Delta Air Lines Stock Gains 3% Following Guidance Update

Delta Air Lines (NYSE: DAL) is gearing up to unveil its quarterly earnings on July 10, 2025. Analysts are projecting an earnings per share (EPS) of $1.92 and revenue estimates stand at around $16.16 billion. As a leading entity in the airline sector, Delta is renowned for its steady performance and knack for surpassing earnings forecasts.

Delta boasts a robust track record of outperforming earnings projections, with an average earnings surprise of 10.06% over the preceding two quarters. In its most recent quarter, Delta was anticipated to post earnings of $0.46 per share but reported $0.4 per share, culminating in a 15% surprise. The quarter before that, the consensus estimate was $1.76 per share, and Delta outdid this with $1.85 per share, achieving a 5.11% surprise.

Examining Delta's financial indicators sheds light on its market valuation and operational performance. The company's price-to-earnings (P/E) ratio stands at approximately 8.82, illustrating the market's valuation of its earnings. Its price-to-sales ratio is pegged at about 0.53, indicating a relatively modest market valuation in comparison to its revenue. Furthermore, the enterprise value to sales ratio is around 0.83, reflecting the company's overall valuation against its sales figures.

Delta's financial efficiency is underscored by its enterprise value to operating cash flow ratio of roughly 6.42. This metric offers insights into the company's cash flow efficiency. With an earnings yield of 11.34%, Delta presents a significant return on its earnings relative to its share price. Nonetheless, the debt-to-equity ratio of about 1.44 signals the company's leverage level, and the current ratio of approximately 0.38 may indicate potential liquidity challenges.

Delta is set to host a live conference call and webcast to discuss its financial outcomes for the June quarter of 2025. This event is slated for 10 a.m. ET on July 10, 2025. Stakeholders can access the live webcast at ir.delta.com, with an online replay available shortly after the event's conclusion.

• Delta Air Lines (NYSE:DAL) raises its quarterly dividend by 25% to $0.1875 per share.
• Bernstein maintains an "Outperform" rating on Delta, with a price target adjustment from $61 to $60, indicating a potential increase of approximately 26.16%.
• Delta's operational excellence and commitment to shareholder value are underscored by its market capitalization of approximately $30.79 billion and a trading volume of 3.23 million shares.

Delta Air Lines (NYSE:DAL) has announced a 25% increase in its quarterly dividend, raising it to $0.1875 per share. This dividend will be distributed to shareholders on record by July 31, 2025, with payment scheduled for August 21, 2025. Delta is renowned for its exceptional service and innovation, operating up to 5,000 flights daily and connecting over 290 destinations across six continents.

In 2024, Delta served over 200 million customers and was recognized by J.D. Power for leading in First/Business and Premium Economy Passenger Satisfaction. The airline was also acknowledged as North America's most on-time airline and received the Platinum Award for Operational Excellence from Cirium. Delta remains committed to providing a connected, personalized, and enjoyable travel experience.

On June 18, 2025, Bernstein maintained its "Outperform" grade for Delta, with the stock priced at $47.56. Bernstein adjusted the price target for Delta, lowering it from $61 to $60. Despite this adjustment, the new target still suggests a potential price increase of approximately 26.16% from the current price.

Delta's stock is currently trading at $47.16 on the NYSE, experiencing a slight decrease of 0.85%, with a change of $0.41. The stock has fluctuated between a low of $47.13 and a high of $48.19 today. Over the past year, it reached a high of $69.98 and a low of $34.74, with a market capitalization of approximately $30.79 billion.

Delta's trading volume stands at 3.23 million shares. The company's strong market presence and operational excellence continue to attract investor interest, as highlighted by Bernstein's positive outlook. Delta's commitment to enhancing shareholder value through dividend increases further solidifies its position in the competitive airline industry.

Delta Air Lines, trading as NYSE:DAL, is a major American airline headquartered in Atlanta, Georgia. It operates an extensive domestic and international network, serving over 300 destinations in more than 50 countries. Delta competes with other major airlines like American Airlines and United Airlines. The company is known for its focus on customer service and operational efficiency.

On April 9, 2025, Delta reported earnings per share (EPS) of $0.46, surpassing the estimated $0.38. This performance also exceeded the Zacks Consensus Estimate of $0.40 per share, marking a slight increase from the $0.45 per share reported in the same quarter last year. Despite this, the stock price declined by 3.77%, as highlighted by the company's failure to meet its own guidance of $0.70 to $1.00 per share.

