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NYSE:DAL

Delta Air Lines Inc (DAL)

84.06
-0.12 (0.14%)
as of Jun 18, 2026, 10:51:52 pm Market Open.
87 watching
0
WATCH
It reports Thursday. Look for comments about future projections, past Omicron. Do they think business travellers will come back? Will fares rise? He's skeptical about how far Delta can go in this environment, full of Omicron worries.
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Curated by Michael O'Reilly since 2020.
1550+ opinions with 4.81 rating (one of the best performing expert).

PAST TOP PICK
(A Top Pick Jun 10/21, Down 24.8%)Stockchase Research Editor: Michael O'Reilly Our PAST TOP PICK with DAL has triggered its stop at $35. To remain disciplined, we recommend covering the position at this time. We will look for better opportunities.
DON'T BUY
They report Wednesday. They'd do a lot better if there was a Covid passport in the U.S. as they do in Europe, where they're ahead in things like this. Travel realities will impact Delta's earnings.
BUY

Bank of America reports there's an 8% increase in travel vs. 2019 (not 2020 during Covid). This trend will benefit American Airlines and Delta (his favourite airline), especially when international travel returns. True, shares have run up, but he feels there's still plenty of runway left.

COMMENT
They report next week. How is the Delta variant impacting Delta? Will business travellers come back? That's hard to read.
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Curated by Michael O'Reilly since 2020.
1550+ opinions with 4.81 rating (one of the best performing expert).

TOP PICK

Stockchase Research Editor: Michael O'Reilly At some point travelers will return to flying. Analysts at Jefferies upgraded the company, calling for $60. They see the exposure to renewed corporate and transatlantic travel as key. Morgan Stanley has them as the only air carrier they recommend to overweight. With EPS projected around $4 next year, it's priced at 12x earnings today. Now is the time step on board. We would buy this with a stop loss at $35, looking to achieve $55 -- upside over 17%. Yield 0% (Analysts’ price target is $54.76)

COMMENT
How to play the U.S. reopening in a short-term trade. Buy airlines. People will probably fly to get their favourite place. A lot of people, from what he sees on social media, are travelling finally after waiting the past year. Delta has been flat compared to peers, so it offers upside among airlines.
DON'T BUY
Based on analyst Larry Williams' true seasonal index Younger investors love the airlines, but Williams has a very negative outlook for them. Meanwhile, Williams forecasts--based on the last 11 years' patterns--a market rally starting right before Christmas and into early-January, except certain sectors including airlines.
DON'T BUY

UAL-Q or DAL-N. The airlines are the most prominent businesses that suffered directly from COVID and it is difficult to know when it will improve. Most of these companies have raised money recently. Both score poorly on most metrics he looks at. He would prefer AC-T over these two as it is liable to get government support. CHR-T also.

SELL
He had bought it in 2015/16 on the premise that the airlines were a lot more rational. This one was going to make a lot of money on their credit card. In early March he exited. He could have acted sooner. Companies with zero revenue will have impaired balance sheets if they have debt. Retail and restaurants will be hurt in the short term.
WAIT
He would not go near an airline stock right now. Wait until they are bailed out. This is a high volatility trade. You may be able to wait 1 to 2 years.
TOP PICK
People hated airlines, but the industry has changed. You pay extra for everything. The industry has taken a hit during the outbreak which is temporary. It trades under 10x earnings, cheap. DAL is a low-cost cheap provider and not unionized. (Analysts’ price target is $69.85)
PAST TOP PICK
(A Top Pick Jan 25/19, Up 32%) Delivered a home run earnings report today. Great earnings. They are buying fuel-efficient planes. In 2021-22, this can earn $10/share. They've been generating profits since 2015 and hopes Delta will finally be rewarded by the media. Emerging market wealth in Asia and India means more travellers.
WEAK BUY
They're doing fine. Consolidation is what made Buffet take a closer look. International routes is where the money is. Earnings beat expectations this past quarter. There is consolidation in the business. The wild card is rising oil prices. If it rises, stock prices will suffer. Dividend growth of 19% so plenty of free cashflow.
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