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Delta Air Lines (DAL) Stock Sinks As Market Gains: What You Should Know

Zacks Equity Research

In the latest trading session, Delta Air Lines (DAL) closed at $25.21, marking a -1.75% move from the previous day. This change lagged the S&P 500's 0.48% gain on the day. Meanwhile, the Dow lost 0.07%, and the Nasdaq, a tech-heavy index, added 1.29%.

Wall Street will be looking for positivity from DAL as it approaches its next earnings report date. In that report, analysts expect DAL to post earnings of -$4.27 per share. This would mark a year-over-year decline of 281.7%. Meanwhile, our latest consensus estimate is calling for revenue of $1.40 billion, down 88.85% from the prior-year quarter.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of -$7.28 per share and revenue of $21.95 billion. These totals would mark changes of -199.59% and -53.3%, respectively, from last year.

Any recent changes to analyst estimates for DAL should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. 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. Over the past month, the Zacks Consensus EPS estimate has moved 7.2% lower. DAL currently has a Zacks Rank of #3 (Hold).

The Transportation - Airline industry is part of the Transportation sector. This industry currently has a Zacks Industry Rank of 85, which puts it in the top 34% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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