Delta Air Lines (DAL) closed the most recent trading day at $53.99, moving -0.13% from the previous trading session. This change was narrower than the S&P 500's 0.28% loss on the day. At the same time, the Dow lost 0.39%, and the tech-heavy Nasdaq lost 0.45%.
Heading into today, shares of the airline had lost 6.55% over the past month, lagging the Transportation sector's loss of 5.49% and the S&P 500's loss of 1.59% in that time.
DAL will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $2.16, up 22.03% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $12.36 billion, up 4.93% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $6.70 per share and revenue of $46.53 billion. These totals would mark changes of +18.58% and +4.72%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for DAL. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. Within the past 30 days, our consensus EPS projection has moved 0.14% higher. DAL is currently a Zacks Rank #3 (Hold).
Looking at its valuation, DAL is holding a Forward P/E ratio of 8.07. This valuation marks a discount compared to its industry's average Forward P/E of 9.76.
It is also worth noting that DAL currently has a PEG ratio of 0.58. 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. The Transportation - Airline industry currently had an average PEG ratio of 0.67 as of yesterday's close.
The Transportation - Airline industry is part of the Transportation sector. This group has a Zacks Industry Rank of 186, putting it in the bottom 28% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Delta Air Lines, Inc. (DAL): Free Stock Analysis Report
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