Analysts Raise Royal Caribbean Price Targets Amid Strong Returns

Several analysts have raised their price targets for Royal Caribbean Group (RCL) amid expectations of strong future performance. Stifel analyst Steven Wieczynski increased the price target to $400 while maintaining a Buy rating, highlighting the potential for significant growth. Barclays also raised its price target to $358 with an Overweight rating, anticipating a strong second-quarter earnings report but cautioning about varied outcomes later in the year. Jefferies raised its price target to $315 but kept a Hold rating, reflecting cautious optimism. Despite these bullish price targets, the average analyst price target remains below the current stock price, and GuruFocus estimates indicate a potential downside to the stock's fair value. Additionally, Royal Caribbean's return on capital employed (ROCE) of 16% surpasses the hospitality industry average, showing a positive trend and signaling that the company is benefiting from its past investments.