Weakness in Royal Caribbean (SYM: RCL) is an opportunity.
Over the last few days, RCL dropped from $16.20 to a low of $14.77 with the broader market. However, RCL appears to have bottomed out, and is just starting to pivot higher.
All thanks to strong demand for cruises.
According to Reuters, travelers have been booking cruises for 2024 at “greater volumes” than even before the pandemic. About 35.7 million consumers are expected to cruise this year alone, up from 31.5 million in 2023. With demand showing no signs of cooling, the world’s biggest cruise stocks could sail to higher highs.
Helping, analysts at Mizuho just initiated a buy rating on the RCL stock, with a price target of $164. “The firm says the company should be able to drive incremental demand through the expansion of existing destinations, the development of new attractions, as well as differentiated ships,” according to TheFly.com.
