Should You Buy Royal Caribbean Stock in 2025? Expert Analysis for UAE

What is Royal Caribbean?

How much is Royal Caribbean stock?

The price of Royal Caribbean stock is rising this week. Currently trading at $254.44, the stock saw a 24-hour gain of $3.64 (+1.45%) and a strong 7.02% increase over the past week.

With these robust figures and notable volatility, Royal Caribbean offers dynamic investment potential for UAE investors seeking exposure to the global cruise sector.

Our full analysis of the Royal Caribbean stock

Having analyzed Royal Caribbean Group’s latest quarterly results and reviewed the stock’s robust three-year performance, we have leveraged our proprietary analytics—combining in-depth financial metrics, technical signals, and broader market intelligence relative to its peers. This comprehensive review highlights powerful drivers supporting Royal Caribbean’s current trajectory. So, why might Royal Caribbean stock once again become a strategic entry point into the global travel and leisure sector in 2025?

Recent Performance and Market Context

Royal Caribbean (NYSE: RCL) has demonstrated impressive resilience and growth over the past year, closing at $254.44 USD as of May 30, 2025—a striking 71.97% gain over the trailing twelve months. Over the last month alone, RCL surged 17.48%, and it has climbed 10.30% year-to-date. This strength is particularly noteworthy as it comes against a backdrop of normalization in global travel demand, with cruise lines seeing a rapid return to pre-pandemic activity.

Multiple positive events have contributed to this uptrend. The company’s Q1 2025 financial results revealed a doubling of net income ($730 million, +103% YoY) and a substantial beat on EPS estimates. Furthermore, Royal Caribbean raised its EPS outlook for the full year, underlining management’s growing confidence in booking trends and operational leverage. High-profile investments—such as the $250 million modernization of Celebrity Cruises’ Solstice Series—signal ongoing commitment to fleet innovation and guest experience enhancement.

On the macro-level, favorable sector dynamics persist. Consumer discretionary spending on experiences continues to outpace goods, with the premium travel and leisure segment recording strong global recoveries, especially in the Middle East and Asia—two regions representing significant growth avenues for the cruise industry. The broad normalization of travel post-COVID and the cruise sector’s positioning as a value-for-money premium experience both reinforce Royal Caribbean’s strong market context entering the second half of 2025.

Technical Analysis

Technically, Royal Caribbean is providing a textbook example of bullish momentum. The stock trades well above all major moving averages, underscoring a well-defined uptrend:

Each moving average is displaying a “Buy” signal, amplifying confidence in near-term price durability. The RSI stands at 64.27—neutral, but still shy of overbought territory—suggesting that there remains room for further upside without immediate risk of correction. The MACD (9.40) offers a strong buy signal, with bullish momentum intact.

Key support sits at $248.02—a level that has held through recent volatility—while resistance is just ahead at $256.26. With the stock consolidating above its pivot point ($252.14), current technical structure appears primed for another potential breakout, particularly if trading volumes remain robust. The confluence of these signals suggests short- and medium-term momentum could continue unabated, supporting the idea that Royal Caribbean may be entering a new bullish phase.

Fundamental Analysis

From a fundamental perspective, Royal Caribbean’s Q1 2025 report showcased both revenue acceleration and operational excellence. The company posted $4.0 billion in revenue (+7.3% YoY), and EPS of $2.71 (up from $1.77 YoY), driven by robust onboard revenue and ticket pricing power. Adjusted EBITDA reached $1.4 billion with a 35% EBITDA margin—reflecting notable improvements in operating efficiency.

The stock’s valuation appears substantially justified given consensus forecasts of 28% EPS growth for 2025, coupled with a raised full-year adjusted EPS guidance of $14.55–$15.55. The forward P/E, notably lower than the trailing metric, points to growing earnings leverage as the company digests capital investments and reaps the rewards of enhanced scale.

Royal Caribbean’s structural strengths—global fleet leadership (with 67 ships across three premium brands), innovation in hospitality (fleet modernization, branded experiences), and demonstrated pricing power—consolidate its position at the top tier of the cruise industry. Its diversified global itineraries and broad geographic reach further insulate it from region-specific demand shocks.

