Wolfe Raises Royal Caribbean (RCL) Price Target, Maintains Outperform Rating

Royal Caribbean Cruises Ltd. (NYSE:RCL) is one of the most profitable consumer stocks to buy now. Royal Caribbean (NYSE:RCL) received a significant vote of confidence from Wolfe Research, which raised its price target on the stock to $394 from $272 while reiterating its Outperform rating. The revised target represents a potential upside of nearly 13% from the current trading level of around $350.

Wolfe Raises Royal Caribbean (RCL) Price Target, Maintains Outperform Rating

An aerial view of a luxurious cruise ship, surrounded by the blue horizon.

The move follows strong industry data pointing to robust cruise demand and pricing trends holding firm through the second half of the year. Wolfe analysts cited improved onboard spending, healthy booking curves, and continued strength in premium cabin sales as key reasons for their bullish stance.

Royal Caribbean has been among the top performers in the travel sector this year, fueled by a surge in international travel and a shift in consumer discretionary spending toward experiences over goods. Wolfe’s update suggests that the stock still has room to run, especially as capacity returns to pre-pandemic levels and new ship deliveries drive earnings growth.

With forward guidance already raised in previous quarters, the focus now shifts to whether Royal Caribbean can sustain momentum through 2025 amid macro uncertainty and rising costs. For now, analysts appear confident the cruise line remains on a favorable course.

While we acknowledge the risk and potential of RCL as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than RCL and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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Disclosure: None.