What changed
$RCL — Cruise vacations and travel experiences.
🎯 Q1 FY26 | Rev $4B | EPS $3.60 vs $3.20 🟢 | Margin 26.1%
💡 Consensus expects Q1 beat is a one-off due to timing, but I see sustained demand driving FY EPS above $17.50 vs consensus $17.32. The market is underestimating margin expansion from cost controls and higher onboard spend.
🏢 Business Quality: 8/10 | Valuation: fair
📉 Reward/Risk: Upside 15% to $313 (18x FY EPS $17.40) vs downside 10% to $245 (14x); ratio 1.5:1.
🔮 Catalyst: Q2 earnings (late July): EPS beat vs $6.32 est; watch revenue and onboard spend. Failure signal: guide down or macro demand drop.
💰 Entry: Current $272 is attractive; ideal entry $260-270 on pullback.
⚖️ Add RCL on pullbacks; Q1 beat is a signal of sustained demand, not a fluke, and FY estimates are too low.
Full analysis on StockDuty dashboard
Also in play: $CCL $NCLH $DCL $WRTBF $MSC $FINC