Volume and Liquidity

Trading liquidity for Royal Caribbean is deep and dynamic, with a three-month average daily volume of 2.66 million shares. This level of activity signals strong institutional and retail engagement, underpinning price discovery and investor confidence. The stock’s substantial float not only supports efficient execution for large trades, but also helps sustain dynamic valuation, even as sector sentiment ebbs and flows.

Market capitalization currently stands at $69.1 billion, reflecting both the scale of the franchise and the depth of market backing. High institutional ownership, typical for leading cruise operators, signals that sophisticated investors continue to endorse the company’s outlook.

Catalysts and Positive Outlook

Looking ahead, Royal Caribbean is poised to benefit from several clear bullish catalysts:

• Ongoing Fleet Expansion: New ship launches and modernization initiatives will raise capacity and guest appeal, driving both ticket and onboard revenue growth.
• Premium Segment Growth: The company’s strategic focus on the premium and ultra-premium travel segments aligns with consumer willingness to spend on upscale experiences.
• Improved Credit Facilities: The recent upsizing and extension of revolving credit lines enhance liquidity and financial flexibility, allowing for continued investment in growth projects and risk management.
• Dynamic Pricing Power: Demonstrated ability to raise prices in the face of high demand gives RCL operating leverage across cyclical swings.
• ESG and Fleet Sustainability: Investments in cleaner propulsion, waste management, and responsible tourism boost Royal Caribbean’s appeal among increasingly sustainability-conscious consumers.
• Favorable Regulatory and Macroeconomic Context: With most major travel restrictions lifted and consumer confidence in leisure travel surging, especially in the GCC and Asian markets, the environment strongly supports continued upside.

Combined, these factors offer a clear tailwind not only for sustaining current profitability, but also for accelerating long-range structural expansion both in current core geographies and high-growth international markets.

Investment Strategies

Positioning in Royal Caribbean stock can offer compelling risk-reward profiles across time horizons:

• Short-term: Technical momentum and recent price consolidation near support and pivot levels provide an attractive setup for traders seeking gains from near-term breakouts or post-earnings continuation moves.
• Medium-term: The stock’s sustained trading above moving averages and recent upward revisions in guidance suggest an ideal entry ahead of anticipated catalysts, such as further earnings beats, major ship launches, or sector-wide reratings.
• Long-term: For investors with a multi-year horizon, Royal Caribbean’s market leadership, diversified fleet, brand equity, and strong free cash flow generation offer the foundation for compounding returns—especially as balance sheet repair and EPS growth further compress the forward valuation multiples.

Entry near current support ($248.02) or on any technical retracement toward the 20-day SMA ($241.32) appears particularly appealing, combining downside mitigation with upside capture potential should the bullish narrative persist.

Is it the Right Time to Buy Royal Caribbean?

In summary, Royal Caribbean’s confluence of robust financial performance, technical strength, expanding operational footprint, and favorable sector trends seems to represent an excellent opportunity for investors seeking exposure to the global travel recovery theme. Strong fundamentals—evidenced by accelerating revenue and EPS, powerful brand advantages, and disciplined capital investments—are mirrored by a technical structure that justifies renewed interest at current levels.

With clear catalysts ahead, sustainable pricing power, and premium market positioning, the stock appears well-placed to embark on a new phase of outperformance—possibly making now a particularly opportune moment to consider entry. While prudent portfolio construction always requires attention to volatility and macro risks, the balance of evidence points overwhelmingly to the upside potential in Royal Caribbean as we approach the home stretch of 2025.

For discerning investors, Royal Caribbean offers a uniquely attractive combination of growth, innovation, and global reach—poised to navigate both favorable market climates and cyclical challenges with confidence and agility.

How to buy Royal Caribbean stock in the UAE?

Buying Royal Caribbean Group (RCL) stock online is both straightforward and secure for investors in the UAE, thanks to access to regulated international brokers. You can invest by purchasing shares directly (spot buying) or trading Contracts for Difference (CFDs), each offering distinct advantages. Spot buying allows you to own the shares outright, while CFDs provide leveraged exposure and flexible strategies. Understanding the differences helps you make the best choice for your goals. For a detailed comparison of brokers available to UAE investors, see the dedicated comparison section further down this page.

