Royal Caribbean Cruises Ltd. cash flow to debt ratio of 28.56% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.

Royal Caribbean Cruises Ltd.'s free cash flow has decreased 38.11% from $2.00B last year to $1.24B, signaling decreasing performance

Royal Caribbean Cruises Ltd.'s debt to equity ratio is 2.30, which means that the company's assets are unhealthy financed, signaling financial risk.

Royal Caribbean Cruises Ltd.'s debt has decreased relative to shareholder equity from 2.75 last year to 2.30 today, signaling strengthened financials

Royal Caribbean Cruises Ltd. has a net debt to EBITDA ratio of 3.14x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk

Royal Caribbean Cruises Ltd.'s interest coverage ratio of 4.96 indicates that earnings with good margin can cover interest payments on company debt

Royal Caribbean Cruises Ltd.'s profit margin has increased (35.01%) in the last year from 17.45% to 23.56%, signaling increasing performance

Royal Caribbean Cruises Ltd.'s short-term liabilities of $12.05B exceed its short-term assets of $2.21B, signaling financial risk

Royal Caribbean Cruises Ltd.'s return on assets of 9.86% is higher than the 5.00% threshold, indicating efficient asset utilization

Royal Caribbean Cruises Ltd.'s return on equity of 43.83%, is higher than 15.00%, indicating good performance

Royal Caribbean Cruises Ltd.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

Royal Caribbean Cruises Ltd. had positive net income in 3 out of 5 years, indicating stable and consistent earnings

Royal Caribbean Cruises Ltd. has positive free cash flow, indicating the company generates cash after capital expenditures

Royal Caribbean Cruises Ltd. has a free cash flow yield of 1.50%, which is below the 2.00% threshold, indicating limited cash return relative to market value

Royal Caribbean Cruises Ltd.'s yearly earnings has increased 48.52% since last year from $2.88B to $4.27B, signaling increasing performance

Royal Caribbean Cruises Ltd.'s yearly revenue has increased 8.80% since last year from $16.48B to $17.93B, signaling increasing performance

ROIC 14.56% (Source: FMP key-metrics). At or above the 10% threshold. Score: 2 of 2. The company is generating returns above the upper end of the typical US weighted-average cost of capital range under this definition of invested capital.

Royal Caribbean Cruises Ltd.'s 3-year revenue CAGR of 26.59% is positive, indicating growing revenue over the past 3 years

Royal Caribbean Cruises Ltd. had revenue growth in 4 out of 5 years, indicating consistent revenue performance

Royal Caribbean Cruises Ltd. had positive ROE in 3 out of 5 years, indicating consistent and reliable returns on equity

Royal Caribbean Cruises Ltd. has insufficient data to evaluate this check.

Royal Caribbean Cruises Ltd. has an earnings yield of 5.31%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings

Royal Caribbean Cruises Ltd. is overvalued relative to its fair value price of 97.37 based on EBITDA multiple model

Royal Caribbean Cruises Ltd. has an EV/EBITDA ratio of 15.10x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

Royal Caribbean Cruises Ltd. is undervalued relative to its fair value price of 333.26 based on Earnings Fair Value model

Royal Caribbean Cruises Ltd. had non-positive diluted EPS five years ago; the PEG ratio is not meaningful and the check fails.

Royal Caribbean Cruises Ltd. has a price-to-book ratio of 7.92x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value

Royal Caribbean Cruises Ltd. has a price-to-sales ratio of 4.43x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue