In the latest trading session, Delta Air Lines (DAL) closed at $59.27, marking a -2.16% move from the previous day. This change lagged the S&P 500's 0.21% loss on the day. Elsewhere, the Dow saw a downswing of 0.07%, while the tech-heavy Nasdaq appreciated by 0.01%.
The airline's stock has dropped by 19.23% in the past month, falling short of the Transportation sector's loss of 5.18% and the S&P 500's loss of 2.26%.
Analysts and investors alike will be keeping a close eye on the performance of Delta Air Lines in its upcoming earnings disclosure. In that report, analysts expect Delta Air Lines to post earnings of $0.72 per share. This would mark year-over-year growth of 56.52%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $14.57 billion, up 3.74% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $7.21 per share and revenue of $65.96 billion, which would represent changes of +23.88% and +4.1%, respectively, from the prior year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Delta Air Lines. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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 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. Within the past 30 days, our consensus EPS projection has moved 0.07% lower. Delta Air Lines is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, Delta Air Lines is holding a Forward P/E ratio of 8.4. This denotes a premium relative to the industry average Forward P/E of 8.28.
It's also important to note that DAL currently trades at a PEG ratio of 0.58. 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 was holding an average PEG ratio of 0.48 at yesterday's closing price.
The Transportation - Airline industry is part of the Transportation sector. Currently, this industry holds a Zacks Industry Rank of 21, positioning it in the top 9% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming 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 ReportThis article originally published on Zacks Investment Research (zacks.com).
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