UPDATE: Morgan Stanley Upgrades Royal Caribbean Cruises Ltd. to Overweight, Raises PT Awaiting Inflection Point

In a report published Wednesday, Morgan Stanley analyst Andrea Ferraz upgraded the rating on Royal Caribbean Cruises Ltd. RCL from Equal-Weight to Overweight, and raised the price target from $37.00 to $49.00. In the report, Morgan Stanley noted, “Three years of external events have left RCL's underlying revenue yields 6% below peak, but have also triggered a change in culture as management focuses on cost and ROCE. We could be near an inflection point on all these KPIs, with normalised EPS an est. $4.20. We upgrade to Overweight.” Royal Caribbean Cruises Ltd. closed on Tuesday at $38.05.