Delta's revenue for the quarter was approximately $12.98 billion, slightly above the estimated $12.97 billion. The company attributes its solid revenue and strong cost performance to its profitability, which remains comparable to the previous year. Delta is projecting an operating margin of 11% to 14% for the June quarter, with expected EPS ranging from $1.70 to $2.30.

The airline's financial metrics reveal a relatively low valuation, with a price-to-earnings (P/E) ratio of 6.79 and a price-to-sales ratio of 0.38. This suggests that investors are paying 38 cents for every dollar of sales. Delta's enterprise value to sales ratio is 0.60, and its enterprise value to operating cash flow ratio is 4.62, indicating a strong ability to cover its enterprise value with operating cash flow.

Delta's debt-to-equity ratio is 1.11, reflecting moderate debt usage. However, the current ratio of 0.37 may indicate potential liquidity concerns in meeting short-term obligations. Despite these challenges, Delta offers an earnings yield of 14.72%, providing a substantial return on investment relative to its share price.

Delta Air Lines, trading as NYSE:DAL, is a major American airline headquartered in Atlanta, Georgia. It operates an extensive domestic and international network, serving over 300 destinations in more than 50 countries. Delta competes with other major airlines like American Airlines and United Airlines. The company is known for its focus on customer service and operational efficiency.

On April 9, 2025, Delta reported earnings per share (EPS) of $0.46, surpassing the estimated $0.38. This performance also exceeded the Zacks Consensus Estimate of $0.40 per share, marking a slight increase from the $0.45 per share reported in the same quarter last year. Despite this, the stock price declined by 3.77%, as highlighted by the company's failure to meet its own guidance of $0.70 to $1.00 per share.

Delta's revenue for the quarter was approximately $12.98 billion, slightly above the estimated $12.97 billion. The company attributes its solid revenue and strong cost performance to its profitability, which remains comparable to the previous year. Delta is projecting an operating margin of 11% to 14% for the June quarter, with expected EPS ranging from $1.70 to $2.30.

The airline's financial metrics reveal a relatively low valuation, with a price-to-earnings (P/E) ratio of 6.79 and a price-to-sales ratio of 0.38. This suggests that investors are paying 38 cents for every dollar of sales. Delta's enterprise value to sales ratio is 0.60, and its enterprise value to operating cash flow ratio is 4.62, indicating a strong ability to cover its enterprise value with operating cash flow.

Delta's debt-to-equity ratio is 1.11, reflecting moderate debt usage. However, the current ratio of 0.37 may indicate potential liquidity concerns in meeting short-term obligations. Despite these challenges, Delta offers an earnings yield of 14.72%, providing a substantial return on investment relative to its share price.

• Delta Air Lines, Inc. (NYSE:DAL) has seen a decline in analysts' average price target over the last quarter, from $67.50 to $62.67, amid concerns of a potential recession impacting consumer demand.
• The airline's stock has declined approximately 38.68% year-to-date, yet shares are considered undervalued due to strong fundamentals and ongoing travel demand.
• Despite short-term challenges, Delta's robust fundamentals and strong travel demand present a compelling buy opportunity, with factors like fuel prices, travel demand, and economic conditions being key considerations for investors.

Delta Air Lines, Inc. (NYSE:DAL) is a major American airline headquartered in Atlanta, Georgia. It operates an extensive domestic and international network, serving over 300 destinations in more than 50 countries. Delta is one of the largest airlines in the world, competing with other major carriers like American Airlines and United Airlines. The company is known for its strong operational performance and customer service.

In the past month, Delta's average price target was $62.67, reflecting a moderately optimistic short-term outlook from analysts. However, UBS analyst Myles Walton has set a lower price target of $48, indicating a more cautious stance. This discrepancy may be due to concerns about a potential recession and its impact on consumer demand, as highlighted by recent market trends.

Three months ago, the average price target for Delta was $67.50, showing a decline in analysts' expectations over the last quarter. This drop aligns with the airline's year-to-date stock decline of approximately 38.68%. Despite this, Delta's shares are considered undervalued due to strong fundamentals and ongoing travel demand, as noted by TSA data.

A year ago, the average price target was $64.44, slightly higher than the current target. This suggests tempered expectations from analysts over the year. Factors such as reduced high-end travel and economic uncertainty have contributed to this sentiment. However, the decline in fuel prices is expected to improve profit margins, supporting Delta's potential for earnings growth.

