Delta Air Lines (DAL) reported quarterly earnings that fell short of analysts’ expectations, but the company still managed to exceed revenue estimates. While the stock’s immediate future is uncertain, Zacks Rank analysis suggests Delta will perform in line with the broader market in the near term. The company’s earnings outlook and industry trends will play key roles in determining its future performance.
Results for: DAL
Delta Air Lines (DAL) stock closed higher on Wednesday, outperforming the broader market. The company’s upcoming earnings release is a key event for investors, with analysts expecting a year-over-year decline in earnings. However, the stock is currently trading at a discount compared to its industry peers, and its Zacks Rank suggests a hold rating.
Delta Air Lines (DAL) is facing a confluence of challenges including overcapacity in the airline market, a significant revenue loss due to a global technology outage, and rising labor costs. These headwinds are expected to impact the company’s earnings for the rest of 2024, resulting in a bearish outlook for the airline. Zacks Investment Research recommends investors steer clear of DAL stock at this time.