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How to Buy Royal Caribbean Stock Now – Forecast and Dividend Guide

Want to buy Royal Caribbean stock? In this guide, we’ll show you how to invest in RCL stock and summarise key forecast and dividend information.
Harry Atkins
Author: Harry Atkins
Last Updated: 22 May 2020
Royal Caribbean logo
Royal Caribbean logo

Few businesses will emerge unscathed from the COVID-19 pandemic, but the travel industry has suffered particularly badly. Like most travel companies, Royal Caribbean Cruises has been shuttered since March and its cruise ships won’t be setting sail any time soon. Inevitable, the impact on revenue has been severe and its stock price has taken a hammering. So, is now a good time to buy Royal Caribbean Stock?

It’s hard to look beyond the such an unprecedented setback, but some investors will be assessing Royal Caribbean’s revival prospects and wondering if now is a smart time to invest in its diminished stock.

Thinking of investing Royal Caribbean? This guide will explain how to buy Royal Caribbean stock, take a look at the best stockbrokers and consider the company’s prospects going forward.

Where to Buy Royal Caribbean Stock

If you want to buy Royal Caribbean stock, start by creating an account with one of our recommended online stockbrokers. If you’re outside the United States, eToro is the best platform on which to buy RCL stock. If you’re inside the US or Canada, our top pick is Stash Invest.

1. eToro – Market Leading Broker Built on Social Trading Innovation

Widely known as one of the pioneers of social trading, eToro has developed into one of the world’s leading brokers in the last decade. This is largely in part due to its CopyTrader tool, which allows you to copy the portfolios the future traders of high performing traders.

The selection of markets is comprehensive, including stocks, indices, commodities currencies and crypto. When it comes to stock investing, you’ll find more than 800 tradeable stocks to invest in.

If you’re contemplating an investment in Royal Caribbean, it’s easy to open a long position and buy the underlying asset. Alternatively, you can trade RCL CFDs with up to 1:5 leverage.

eToro’s pricing is super competitive – there are no commission or stamp duty on stock purchases and the minimum deposit ($200) is relatively affordable. If you’re new to trading, or just new to eToro, you can get to grips with the$100,000 demo account before trading with real money.

With its smartly designed, easy to navigate UX and an interface that resembles popular social media platforms, eToro succeeds in creating a fluid, accessible trading experience that should suit both beginners and seasoned traders.

OUR RATING

  • 800+ stocks to buy outright or trade as CFDs
  • Beginner-friendly stock trading platform
  • 0% commission on stock trading
  • $5,000 account minimum for CopyPortfolios
75% of retail investor accounts lose money when trading CFDs with this provider.

2. Stash Invest – Best Stockbroker for US and Canada

If you’re a newcomer to stock investing, you’re probably looking for a broker that keeps things relatively simple, allowing you to develop your knowledge and make some solid low risk investments. Look no further than Stash Invest.

Easy to understand, simple to navigate and affordable, Stash is definitely one of the most approachable investing platforms we’ve come across.

Thanks to fractional stock purchasing, it’s also great if you want to build a diverse portfolio on a limited budget. Because you can buy portions of shares you can gain relatively cheap exposure to particularly expensive stocks like Amazon, which is currently priced at nearly $2,500.

Prices are affordable with plans starting at just $1 a month, which grants you access to a personal investment account, debit account, and Stock-Back rewards. Other plans are priced at $3 and $9 a month and include extras like tax benefits for retirement investing, monthly insight reports, investment accounts for two children and a smart metal debit card.

  • $0 minimum balance
  • Allows fractional stock purchases
  • $1 monthly fee
  • Lower number of shares in comparison to other brokers
  • $9 a month to unlock the complete features
There is no guarantee you will make money with this provider.
It pays to compare the different online brokers and stock trading features you require before you buy stocks. If you want high flexibility and frequent trading, then the transaction costs should be as low as possible. A recommended broker in this case is eToro. Or do you seek to make a one-time purchase or long-term investment with the help of savings plans? In this case, review online brokers such as Stash Invest.

Should I Buy Royal Caribbean Stock? Points to Consider

It’s always best to do your research before you buy NCLH stock or other cruise assets like Norwegian Cruise Line stock. We always recommend taking a closer look at the company fundamentals and researching historic price movements and forecasts before you invest money.

Royal Caribbean Cruises business model and share price history

Unsurprisingly, Royal Caribbean announced bruising first quarter losses in May. The company reported a net loss of $1.44 billion, or $6.91 a share, which compares to a net income of $249.7 million, or $1.19 a share, in the same period last year. Revenue fell 17% to $2.03 billion, missing analyst targets.
Royal Caribbean Cruises

Given the circumstances, such bracing figures are to be expected, like all cruise lines, Royal Caribbean has been forced to suspend its cruise operations since March. The question of when its ships can set sail again remains fraught with uncertainty.