Overall, Delta's consensus price target has seen a slight decline over the past year, with a more noticeable drop in the last quarter. Investors should consider factors like fuel prices, travel demand, and economic conditions when evaluating the stock. Despite short-term challenges, Delta's robust fundamentals and strong travel demand present a compelling buy opportunity.

• Delta Air Lines, Inc. (NYSE:DAL) has seen a decline in analysts' average price target over the last quarter, from $67.50 to $62.67, amid concerns of a potential recession impacting consumer demand.
• The airline's stock has declined approximately 38.68% year-to-date, yet shares are considered undervalued due to strong fundamentals and ongoing travel demand.
• Despite short-term challenges, Delta's robust fundamentals and strong travel demand present a compelling buy opportunity, with factors like fuel prices, travel demand, and economic conditions being key considerations for investors.

Delta Air Lines, Inc. (NYSE:DAL) is a major American airline headquartered in Atlanta, Georgia. It operates an extensive domestic and international network, serving over 300 destinations in more than 50 countries. Delta is one of the largest airlines in the world, competing with other major carriers like American Airlines and United Airlines. The company is known for its strong operational performance and customer service.

In the past month, Delta's average price target was $62.67, reflecting a moderately optimistic short-term outlook from analysts. However, UBS analyst Myles Walton has set a lower price target of $48, indicating a more cautious stance. This discrepancy may be due to concerns about a potential recession and its impact on consumer demand, as highlighted by recent market trends.

Three months ago, the average price target for Delta was $67.50, showing a decline in analysts' expectations over the last quarter. This drop aligns with the airline's year-to-date stock decline of approximately 38.68%. Despite this, Delta's shares are considered undervalued due to strong fundamentals and ongoing travel demand, as noted by TSA data.

A year ago, the average price target was $64.44, slightly higher than the current target. This suggests tempered expectations from analysts over the year. Factors such as reduced high-end travel and economic uncertainty have contributed to this sentiment. However, the decline in fuel prices is expected to improve profit margins, supporting Delta's potential for earnings growth.

Overall, Delta's consensus price target has seen a slight decline over the past year, with a more noticeable drop in the last quarter. Investors should consider factors like fuel prices, travel demand, and economic conditions when evaluating the stock. Despite short-term challenges, Delta's robust fundamentals and strong travel demand present a compelling buy opportunity.

• Delta Air Lines (NYSE:DAL) reported earnings per share of $1.85, beating estimates and showcasing strong financial health.
• The company's revenue of approximately $15.56 billion exceeded expectations, driven by a significant increase in cargo revenues.
• Delta's financial metrics, including a P/E ratio of 11.52 and a debt-to-equity ratio of 1.11, reflect its market valuation and financial stability.

Delta Air Lines (NYSE:DAL) is a major American airline, known for its extensive domestic and international flight network. It competes with other major airlines like American Airlines and United Airlines. On January 10, 2025, Delta reported earnings per share of $1.85, surpassing the estimated $1.74, and actual revenue of approximately $15.56 billion, exceeding the estimated $14.19 billion.

During the Q4 2024 earnings conference call, led by CEO Ed Bastian and other key executives, Delta's financial performance was discussed in detail. The call, attended by analysts from Goldman Sachs, Barclays, and JPMorgan, highlighted Delta's strong earnings amid a 3% rise in crude oil prices. Despite this, U.S. stocks, including the Nasdaq Composite, experienced a downturn.

Delta's impressive financial performance in Q4 2024 was partly driven by a 32% year-over-year increase in cargo revenues. This growth contributed to the company's earnings surpassing estimates, showcasing Delta's ability to capitalize on its cargo operations. The strong performance provides a positive outlook for the company moving forward.

Delta's financial metrics offer insights into its market valuation and financial health. With a price-to-earnings (P/E) ratio of approximately 11.52, investors are willing to pay $11.52 for each dollar of earnings. The price-to-sales ratio of about 0.68 indicates that investors pay 68 cents for every dollar of sales, while the enterprise value to sales ratio of 0.91 reflects the company's valuation relative to its revenue.

The company's enterprise value to operating cash flow ratio is approximately 6.97, indicating its cash flow generation relative to its valuation. An earnings yield of about 8.68% provides a perspective on the return on investment. Delta's debt-to-equity ratio of approximately 1.11 shows the proportion of debt used to finance its assets, and a current ratio of around 0.37 highlights its ability to cover short-term liabilities with short-term assets.