Royal Caribbean as a...","collect":0,"end_time":0,"defaultTopTitle":"simplywall.st","property":[],"viewcount":null,"language":"en","relate_stocks":{"LU1670627923.USD":"M&G (LUX) NORTH AMERICAN DIVIDEND \"A\" (USD) ACC","BK7016":"应用软件","LU1366192091.USD":"ALLIANZ US EQUITY PLUS \"AM\" (USD) INC","BK4566":"资本集团","LU1670628061.USD":"M&G (LUX) NORTH AMERICAN DIVIDEND \"A\" (USD) INC","BK4142":"酒店、度假村与豪华游轮","BK4588":"碎股","DCF":"Dreyfus Alcentra Global Credit Income 2024 Target Term Fund, Inc","BK4585":"ETF&股票定投概念","RCL":"皇家加勒比邮轮","RCL.AU":"READCLOUD LTD","LU0266013472.USD":"AXA WF - Framlington Longevity Economy A Cap USD","BK4517":"邮轮概念"},"translate_title":"皇家加勒比(RCL)股价三年飙升396%后，现在考虑是否为时已晚","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"RCL.AU":1.5,"DCF":1,"RCL":1.5},"content_text":"If you are looking at Royal Caribbean Cruises and wondering whether the current share price is giving you a fair deal, you are in the right place for a clear, valuation focused checkup. The stock last closed at US$304.33, with returns of 9.1% over 7 days, 22.6% over 30 days, 7.4% year to date, 35.7% over 1 year and 396.0% over 3 years, which naturally raises questions about how much of that performance is already reflected in the price. Recent coverage has focused on Royal Caribbean as a major cruise operator and on how investors are interpreting its position in the travel and leisure sector, especially given the strong share price performance. That context helps explain why some market participants are paying close attention to how expectations for passenger demand, pricing and capacity might tie back to what the stock is worth today. On our checks, Royal Caribbean scores 5 out of 6 on undervaluation, giving it a value score of 5/6, and next we will walk through the main valuation approaches behind that score and then finish with a way to think about value that goes beyond the usual ratios and models.  Royal Caribbean Cruises delivered 35.7% returns over the last year. See how this stacks up to the rest of the Hospitality industry. AdvertisementApproach 1: Royal Caribbean Cruises Discounted Cash Flow (DCF) Analysis A Discounted Cash Flow, or DCF, model estimates what a company could be worth today by projecting its future cash flows and discounting them back to the present using a required rate of return. For Royal Caribbean Cruises, the model used is a 2 Stage Free Cash Flow to Equity approach based on cash flows in US$. The latest twelve month free cash flow is about $2.18b. Analysts have provided explicit free cash flow estimates out to 2029, with Simply Wall St extrapolating further projections out to 2035 within the model. The ten year projections include annual free cash flow figures, such as $3.24b for 2026 and $6.22b for 2029, each discounted back to today. When all projected cash flows are summed and discounted, the model arrives at an estimated intrinsic value of about $437.84 per share. Compared with the recent share price of $304.33, the DCF output implies Royal Caribbean Cruises trades at roughly a 30.5% discount to this intrinsic value, which points to the shares being undervalued on this measure. Result: UNDERVALUED Our Discounted Cash Flow (DCF) analysis suggests Royal Caribbean Cruises is undervalued by 30.5%. Track this in your watchlist or portfolio, or discover  more undervalued stocks based on cash flows. RCL Discounted Cash Flow as at Jan 2026 Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for Royal Caribbean Cruises. Approach 2: Royal Caribbean Cruises Price vs Earnings For profitable companies like Royal Caribbean Cruises, the P/E ratio is a useful shorthand for how much investors are paying for each dollar of earnings. It ties the share price directly to current earnings, which most investors track closely, and makes it easy to compare with other companies. What counts as a “normal” P/E depends on how the market views a company’s growth prospects and risk. Higher expected growth or lower perceived risk can justify a higher P/E, while slower growth or higher risk usually goes with a lower P/E. Royal Caribbean currently trades on a P/E of 20.4x, compared with the Hospitality industry average of 22.3x and a peer group average of 29.6x. Simply Wall St’s Fair Ratio, at 29.1x, is a proprietary estimate of what P/E might be reasonable for Royal Caribbean once you factor in elements such as earnings growth, profit margins, industry, market cap and risk profile. That makes it more tailored than a simple industry or peer comparison, which treats very different businesses as if they were the same. With the current P/E of 20.4x sitting well below the 29.1x Fair Ratio, the stock screens as undervalued on this metric. Result: UNDERVALUED NYSE:RCL P/E Ratio as at Jan 2026 P/E ratios tell one story, but what if the real opportunity lies elsewhere? Discover 1444 companies where insiders are betting big on explosive growth. Upgrade Your Decision Making: Choose your Royal Caribbean Cruises Narrative Earlier we mentioned that there is an even better way to understand valuation. Think of a Narrative as your own clear story for Royal Caribbean Cruises that ties what you believe about its future revenue, earnings and margins into a financial forecast. This forecast can then be turned into a fair value, which is compared with the current price to help guide your buy or sell decisions. All of this takes place within Simply Wall St’s Community page, where Narratives are updated as news or earnings arrive and where different investors can reasonably land on very different views. For example, one Narrative may align closer to a higher fair value around US$420, while another leans toward a lower figure near US$218, even though both start from the same set of facts. Do you think there's more to the story for Royal Caribbean Cruises? Head over to our Community to see what others are saying! NYSE:RCL 1-Year Stock Price Chart  This article by Simply Wall St is general in nature. We provide commentary based on historical data\n    and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your\n    financial situation. We aim to bring you long-term focused analysis driven by fundamental data.\n    Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.\n    Simply Wall St has no position in any stocks mentioned.New: AI Stock Screener & AlertsOur new AI Stock Screener scans the market every day to uncover opportunities.• Dividend Powerhouses (3%+ Yield)• Undervalued Small Caps with Insider Buying• High growth Tech and AI CompaniesOr build your own from over 50 metrics.Explore Now for FreeHave feedback on this article? Concerned about the content? Get in touch with us directly. 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