In the latest trading session, Delta Air Lines (DAL - Free Report) closed at $58.06, marking a -1.66% move from the previous day. This change lagged the S&P 500's 0.71% loss on the day. Meanwhile, the Dow lost 0.81%, and the Nasdaq, a tech-heavy index, lost 0.79%.
Coming into today, shares of the airline had gained 5.66% in the past month. In that same time, the Transportation sector gained 3.62%, while the S&P 500 gained 4.77%.
DAL will be looking to display strength as it nears its next earnings release, which is expected to be January 14, 2020. On that day, DAL is projected to report earnings of $1.39 per share, which would represent year-over-year growth of 6.92%. Meanwhile, our latest consensus estimate is calling for revenue of $11.34 billion, up 5.59% from the prior-year quarter.
It is also important to note the recent changes to analyst estimates for DAL. These recent revisions tend to reflect the evolving nature of short-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. 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 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. The Zacks Consensus EPS estimate has moved 2.6% higher within the past month. DAL is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that DAL has a Forward P/E ratio of 8.32 right now. This represents a discount compared to its industry's average Forward P/E of 9.67.
Also, we should mention that DAL has a PEG ratio of 0.69. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. DAL's industry had an average PEG ratio of 0.69 as of yesterday's close.
The Transportation - Airline industry is part of the Transportation sector. This industry currently has a Zacks Industry Rank of 72, which puts it in the top 29% of all 250+ industries.
The Zacks Industry Rank includes is listed in order 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.
You can find more information on all of these metrics, and much more, on Zacks.com.