Royal Caribbean's stock has fallen 20% from its 52-week high and 14% over the past year, even as the company raised its full-year earnings guidance. The cruise operator's latest quarter showed revenue up just 6% and adjusted earnings down for the first time since returning to profitability, hurt by an 11% jump in operating expenses including higher fuel, food, and labor costs. Management now expects 2026 revenue to climb 9% and adjusted earnings per share between $17.73 and $17.87, a 14% increase at the midpoint. The stock trades at 16 times the midpoint of this year's adjusted earnings guidance and yields 1.7% after four dividend increases since reinstatement.
Royal Caribbean Cruises LtdRising operating costs (fuel, food, labor) hurt earnings despite guidance raise
NVIDIA Corporation