Royal Caribbean Group (RCL) Rose on Stronger Than Anticipated Consumer Demand

Ariel Investments, an investment management company, released its “Ariel Fund” second-quarter 2023 investor letter. A copy of the same can be downloaded here. In the second quarter, Ariel fund gained +3.11% underperforming +4.37% and +5.22% gains of both the Russell 2500 Value Index and the Russell 2500 Index, respectively. In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.

Ariel Fund highlighted stocks like Royal Caribbean Cruises Ltd. (NYSE:RCL) in the second quarter 2023 investor letter. Headquartered in Miami, Florida, Royal Caribbean Cruises Ltd. (NYSE:RCL) is a cruise company. On September 11, 2023, Royal Caribbean Cruises Ltd. (NYSE:RCL) stock closed at $97.66 per share. One-month return of Royal Caribbean Cruises Ltd. (NYSE:RCL) was -5.65%, and its shares gained 110.29% of their value over the last 52 weeks. Royal Caribbean Cruises Ltd. (NYSE:RCL) has a market capitalization of $25.018 billion.

Ariel Fund made the following comment about Royal Caribbean Cruises Ltd. (NYSE:RCL) in its Q2 2023 investor letter:

“Several stocks in the portfolio had strong returns over the period. Global cruise vacation company, Royal Caribbean Cruises Ltd. (NYSE:RCL), was one of the top 3 performers in the S&P 500 during the quarter. Shares surged following a significant top- and bottom-line earnings beat, as stronger than anticipated consumer demand is driving a record WAVE season. Forward booking trends are also ahead of historical ranges at record pricing. These factors combined with further improvement in onboard spend and solid cost containment led management to increase RCL’s full-year 2023 guidance. We believe the revised revenue and earnings outlook lays the foundation for RCL to exceed its’ three-year strategic imperative, the Trifecta Program.”

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Royal Caribbean Cruises Ltd. (NYSE:RCL) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 45 hedge fund portfolios held Royal Caribbean Cruises Ltd. (NYSE:RCL) at the end of second quarter which was 39 in the previous quarter.

We discussed Royal Caribbean Cruises Ltd. (NYSE:RCL) in another article and shared the list of travel stocks billionaires are loading up on. In addition, please check out our hedge fund investor letters Q2 2023 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.