Royal Caribbean Cruises Stock Alpha and Beta Analysis

RCL Stock  USD 304.33  1.91  0.63%   
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Royal Caribbean Cruises. It also helps investors analyze the systematic and unsystematic risks associated with investing in Royal Caribbean over a specified time horizon. Remember, high Royal Caribbean's alpha is almost always a sign of good performance; however, a high beta will depend on investors' risk tolerance level and may signal increased volatility and potential future overvaluation. Key technical indicators related to Royal Caribbean's market risk premium analysis include:
Beta
0.0838
Alpha
(0.04)
Risk
2.81
Sharpe Ratio
0.0257
Expected Return
0.0721
Please note that although Royal Caribbean alpha is a measure of relative return and represented here as a single number, it indicates the percentage above or below your selected benchmark (i.e., Dow Jones Industrial index.) So in this particular case, Royal Caribbean did 0.04  worse than the index. Remember, a high alpha is always good. Beta, on the other hand, measures the volatility (or risk) of an investment. It is an indication of Royal Caribbean Cruises stock's relative risk over its benchmark. Royal Caribbean Cruises has a beta of 0.08  . As returns on the market increase, Royal Caribbean's returns are expected to increase less than the market. However, during the bear market, the loss of holding Royal Caribbean is expected to be smaller as well. At this time, Royal Caribbean's Price Book Value Ratio is quite stable compared to the past year. Price Fair Value is expected to rise to 7.52 this year, although Book Value Per Share will most likely fall to 21.19.

Royal Caribbean Quarterly Cash And Equivalents

432 Million

Alpha is a measure of relative performance on a risk-adjusted basis, while beta measures volatility against the benchmark. The goal is to know if an investor is being compensated for the volatility risk taken. The return on investment might be better than its reference but still not compensate for the assumption of the risk.
Check out Royal Caribbean Backtesting, Royal Caribbean Valuation, Royal Caribbean Correlation, Royal Caribbean Hype Analysis, Royal Caribbean Volatility, Royal Caribbean History and analyze Royal Caribbean Performance.

Royal Caribbean Market Premiums

Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Royal Caribbean market risk premium is the additional return an investor will receive from holding Royal Caribbean long position in a well-diversified portfolio. The market premium is part of the Capital Asset Pricing Model (CAPM), which most analysts and investors use to calculate the acceptable rate of return on investment in Royal Caribbean. At the center of the CAPM is the concept of risk and reward, which is usually communicated by investors using alpha and beta measures. Alpha and beta are two of the key measurements used to evaluate Royal Caribbean's performance over market.
α-0.04   β0.08

Royal Caribbean expected buy-and-hold returns

Although buy-and-hold investment strategy may not appeal to all investors, it may be used as a good measure of Royal Caribbean's Buy-and-hold return. Our buy-and-hold chart shows how Royal Caribbean performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.

Royal Caribbean Market Price Analysis

Market price analysis indicators help investors to evaluate how Royal Caribbean stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Royal Caribbean shares will generate the highest return on investment. By understating and applying Royal Caribbean stock market price indicators, traders can identify Royal Caribbean position entry and exit signals to maximize returns.

Royal Caribbean Return and Market Media

The median price of Royal Caribbean for the period between Sat, Oct 11, 2025 and Fri, Jan 9, 2026 is 281.7 with a coefficient of variation of 7.8. The daily time series for the period is distributed with a sample standard deviation of 21.91, arithmetic mean of 280.94, and mean deviation of 18.7. The Stock received a lot of media exposure during the period.
 Price Growth (%)  
       Timeline  
1
Disposition of 6985 shares by Richard Fain of Royal Caribbean at 310.65 subject to Rule 16b-3
11/28/2025
2
MSC Cruises reveals new entertainment on private Ocean Cay island including fire and ice challenges
12/12/2025
3
Leisure Stocks To Watch Today December 17th
12/17/2025
4
Why The Office star Melora Hardin was fired from Back to the Future only after Michael J. Fox was hired
12/23/2025
5
Heres Why Royal Caribbean is a Strong Momentum Stock
12/30/2025
6
Heres what happens when you let 140,000 passengers help design a ship
12/31/2025
7
Im Looking at Royal Caribbean Stock in 2026. You Should Too
01/02/2026
8
Royal Caribbean Stock Sinks As Market Gains What You Should Know
01/05/2026
9
CCLs Revenue Flow-Through Improves Whats Supporting Margin Gains
01/06/2026
10
WELCOME TO PARADISE ROYAL CARIBBEANS ROYAL BEACH CLUB PARADISE ISLAND IS NOW OPEN
01/07/2026
11
Mayor Levine Cava, Royal Caribbean Group, and partners celebrate groundbreaking of new Cruise Terminal G at PortMiami
01/08/2026

About Royal Caribbean Beta and Alpha

For many years both, Alpha and Beta indicators are used by professional money managers as critical performance measurement tools across virtually all financial instruments including Royal or other stocks. Alpha measures the amount that position in Royal Caribbean Cruises has returned in comparison to a selected market index or another relevant benchmark. In other words, Alpha is the excess return on an investment relative to the performance of your selected benchmark. Beta, on the other hand, measures the relative risk of your investment.
 2025 2026 (projected)
Dividend Yield0.0020440.001941
Price To Sales Ratio3.291.79

Royal Caribbean Upcoming Company Events

As portrayed in its financial statements, the presentation of Royal Caribbean's financial position is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Royal Caribbean's leadership is honest, while the outside auditors are strict and uncompromising. Whatever the case, investors should always follow all of Royal Caribbean's public filing events to personally review all filings and be reasonable and skeptical to interpret all of the financial statements of Royal Caribbean. Please utilize our Beneish M Score to check the likelihood of Royal Caribbean's management manipulating its earnings.
1st of February 2024
Upcoming Quarterly Report
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2nd of May 2024
Next Financial Report
View
31st of December 2023
Next Fiscal Quarter End
View
1st of February 2024
Next Fiscal Year End
View
30th of September 2023
Last Quarter Report
View
31st of December 2022
Last Financial Announcement
View

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When determining whether Royal Caribbean Cruises is a strong investment it is important to analyze Royal Caribbean's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Royal Caribbean's future performance. For an informed investment choice regarding Royal Stock, refer to the following important reports:
Royal Caribbean technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.
A focus of Royal Caribbean technical analysis is to determine if market prices reflect all relevant information impacting that market. A technical analyst looks at the history of Royal Caribbean trading pattern rather than external drivers such as economic, fundamental, or social events. It is believed that price action tends to repeat itself due to investors' collective, patterned behavior. Hence technical analysis focuses on identifiable price trends and conditions. More Info...