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Delta Air Lines (DAL) Gains As Market Dips: What You Should Know
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Delta Air Lines (DAL - Free Report) closed at $47.88 in the latest trading session, marking a +1.16% move from the prior day. This change outpaced the S&P 500's 0.29% loss on the day. At the same time, the Dow lost 0.55%, and the tech-heavy Nasdaq gained 1.24%.
Prior to today's trading, shares of the airline had gained 21.02% over the past month. This has outpaced the Transportation sector's gain of 6.51% and the S&P 500's gain of 3.1% in that time.
Investors will be hoping for strength from Delta Air Lines as it approaches its next earnings release, which is expected to be July 13, 2023. The company is expected to report EPS of $2.42, up 68.06% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $15.01 billion, up 8.57% from the year-ago period.
DAL's full-year Zacks Consensus Estimates are calling for earnings of $6.20 per share and revenue of $55.84 billion. These results would represent year-over-year changes of +93.75% and +10.4%, respectively.
Investors might also notice recent changes to analyst estimates for Delta Air Lines. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 13.41% higher within the past month. Delta Air Lines currently has a Zacks Rank of #3 (Hold).
Investors should also note Delta Air Lines's current valuation metrics, including its Forward P/E ratio of 7.63. For comparison, its industry has an average Forward P/E of 11.54, which means Delta Air Lines is trading at a discount to the group.
Investors should also note that DAL has a PEG ratio of 0.2 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Transportation - Airline industry currently had an average PEG ratio of 0.28 as of yesterday's close.
The Transportation - Airline industry is part of the Transportation sector. This group has a Zacks Industry Rank of 66, putting it in the top 27% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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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Delta Air Lines (DAL) Gains As Market Dips: What You Should Know
Delta Air Lines (DAL - Free Report) closed at $47.88 in the latest trading session, marking a +1.16% move from the prior day. This change outpaced the S&P 500's 0.29% loss on the day. At the same time, the Dow lost 0.55%, and the tech-heavy Nasdaq gained 1.24%.
Prior to today's trading, shares of the airline had gained 21.02% over the past month. This has outpaced the Transportation sector's gain of 6.51% and the S&P 500's gain of 3.1% in that time.
Investors will be hoping for strength from Delta Air Lines as it approaches its next earnings release, which is expected to be July 13, 2023. The company is expected to report EPS of $2.42, up 68.06% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $15.01 billion, up 8.57% from the year-ago period.
DAL's full-year Zacks Consensus Estimates are calling for earnings of $6.20 per share and revenue of $55.84 billion. These results would represent year-over-year changes of +93.75% and +10.4%, respectively.
Investors might also notice recent changes to analyst estimates for Delta Air Lines. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 13.41% higher within the past month. Delta Air Lines currently has a Zacks Rank of #3 (Hold).
Investors should also note Delta Air Lines's current valuation metrics, including its Forward P/E ratio of 7.63. For comparison, its industry has an average Forward P/E of 11.54, which means Delta Air Lines is trading at a discount to the group.
Investors should also note that DAL has a PEG ratio of 0.2 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Transportation - Airline industry currently had an average PEG ratio of 0.28 as of yesterday's close.
The Transportation - Airline industry is part of the Transportation sector. This group has a Zacks Industry Rank of 66, putting it in the top 27% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.