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Delta Air Lines (DAL) Increases Despite Market Slip: Here's What You Need to Know

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Delta Air Lines (DAL - Free Report) closed the latest trading day at $48.22, indicating a +0.73% change from the previous session's end. The stock outperformed the S&P 500, which registered a daily loss of 0.2%. Elsewhere, the Dow saw a downswing of 0.6%, while the tech-heavy Nasdaq appreciated by 0.11%.

Coming into today, shares of the airline had gained 13.54% in the past month. In that same time, the Transportation sector lost 0.05%, while the S&P 500 gained 3.32%.

The investment community will be closely monitoring the performance of Delta Air Lines in its forthcoming earnings report. The company is scheduled to release its earnings on April 10, 2024. The company is predicted to post an EPS of $0.33, indicating a 32% growth compared to the equivalent quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $12.88 billion, up 0.92% from the year-ago period.

For the full year, the Zacks Consensus Estimates project earnings of $6.55 per share and a revenue of $57.86 billion, demonstrating changes of +4.8% and -0.33%, respectively, from the preceding year.

Investors should also take note of any recent adjustments to analyst estimates for Delta Air Lines. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. 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.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.24% lower. Right now, Delta Air Lines possesses a Zacks Rank of #3 (Hold).

In terms of valuation, Delta Air Lines is presently being traded at a Forward P/E ratio of 7.31. This represents a discount compared to its industry's average Forward P/E of 8.99.

One should further note that DAL currently holds a PEG ratio of 0.78. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Transportation - Airline industry had an average PEG ratio of 0.81 as trading concluded yesterday.

The Transportation - Airline industry is part of the Transportation sector. Currently, this industry holds a Zacks Industry Rank of 51, positioning it in the top 21% 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.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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