5 Best Travel Stocks To Buy Right Now

In this article, we discuss 5 best travel stocks to buy right now. If you want to see more stocks in this selection, check out 11 Best Travel Stocks To Buy Right Now. 

5. Royal Caribbean Cruises Ltd. (NYSE:RCL)

Number of Hedge Fund Holders: 42

Royal Caribbean Cruises Ltd. (NYSE:RCL) is a Florida-based company that operates cruises under the Royal Caribbean International, Celebrity Cruises, Azamara, and Silversea Cruises brands, which cover approximately 1,000 destinations. Royal Caribbean Cruises Ltd. (NYSE:RCL) is one of the best travel stocks to consider. On December 19, the company announced a partnership with fund iCON Infrastructure Partners VI to develop strategic cruise port infrastructure. The proposed partnership will own, develop, and manage cruise terminal facilities and infrastructure in home ports and key ports of call, with Royal Caribbean Cruises Ltd. (NYSE:RCL) holding a 10% ownership stake. 

On December 15, Barclays analyst Brandt Montour raised the firm’s price target on Royal Caribbean Cruises Ltd. (NYSE:RCL) to $70 from $66 and kept an Overweight rating on the shares.

According to Insider Monkey’s third quarter database, 42 hedge funds reported owning stakes worth $491.3 million in Royal Caribbean Cruises Ltd. (NYSE:RCL), compared to 28 funds in the prior quarter worth $333 million. John W. Rogers’ Ariel Investments is a prominent investor in the company. 

Ariel Investment made the following comment about Royal Caribbean Cruises Ltd. (NYSE:RCL) in its Q3 2022 investor letter:

“Global cruise vacation company Royal Caribbean Cruises Ltd. (NYSE:RCL) also aided relative performance in the quarter. With the entire fleet returning to service in June, RCL delivered positive EBITDA and operating cash flow for the first time since the pandemic began. Forward booking commentary is also encouraging with both trends and pricing for 2023 ahead of 2019 levels. Though questions persist around the macro backdrop, RCL has an experienced executive management team with operational expertise at its helm, as well as a healthy liquidity position. Over the long term, we believe the headwinds travel and leisure are experiencing will soften and expect RCL’s fundamentals will prove resilient in the face of adversity. At today’s valuation, RCL is currently trading at a nearly -60% discount to our estimate of private market value.”