Keeping an eye on CES 2023 (the most influential tech event globally),
Delta Air Lines ( DAL Quick Quote DAL - Free Report) has decided to boost its schedule. DAL’s management announced that it will operate additional flights to Las Vegas (which will host the event from Jan 5 to Jan 8) from 16 cities in the United States apart from three of its international hubs.
With the addition of nearly 320 inbound and outbound flights, Las Vegas’ regular January schedule will be boosted by approximately 50% (in terms of seats). It is anticipated that 23,000 seats will be added to/from Las Vegas in the Jan 3-4 and Jan 7-9 periods of which, roughly 5,800 seats will boost the seating capacity in Delta’s four premium cabins during the period.
Justifying the seat additions, Joe Esposito, Delta’s S.V.P., network planning, said: “After two years of virtual programming, we know CES attendees are looking forward to connecting in person, and the Delta team is excited to get them to and from Las Vegas safely and reliably, with the world-class service for which we’re known.”
To meet the likely rush for the event, DAL will operate additional flights to Las Vegas on the conference days from eight of its hubs in the country. In addition, DAL, currently carrying a Zacks Rank #3 (Hold), will operate nonstop flights from locations that it does not otherwise serve nonstop to Las Vegas.
Those cities include Austin, TX; Fort Lauderdale and Orlando, FL, Orange County, CA, and San Diego and San Jose, CA. International fliers willing to attend CES can avail of daily flights operated by Delta and its partners from Amsterdam, London, Paris, Incheon and Mexico City.
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the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The return of in-person gathering after two years at this prestigious tech event is likely to boost the top line further at Delta, which is already being benefited by buoyant passenger revenues on the back of air-travel demand recovery. For example, in second-quarter 2022, operating revenues soared 94% from the year-ago quarter’s figure owing to high passenger revenues.
Stocks to Consider
Some better-ranked stocks in the Zacks
Transportation sector are SkyWest ( SKYW Quick Quote SKYW - Free Report) and C.H. Robinson ( CHRW Quick Quote CHRW - Free Report) .
Continued recovery in air-travel demand bodes well for SkyWest. With an improvement in air-travel demand, SKYW carried 32.7% more passengers in first-half 2022 than the year-ago level. As a result, the passenger load factor (percentage of seats filled by passengers) expanded 1450 basis points to 82.1% in first-half 2022.
SKYW’s fleet-modernization efforts are commendable as well. The positivity surrounding the stock is evident from the Zacks Consensus Estimate for current-year earnings being revised above 100% upward over the past 60 days. SkyWest has a
Momentum Style Score of A. SKYW currently sports a Zacks Rank #1.
C.H. Robinson is being aided by an improving freight scenario in the United States. Efforts to control costs also bode well. Measures to reward CHRW's shareholders instill confidence in the stock further.
CHRW has a pleasant earnings track record. The bottom line surpassed the Zacks Consensus Estimate in three of the trailing four quarters (missing the mark in the remaining one). The stock has witnessed the Zacks Consensus Estimate for 2022 earnings being revised 17.6% upward over the past 60 days. C.H. Robinson currently carries a Zacks Rank #2 (Buy).