Royal Caribbean, along with Carnival and Norwegian Cruise Line, is reported to be targeting a return to business in early August, although some consider this optimistic.

It’s likely that bookings will remain low throughout the rest of 2020, but investors have been encouraged by the company’s claim that 2021 bookings are ‘within historical ranges’.

In fact, despite such poor quarterly results, RCL stock responded positively to the Q1 earnings report, rising 7.4% to $43.66 the next day. Analysts were also encouraged, hiking price-targets as high as $67.

Royal Caribbean Cruises stock dividend information

Royal Caribbean pays out 32.70% of its earnings out as a dividend, which amounts to an annual dividend of $3.12 per share with a dividend yield of 7.12%. The most recent quarterly payment was made to shareholders on April 6.

Royal Caribbean Cruises stock forecast and prediction

Royal Caribbean’s median 12-month target price according to CNN – based on 19 analyst forecasts – is $49.00, with a low target of $20.00 and a high target of $67.00. The median target represents an 11.64% increase on the current price of $43.89.

MarketBeat’s analyst ratings are more optimistic, reporting a median target of $86.59. However, the consensus rating in Hold.

How to Buy Royal Caribbean Stock on eToro

It’s quick and easy to invest in Royal Caribbean stock at our recommended broker, eToro. Assuming you’ve signed up and funded your broker account, follow these simple steps to buy Royal Caribbean Cruises stock.

Note: You need to verify your account to lift the deposit limit on your account.

Step 1: Search for Royal Caribbean (RCL) Stock

Search Royal Caribbean eToro

Look up Royal Caribbean by typing the ticker symbol RCL into the search box.

Step 2: Click on trade

Trade Royal Caribbean eToro

Click Trade in the top right corner of the Royal Caribbean Cruises page.

Step 3: Specify ‘Buy’

Buy Royal Caribbean stock eToro

If you want to purchase the underlying asset, specify ‘Buy’ on the top tab, change the leverage to X1 and proceed to set your order. To trade RCL CFDs, set your leverage amount, Stop loss and Take profit order limits, then click ‘Set Order’.

Buying Royal Caribbean Stock – Final Thoughts

It certainly isn’t the safest time to invest in cruise line stock, but many regard Royal Caribbean as better equipped than its peers to manage pandemic losses and get back to business as usual. At present, the company is burning through $250 to $275 million per month but has somewhere in the region of $3.3 billion in liquidity to call on.

Having plummeted to a 67.2% year-to-date deficit, RCL stock has potential to rise in the short term, thanks largely to upgraded targets, but a full recovery will rely on solid evidence that business can resume sooner rather than later.

If you want to buy Royal Caribbean stock, we recommend registering with one of our recommended stockbrokers. eToro is our number one broker if you’re outside the US, while we suggest US traders go with Stash Invest.

eToro : Best stockbroker for non U.S. countries

OUR RATING

  • Social and copy trading available
  • CySEC & FCA regulated
  • Buy stocks commission-free (other fees may apply)
Your capital is at risk.

Stash Invest - Invest in stocks with just $5

RATING

  • U.S. friendly stock broker
  • Fractional shares available - invest in stocks with just $5
  • Fees as low as $1 per month for basic banking and personal investing
  • Build a portfolio of stocks and ETFs for free
  • $50 bonus available when you deposit $300 within 30 days

FAQs

Should I buy Royal Caribbean stock or wait?

Some analysts rate RCL as a Buy but we’re inclined to advise caution while the cruise industry continues to face such an uncertain future.

What are the fees when buying Royal Caribbean stock?

Zero-commission stock and ETF trading is available to European clients who trade on eToro. This means that eToro doesn't add a dealing charge or any administrative fees when you buy RCL stock.

Is there an RCL stock price prediction?

Analysts estimate a median 12-month forecast of $49.00, which represents a 11.64% increase on RCL’s current price of $43.89.

What does the Royal Caribbean stock dividend pay?

Royal Caribbean pay an annual dividend of $3.12 per share with a dividend yield of 7.12%.

A-Z of Stocks

Remember, all trading carries risk. Views expressed are those of the writers only. Past performance is no guarantee of future results. The opinions expressed in this Site do not constitute investment advice and independent financial advice should be sought where appropriate. This website is free for you to use but we may receive commission from the companies we feature on this site.
Harry Atkins

Harry has over a decade's worth of experience writing, editing and managing high-profile content for blue-chip companies. He has also worked for high street and investment banks, insurance companies and trading platforms.

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