Out Fox The $treet

Update - Feb. 7 Royal Caribbean just forecast a record year in 2023. It's crazy how a lot of people were short the stock thinking BK risk was real. -Q4 Non-GAAP EPS of -$1.12 beats by $0.22. -Revenue of $2.6B (+164.7% Y/Y) misses by $10M. -The company expects to exceed prior record Adjusted EBITDA, achieved in 2019. The company expects Adjusted Earnings per Share in the range of $3.00 to $3.60 vs consensus of $3.23. Original article posed on Jan. 13 Travel sector peers have reported numbers suggestive of a big rebound ahead for cruise lines. Royal Caribbean had predicted record EPS in 2025 topping $10 and the American Airlines numbers make this prediction appear far more realistic. The stock is cheap trading at 6x 2025 EPS targets. The market keeps doubting the cruise lines, yet  Royal Caribbean  ( NYSE: RCL ) is finally pushing recent highs. The travel sector news continues to shine in an indication of the earnings power ahead for the cruise line. My  investment thesis ...

  Royal Caribbean has started generating positive cash flows. The company has a large debt load, but EPS targets top $5 next year due to strong demand. The stock only trades at 11x '23 EPS targets and the cruise line has a path to produce higher earnings. This idea was discussed in more depth with members of my private investing community, Out Fox The Street.  Learn More »   While  Royal Caribbean Cruises  ( NYSE: RCL ) has seen their business hit a major inflection point, the stock trades at the yearly lows. Despite the storm clouds dissipating on Covid fears, the market has now shifted to concerns on a recession in spite of  pent-up consumer demand. My investment thesis remains ultra-Bullish on the cruise lines with the disconnect between demand and stock valuations rather large at this point. Read the full article on Seeking Alpha.  Disclosure: No position mentioned. Please review the disclaimer page for more details.  Update - June 24 The neg...