Royal Caribbean Cruises Ltd. (NYSE:RCL)’s Portfolio Darling or Leech?

Royal Caribbean Cruises Ltd. (NYSE:RCL) have seen a year over year change of sales growth of 0.12604.  The 23881580 market value company based out of United States of America is an important player in the Travel & Leisure sector.

While sales growth can be a key driver for a company’s stock performance, there are many other factors to consider as well.  Here we’ll take a look at several other notable indicators.

Coming up with a viable and solid stock investment plan might be on the minds of many individual investors. A solid plan might entail defining the overall objective and recognizing tangible restraints. Figuring out these details may help the investor focus on the most important aspects of investing in the stock market. Following strategies set forth by others may work, but they may also leave the investor in a quandary. What worked in the past for one person may not work in the future for another. Investors may need to craft the plan keeping in mind the long-term goals. Although some investors and traders focus on the short-term, many investors are more interested in making the grade over a number of years, and not a number of days or months. Plans may need to be set up so that they are flexible and have the ability to withstand unforeseen shifts and rapidly changing stock market scenarios. Flexibility may end up being the key to a successful plan down the road. Investors may also want to do regular check-ins on portfolio performance in order to keep tabs on how well the plan is working.

So how has Royal Caribbean Cruises Ltd. (NYSE:RCL) performed in terms of returns?  The ROIC quality score stands at 4.506893 whilet he actual return on invested capital holds at  0.076770.  Royal Caribbean Cruises Ltd.’s book to market ratio is at 0.483151 while the book to market mean difference is -0.38328. This indicator tells you how a company is currently valued in terms of Book to Market compared to its average Book to Market over the past 10 years. It’s important to note that BM is the inverse of the Price to book ratio. Thus a high BM ratio means a company is undervalued.

In glancing at some key ratios we note that the Piotroski F-Score is at 6 (1 to 10 scale) and the ERP5 rank is at 8584. The Q.I. Value of Royal Caribbean Cruises Ltd. (NYSE:RCL) currently reads 37.00000 on the Quant scale. The Free Cash Flow score of -0.102763 is also swinging some momentum at investors. The United States of America based firm is currently valued at 217074.

Some other notable ratios include the Accrual Ratio of 0.231330, the Altman Z score of 1.675435, a Montier C-Score of 3.00000 and a Value Composite rank of 31.

Debt

In looking at some Debt ratios, Royal Caribbean Cruises Ltd. (NYSE:RCL) currently has a debt to equity ratio of 1.00980 and a Free Cash Flow to Debt ratio of 0.036887. This ratio gives insight as to how high the firm’s total debt is compared to its free cash flow generated. In terms of Net Debt to EBIT, that ratio stands at 5.47677. This ratio reveals how easily a firm is able to pay interest and capital on its net outstanding debt. The lower the ratio the better as that indicates that the company is able to meet its interest and capital payments. Lastly we’ll take note of the Net Debt to Market Value ratio. Royal Caribbean Cruises Ltd.’s ND to MV current stands at 0.478044. This ratio is calculated as follows: Net debt (Total debt minus Cash ) / Market value of the company.

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Stock market investing can sometimes cause investors heads to spin. Following stocks on a daily basis, it is plain to see the amount of coverage that follows certain companies. This non-stop barrage of information may eventually become overwhelming for the novice investor. Filtering through all the data may involve taking a look at a company or stock from multiple angles. There are many investors out there that preach strictly following fundamental data. There are others that swear by the technical analysis. Many investors will opt to employ a research strategy that involves pieces of the two approaches. Knowing every little detail about a company may not be overly necessary, but it may help provide a bit more direction when navigating the stock market maze. Investors who put in the time to study all the fundamentals may want to also start watching the charts on stock that they are thinking about adding to the portfolio. Making sure that no stone is left unturned when examining a stock may end up being the difference between a big winner and a big loser.

Royal Caribbean Cruises Ltd. (NYSE:RCL) are showing an adjusted slope average of the past 125 and 250 days of 0.11738.  The Adjusted Slope 125/250d indicator is equal to the average annualized exponential regression slope, over the past 125 and 250 trading days, multiplied by the coefficient of determination (R2).  The purpose of this calculation is to provide a longer term average adjusted slope value that levels out large share price movements by using the average. This indicator is useful in helping find stocks that have been on a smooth upward trend over the past 6 months to a year.

Drilling down into some additional key near-term indicators we note that the Capex to PPE ratio stands at 0.129547 for Royal Caribbean Cruises Ltd. (NYSE:RCL).  The Capex to PPE ratio shows you how capital intensive a company is. Stocks with an increasing (year over year) ratio may be moving to be more capital intensive and often underperform the market. Higher Capex also often means lower Free Cash Flow (Operating cash flow – Capex) generation and lower dividends as companies don’t have the cash to pay dividends if they are investing more in the business.

Traders may be using technical analysis to help spot ideal entry and exit points. One idea behind technical analysis is that historical price movement trends have the ability to repeat themselves. Technical analysis involves the use of chart patterns to examine market movements and to help define trends. Trends in the stock market are not always easy to spot. Many chartists will strive to determine whether the trend is up, down, or sideways. After defining a trend, the technical analyst may look to see what type of timeframe the trend encompasses. Some traders will look to identify whether the trend is major or long-term, short-term, or intermediate. Being able to decipher what the data is saying may assist the trader with finding potential entry and exit points on a particular trade. There are many different indicators that can be employed when undertaking technical analysis. Many traders will do numerous chart studies to find out which indicator or indicators tend to project the most relevant trading assistance. Learning how to spot these trends might help the trader develop specific charting skills that will hopefully lead to future market success.