Royal Caribbean Cruises: Record Demand, Expanding Margins, Undervalued Stock

  • Royal Caribbean is experiencing record demand, outpacing the broader leisure sector, with bookings and passenger numbers exceeding pre-pandemic levels. The company's differentiated private island strategy and annual megaship launches drive higher guest satisfaction, margins, and future growth potential. Strong earnings momentum, cost control, and balance sheet improvement support management's ambitious 20% annual EPS growth target through 2027.