Expedia Group Inc. (EXPE)vsRoyal Caribbean Cruises Ltd (RCL)
EXPE
Expedia Group Inc.
$228.88
+0.75%
CONSUMER CYCLICAL · Cap: $26.99B
RCL
Royal Caribbean Cruises Ltd
$280.00
-4.53%
CONSUMER CYCLICAL · Cap: $76.82B
Smart Verdict
WallStSmart Research — data-driven comparison
Royal Caribbean Cruises Ltd generates 21% more annual revenue ($18.39B vs $15.17B). RCL leads profitability with a 24.4% profit margin vs 9.8%. EXPE appears more attractively valued with a PEG of 0.74. RCL earns a higher WallStSmart Score of 72/100 (B).
EXPE
Buy59
out of 100
Grade: C
RCL
Strong Buy72
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-12.9%
Fair Value
$206.81
Current Price
$228.88
$22.07 premium
Margin of Safety
-67.2%
Fair Value
$199.66
Current Price
$280.00
$80.34 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 258 in profit
Growing faster than its price suggests
Generating 3.7B in free cash flow
Every $100 of equity generates 46 in profit
Large-cap with strong market position
Keeps 24 of every $100 in revenue as profit
Attractively priced relative to earnings
Strong operational efficiency at 26.2%
Earnings expanding 28.9% YoY
Areas to Watch
Trading at 47.7x book value
Earnings declined 27.3%
Distress zone — elevated risk
Elevated debt levels
Distress zone — elevated risk
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : EXPE
The strongest argument for EXPE centers on Return on Equity, PEG Ratio, Free Cash Flow. Revenue growth of 14.7% demonstrates continued momentum. PEG of 0.74 suggests the stock is reasonably priced for its growth.
Bull Case : RCL
The strongest argument for RCL centers on Return on Equity, Market Cap, Profit Margin. Profitability is solid with margins at 24.4% and operating margin at 26.2%. Revenue growth of 11.3% demonstrates continued momentum.
Bear Case : EXPE
The primary concerns for EXPE are Price/Book, EPS Growth, Altman Z-Score. Debt-to-equity of 8.17 is elevated, increasing financial risk.
Bear Case : RCL
The primary concerns for RCL are Altman Z-Score, Debt/Equity. Debt-to-equity of 2.22 is elevated, increasing financial risk.
Key Dynamics to Monitor
EXPE profiles as a value stock while RCL is a mature play — different risk/reward profiles.
RCL carries more volatility with a beta of 1.78 — expect wider price swings.
EXPE is growing revenue faster at 14.7% — sustainability is the question.
EXPE generates stronger free cash flow (3.7B), providing more financial flexibility.
Bottom Line
RCL scores higher overall (72/100 vs 59/100), backed by strong 24.4% margins and 11.3% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Expedia Group Inc.
CONSUMER CYCLICAL · TRAVEL SERVICES · USA
Expedia Group, Inc. is an American online travel shopping company for consumer and small business travel. Its websites, which are primarily travel fare aggregators and travel metasearch engines, include Expedia.com, Vrbo (previously HomeAway), Hotels.com, Hotwire.com, Orbitz, Travelocity, trivago and CarRentals.com.
Royal Caribbean Cruises Ltd
CONSUMER CYCLICAL · TRAVEL SERVICES · USA
Royal Caribbean Group, formerly known as Royal Caribbean Cruises Ltd., is an American global cruise holding company incorporated in Liberia and based in Miami, Florida, US.
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