RCLNEUTRAL

RCL Return on Equity (ROE) Analysis

44.7%

Updated 201h ago·SEC filings & market data

Key Takeaway

Return on Equity (ROE) measures profit generated per dollar of shareholder equity, so RCL’s 44.7% means the company earned roughly 44.7 cents of profit for every dollar of equity in the latest period.

Sector Performance

91th percentile

RCL

44.7%

Sector Median

13.3%

Sector Avg

16.9%

Prior Period

49.6%(Jul 2026)

↓ Declining

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Deep Analysis

This is far above the sector median of 13.5%, placing RCL in the 90th percentile among sector peers. Trend data is limited: the year-over-year change is N/A, while the quarter-over-quarter change is -9.9%, with historical values showing a drop from 49.6% to 44.7%. The high ROE level shows strong profitability, but the recent quarterly decline suggests momentum is cooling rather than accelerating. For an investor, the combination of a top-tier ROE with a negative quarterly move implies solid fundamentals but a need for caution on near-term earnings pressure. This metric supports the overall NEUTRAL verdict because the exceptional profitability justifies holding interest, while the recent decline and missing year-over-year trend prevent a more positive assessment.

Frequently Asked Questions

What does the Return on Equity (ROE) tell investors about RCL?

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

How is the Return on Equity (ROE) calculated?

Return on Equity (ROE) is calculated as: Net Income / Shareholders' Equity.

Who are RCL's closest peers by Return on Equity (ROE)?

The closest peers by Return on Equity (ROE) include: LOW (-67.1%), MAR (-69.0%), BMBL (-76.9%), WBA (-82.7%), NIO (-84.0%).

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Learn More About Return on Equity (ROE)

What Is Return on Equity (ROE) and Is Higher Always Better?

Return on equity ROE measures how efficiently a company generates profit from shareholder capital. Learn how to decompose ROE using DuPont analysis and why high leverage can make it dangerous—with Apple and JPMorgan examples.

The Formula

Net Income / Shareholders' Equity

Why It Matters

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.