It's been a good week for Royal Caribbean Cruises (NYSE: RCL) investors. Shares of the world's second-largest cruise line operator hit another all-time high on Tuesday. The stock that more than doubled last year is up another 32% so far in 2024. The shares are up a blistering 245% since the start of last year. Things could get even better later this week.

Royal Caribbean will step up with its second-quarter results on Thursday morning. There's a lot riding on the fresh financials, but the cruise line with a fleet of 68 ships across a couple of different banners has more than just momentum on its side. Demand has never been stronger for Royal Caribbean and its peers  (NYSE: CCL) (NYSE: CUK) and Norwegian Cruise Line (NYSE: NCLH). The tailwinds are there. Let's size up Royal Caribbean's prospects heading into its quarterly update and see where the potential headwinds can shift the stock out of cruise control.

A stock hitting an all-time high just before it reports earnings can be a red flag. Expectations are going to be high, but Royal Caribbean has been up to the task lately. Analysts see revenue climbing 19% to top $4 billion, just ahead of the better-than-expected 18% year-over-year growth that Carnival posted last month. They also see Royal Caribbean's net income soaring 51% to $2.75 a share, a figure that keeps inching higher. Wall Street pros were modeling a second-quarter profit of just $2.37 a share three months earlier.

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Source Fool.com