HomeMost PopularDelta Air Lines (DAL) Exceeds Market Returns: Some Facts to Consider

Delta Air Lines (DAL) Exceeds Market Returns: Some Facts to Consider

Actionable Trade Ideas

always free

Delta Air Lines (DAL) closed the latest trading day at $52.70, indicating a +0.36% change from the previous sessionโ€™s end. The stockโ€™s performance was ahead of the S&P 500โ€™s daily gain of 0.12%. Meanwhile, the Dow experienced a rise of 0.34%, and the technology-dominated Nasdaq saw a decrease of 0.07%.

Shares of the airline have appreciated by 9.74% over the course of the past month, outperforming the Transportation sectorโ€™s gain of 2.42% and the S&P 500โ€™s gain of 4.99%.

The investment community will be closely monitoring the performance of Delta Air Lines in its forthcoming earnings report. The company is predicted to post an EPS of $2.40, indicating a 10.45% decline compared to the equivalent quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $16.31 billion, indicating a 4.68% upward movement from the same quarter last year.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $6.66 per share and a revenue of $61.19 billion, indicating changes of +6.56% and +5.41%, respectively, from the former year.

Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Delta Air Lines. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the companyโ€™s business outlook.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 2.06% higher within the past month. Right now, Delta Air Lines possesses a Zacks Rank of #3 (Hold).

Digging into valuation, Delta Air Lines currently has a Forward P/E ratio of 7.89. This indicates a discount in contrast to its industryโ€™s Forward P/E of 9.28.

One should further note that DAL currently holds a PEG ratio of 0.77. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the companyโ€™s anticipated earnings growth rate. DALโ€™s industry had an average PEG ratio of 0.71 as of yesterdayโ€™s close.

The Transportation โ€“ Airline industry is part of the Transportation sector. This industry currently has a Zacks Industry Rank of 174, which puts it in the bottom 31% of all 250+ industries.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.

Research Chief Names โ€œSingle Best Pick to Doubleโ€

From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.

This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks arenโ€™t winners but this one could far surpass earlier Zacksโ€™ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.

Free: See Our Top Stock And 4 Runners Up

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Delta Air Lines, Inc. (DAL) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Swing Trading Ideas and Market Commentary

Need some new swing ideas? Get free weekly swing ideas and market commentary from Jonathan Bernstein here: Swing Trading.

Explore More

Weekly In-Depth Market Analysis and Actionable Trade Ideas

Get institutional-level analysis and trade ideas to take your trading to the next level, sign up for free and become apart of the community.