50% off Premium Yearly

NYSE:DAL
This summary was created by AI, based on 10 opinions in the last 12 months.
Delta Air Lines Inc (DAL) has garnered attention due to its robust management of rising fuel costs and expansion amid increasing global air travel demand. The airline recently reported improved cash reserves and reduced debt, while analysts project solid upside potential with price targets ranging from $58.21 to $94. Despite challenges posed by high fuel costs and market volatility, DAL's unique position, including its own oil refinery and a high proportion of premium seats, suggests it is well-positioned for future growth. Some experts express caution due to the potential impacts of geopolitical tensions and economic factors on consumer demand. Overall, DAL appears to maintain a favorable outlook with analysts recommending it as a top pick for investors.
DAL is up 41% YTD. It reports July 13, with expectations of $14.3B sales and $2.33 EPS. Earnings could double this year on higher fares and lower fuel costs. Debt is still high at 4X cash flow but that is common for the sector. It remains very cheap at 7X earnings and continues to benefit from the travel recovery. A bad recession could hurt, but recent economic numbers have been fine. We like it today.
Unlock Premium - Try 5i Free
Most airline stocks are trading near their 2020 levels despite the major increase in business. Delta is thought to be the best managed airline in North America and this is backed up by a number of surveys. It is a favourite of Wall Street analysts. It is trading at 6X this year's expected earnings as compared to a historical level of 9X so it is well priced. It does not pay a dividend. Buy 21 Hold 0 Sell 0
Not worried about tomorrow's report, because he strongly believes in the CEO. As for AA's guidance today, AA actually increased their estimates last month. The problem is that street's estimates got ahead of itself. Wants to know how international travel is doing this year, after domestic travel did gangbusters last year.
It reports Thursday. DAL have pre-announced their downside already. Shares are beaten down a lot. Can't find a reason to buy this.