Spot Buying

Spot buying means purchasing Royal Caribbean shares directly, making you a shareholder eligible for dividends and voting rights. With most UAE-available brokers, you'll pay a fixed commission per order, often ranging from AED 15-25 (approx. $4–7), plus a small currency conversion fee if needed.

Informations importantes

Example: If Royal Caribbean shares are trading at $254.44 each, a $1,000 (approx. AED 3,670) investment lets you buy about 3 whole shares (since $1,000 ÷ $254.44 ≈ 3.93, minus fees), paying a brokerage fee of about $5.
✔️ Gain scenario: If the share price rises by 10% to $279.88, your 3 shares are now worth $839.64, compared to the initial $762.32 (excluding fees).
Result: That’s a +$76 gain, or around +10% gross gain on your invested amount.

Trading via CFD

CFD trading lets you speculate on Royal Caribbean’s share price without owning the physical shares, using leverage to amplify your potential returns (and risk). The main fees are the spread (the difference between buying and selling prices) and overnight financing charges if you keep positions open longer than a day.

Informations importantes

Example: With a $1,000 (AED 3,670) deposit and 5x leverage, you control $5,000 worth of Royal Caribbean shares as a CFD.
✔️ Gain scenario: If RCL’s share price rises by 8%, your position’s value increases by 8% × 5 = 40%.
Result: That’s a +$400 gain on your $1,000 margin (excluding spreads and overnight fees).

Final Advice

Before you invest, it’s essential to compare different brokers’ fees, trading platforms, and services to find the solution that best meets your needs. Each method—spot buying or CFDs—carries its own benefits and risks. The best choice depends on your investment objectives and appetite for risk. For detailed guidance on choosing a broker in the UAE, be sure to review our broker comparison table below.

Our 7 tips for buying Royal Caribbean stock

The latest news about Royal Caribbean

Royal Caribbean’s stock posted a robust weekly gain of 7.02%, extending its year-to-date advance to 10.30%. This momentum reflects the company’s strong operational performance and positive market sentiment, with the stock now trading at $254.44, approaching its 52-week high. Increased investor interest is notable, supported by a high average daily volume and a large market capitalization of $69.1 billion. This is particularly relevant for UAE investors seeking international exposure to leading travel service equities, as Royal Caribbean’s bullish trend aligns with global travel sector recovery.

The company delivered a significant Q1 2025 earnings beat, with net income doubling and raised full-year guidance. Revenues rose 7.3% year-on-year to $4.0 billion, while net income surged to $730 million, up 103%. Adjusted EPS reached $2.71, far exceeding the $1.77 recorded in Q1 of the previous year. Importantly, management raised its full-year adjusted EPS guidance to $14.55–$15.55, reflecting robust forward bookings and strong consumer demand for premium cruise experiences. This performance and confidence in future growth are critical for professional analysts monitoring resilience and growth momentum in externally exposed consumer stocks.

Technical analysis shows strong bullish signals across all major moving averages, supported by institutional consensus upgrades. The 20-day, 50-day, 100-day, and 200-day simple moving averages are all indicating buy signals, and the MACD is confirming further upside. The consensus analyst price target stands at $271.95, implying further upside potential even from current levels, while technical indicators such as the RSI (64.27) and recent price action underscore increased buying interest. For UAE-based market participants, this supports potential portfolio inclusion or increased weighting in global travel recovery strategies.

Royal Caribbean announced a $250 million investment in modernizing its Celebrity Cruises Solstice Series fleet. This move, disclosed in late May 2025, demonstrates the group’s sustained commitment to premium quality and fleet modernization, a factor likely to enhance its competitive edge in affluent international source markets, including the Middle East. The modernized fleet is expected to better address the preferences of high-net-worth travelers from regions like the UAE, renowned for their demand for luxury experiences and global cruise itineraries.

The company has enhanced its financial flexibility through upsized and extended credit facilities, bolstering balance sheet resilience. This strengthened access to liquidity better positions Royal Caribbean to navigate industry cyclicalities, continue investing in fleet expansion, and maintain operational stability. For UAE-based institutional and private investors—especially those with an eye on global diversification and risk management—these measures reduce downside risk and support the company’s ability to pursue new strategic initiatives or partnerships within the GCC and beyond, should market opportunities arise.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.