RCCL Stock

[Kenneth]

I was curious has anyone heard when Royal will start back up with the dividend stock program? Maybe this question has been answered somewhere else if so please point me in that direction.

[Rogillioville]

as far as I know it is available to you now, unless it changed in the past month or so (we received it for a May cruise).

[BoxerMomNC]

We completed the form and received a confirmation email that the onboard credit was applied to our account last week. It took maybe a week total.  

[wordell1]

6 hours ago, Kenneth said:

I was curious has anyone heard when Royal will start back up with the dividend stock program? Maybe this question has been answered somewhere else if so please point me in that direction.

They are still not profitable.  They had to borrow huge sums of money to keep up with expenses during Covid with zero income for well over a year, and reduced income up until very recently.  There are still extra exoenses they incur due to covid protocols.

Pre Covid, they were very profitable and stable - there is every reason to hope that this will return, but they have a lot of debt to pay down before thinking about reinstating the dividend.

[Kenneth]

Sorry for the confusion. I was referring to has Royal Caribbean started giving it's shareholders more shares in it's stock? Since their stock is a divended stock and the onboard credit is an added benefit of owning stock in their company.

[leesam82]

Personally I don't see dividends returning this year. As another poster pointed out, the COVID pandemic put a lot of strain on RCL as a company. They still have a lot of debt on their books. Although cruising has returned, RCL has some major capital commitments such their new ships ICON OTS and Utopia OTS as well as infrastructure build outs at Coco Cay and perfect day at Lelepa building out. Plus with a lot of macro economic factors impacting RCL negatively, I just can't see them returning any dividends this year. I personally think that possibly dividends may return when the company starts announcing a restart of its Amplification projects (not just maintenance drydocks) as this would point to more cash flow. If I were to put money on when dividends would return, I would say possibly end of summer 2023/early fall 2023. I hope by that time the negative macro economic factors would work itself out or at least subside. As long as a recession doesn't hit I will say that the demand for cruising will only increase putting more money back into the company. 

[wordell1]

5 hours ago, Kenneth said:

Sorry for the confusion. I was referring to has Royal Caribbean started giving it's shareholders more shares in it's stock? Since their stock is a divended stock and the onboard credit is an added benefit of owning stock in their company.

RCL has paid dividends in the past but has not paid any dividend since the start of the pandemic.  As discussed, they are not currently profitable and as such are not likely to reinstate the dividend until they are showing a profit.

Dividends are typically paid by financially healthy companies where their profits exceed their plan for future growth.  They are paid in cash, but many brokerages allow you to choose to automatically reinvest into the stock.  If you have received stock in the past, it is because you have that set in your brokerage account.

 

[Pattycruise]

This might be info you are looking for

https://www.fool.com/investing/2021/02/19/royal-caribbean-debt-restructuring-prohibits-divid/

 

 

[FSUFAN]

RCCL (and most cruise stocks) are dogs of the Dow right now.  New Covid variants have the big traders in a nervous state for most travel related stuff. Saying that, I do have my requisite 100 shares.  I'll need to cruise about 15 times to make up for the lost value  from my buy price. 

[KristiZ]

15 minutes ago, FSUFAN said:

I'll need to cruise about 15 times to make up for the lost value  from my buy price. 

Not actually seeing a downside here...