D/E 2.25 — more levered than most Consumer Cyclical peers (≈90th pctile)
P/E19.0xB
P/E 19.0 — near the Consumer Cyclical median (≈60th pctile)
PEG1.52C+
PEG 1.52 — modest premium; above fair value
Forward price target — the 1-year figure is the analyst consensus where the stock is covered; the 5- and 10-year figures compound our earnings estimate from there. The DCF below is a separate cross-check on intrinsic value (what it's worth today), not another target.
Quality-growth score · 51.3
Quality0.80
Growth0.50
Value0.34
Why this score
Raising its dividend
Durable high returns
Cyclical growth
Entry · Margin of safety
52-week rangeMid-range
16% off the 12-month high
vs DCF fair value416% aboveest. fair value ~$60
What the price assumes: free cash flow compounding at ~57% a year for the next decade — vs the ~15% a year our model projects from current growth and analyst estimates.
Quality signals · context only
Gross profitability22% · Bgross profit ÷ total assets (Novy-Marx)
ROIC21.1% · Areturn on invested capital — not score-weighted
Model-generatedGenerated by the Bull Rankings model from this company's reported fundamentals, and checked against the figures shown above.
Why now
Travel Services · market cap $82.4b. 16% off the 52-week high of $366.50. 27 sell-side analysts rate this a Buy with a mean 1-yr target of $349.44 (implying +13% upside).
Moat
Net margin 24% sits well above the S&P median (~11%) — suggests structural pricing advantage or cost discipline competitors can't quickly close. ROE 46% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. $82.4b market cap gives the company enough scale to absorb fixed costs that subscale competitors can't, without yet being so large that growth has to come from acquisition.
Risk
D/E 2.25 is elevated — limits strategic flexibility and raises refinancing exposure if rates stay higher for longer. Beta 1.78 implies above-market volatility — position-size to the drawdowns this name will produce in a market correction, not to its bull-case return.
Horizon
1-3 yr $349.44 (27-analyst consensus) — fundamentals + valuation re-rating. 5 yr $511.62 at ~11% CAGR — compounding case rests on the competitive position widening. 10 yr $758.96 if current growth sustains into durable earnings power.
Not investment advice. The Bull Rankings publishes a quantitative ranking model and accompanying analysis for general informational purposes only. Nothing on this page is a recommendation to buy, sell, or hold any security; nothing is personalized to your circumstances, risk tolerance, or tax situation. Investing carries the risk of loss — invest at your own risk and consider consulting a licensed financial professional before acting on anything you read here. See terms and methodology for full disclosures.
RCL vs the Top Picks average
Pillar
RCL
Book avg
Diff
Quality
0.80
0.83
-0.03
Growth
0.50
0.92
-0.42
Value
0.34
0.75
-0.41
Averaged across the 30 names in today's Top Picks (mean score 82.4). A name can beat these averages and still be absent from the book — it also applies concentration limits.
Score history · RCL
Trend
+0.6 over 35 daily scores
From 50.7 (Jun 22) → 51.3 (now)
One point per daily model run. The range autoscales, so a flat-looking line can still hide 1–2 point moves — read the From → To values for the actual range.
Position sizing · RCL
$
%
%
Shares to buy
6
Position size
$1,848
3.7% of portfolio
Stop price
$231.00
25% below $308.00
$ at risk if stopped
$462.00
budget $500.00 · 1% of portfolio
Math only — share count is floor(portfolio × risk% ÷ (price × stop%)). Doesn't account for commissions, slippage, gap risk, or position-correlation across your book. Inputs persist locally; never sent to the server. Not investment advice.
Royal Caribbean Cruises Ltd. (RCL): score, valuation & FAQ
Royal Caribbean Cruises Ltd. (RCL) is a Travel Services company that scores 51.3 out of 100 on the Bull Rankings quality-growth model — a middling reading. The score blends three pillars — quality (durable returns, healthy margins, low leverage), growth (revenue and earnings), and value (valuation versus sector peers) — into one number, refreshed daily; it is a screen, not a buy recommendation.
On valuation, RCL sits about 416% above our discounted-cash-flow fair value — the current price implies roughly 57% annual free-cash-flow growth over the next decade.
Is RCL a good stock to buy?
Bull Rankings scores RCL 51.3 out of 100 on its quality-growth model, which is a middling reading. A score is a quantitative screen of Royal Caribbean Cruises Ltd.'s fundamentals, not personalised financial advice — weigh it against your own time horizon and risk tolerance, and read the risk factors below before acting.
Why does RCL score 51.3 on Bull Rankings?
The quality-growth score blends three pillars — quality (returns on capital, margins, leverage, earnings quality), growth (revenue and earnings expansion), and value (valuation versus sector peers). RCL grades middle-of-pack across the strip. Each pillar is graded against sector-aware thresholds, then combined into the single 0–100 score.
Is RCL overvalued or undervalued?
Based on $308.00, RCL sits about 416% above our discounted-cash-flow fair value — the current price implies roughly 57% annual free-cash-flow growth over the next decade. It trades at a 19.0x× P/E (graded B). Discounted-cash-flow estimates are sensitive to growth and discount-rate assumptions, so treat this as a cross-check, not a price target.
What are the main risks of investing in RCL?
D/E 2.25 is elevated — limits strategic flexibility and raises refinancing exposure if rates stay higher for longer. Beta 1.78 implies above-market volatility — position-size to the drawdowns this name will produce in a market correction, not to its bull-case return.
Bull Rankings is an automated fundamentals screen for research and education. It is not investment advice, and nothing here is a recommendation to buy or sell any security. Do your own research and consider consulting a licensed financial adviser.