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Royal Caribbean Cruises Ltd. RCL recently announced an agreement with Chantiers de l'Atlantique to build a sixth Edge Series ship for Celebrity Cruises. Scheduled for delivery in 2028, the new vessel, referred to as Edge 6 or "Xcel 2," will join the likes of Celebrity Xcel (set to launch in November 2025), Celebrity Ascent, Celebrity Beyond, Celebrity Apex and Celebrity Edge.
Celebrity Cruises’ Edge Series focuses on premium cruising by combining cutting-edge design with exceptional guest experiences. The upcoming Edge 6 will build upon unique offerings, such as the Magic Carpet, the world’s first cantilevered floating platform at sea and Infinite Veranda staterooms that dissolve the boundaries between ship and shore.
According to Jason Liberty, president and CEO of Royal Caribbean Group, the addition of Edge 6 in partnership with Chantiers de l'Atlantique marks another significant step in the company’s mission to deliver world-class vacations with a commitment to responsible growth.
RCL’s Focus on New Ship Addition Bodes Well
RCL focuses on new, innovative ships and onboard experiences to differentiate its offering as well as deliver superior yields and margins. During the third quarter of 2024, RCL launched Utopia of the Seas, a new ship quickly reshaping its short Caribbean offerings. The ship serves as a crucial entry point for first-time cruisers and newcomers to the brand, particularly appealing to millennials and younger guests. Demand for Utopia has significantly outpaced expectations in both ticket pricing and onboard revenues.
Building on the strong market reception of Icon of the Seas and the anticipation surrounding Star of the Seas, the company announced plans to construct a fourth Icon-class ship, expected to join the Royal Caribbean fleet in 2027. Other expansions include Royal Caribbean’s Star of the Seas, debuting in mid 2025. The seventh Oasis-class ship is scheduled for 2028.
Royal Caribbean Stock Price Performance
Image Source: Zacks Investment Research
Shares of RCL have gained 21% in the past three months compared with the industry's 9.5% growth. The company is benefiting from strong cruising demand from new and loyal guests and robust booking trends. The company's flexible sourcing model, AI-driven yield management tools and brand appeal enable it to attract a wide array of guests, including younger demographics and higher-yielding customers.
Also, strength in consumer spending onboard and pre-cruise purchases bodes well. Going forward, the company emphasized investing in a modern digital travel platform to streamline the vacation booking process for customers and expand wallet share. Earnings estimates for 2025 have increased in the past 60 days, depicting analysts' optimism regarding the stock growth potential.