Royal Caribbean (RCL) enters November with momentum after beating expectations and raising its outlook last week, and a month earlier it acquired a 50% stake in the Sandals and Beaches all-inclusive resorts across the Caribbean. The stock is up 10% this year, while cruise operators have struggled after oil prices spiked during the crisis in the Strait of Hormuz, and Royal Caribbean is the only one of the three major listed ocean cruise lines trading higher in 2026. The company now expects adjusted earnings of $17.85 to $17.95 per share this year, with the midpoint raised by $0.10. The author argues the shares trade at about 17 times the raised outlook and 15 times next year's analyst profit estimates, with a nearly 2% dividend yield, making the stock look cheaper than most investors assume.
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