Delta Air Lines (DAL) Exceeds Market Returns: Some Facts to Consider

Delta Air Lines (DAL) ended the recent trading session at $48.25, demonstrating a +2.22% change from the preceding day's closing price. The stock's change was more than the S&P 500's daily gain of 0.96%. Elsewhere, the Dow gained 0.89%, while the tech-heavy Nasdaq added 0.94%. The stock of airline has fallen by 1.5% in the past month, leading the Transportation sector's loss of 2.22% and undershooting the S&P 500's gain of 0.5%.The investment community will be closely monitoring the performance of Delta Air Lines in its forthcoming earnings report. In that report, analysts expect Delta Air Lines to post earnings of $1.92 per share. This would mark a year-over-year decline of 18.64%. Alongside, our most recent consensus estimate is anticipating revenue of $16.18 billion, indicating a 2.88% downward movement from the same quarter last year. In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $5.08 per share and a revenue of $60.55 billion, indicating changes of -17.53% and -1.77%, respectively, from the former year. It is also important to note the recent changes to analyst estimates for Delta Air Lines. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential. Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system. The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there's been a 3.46% fall in the Zacks Consensus EPS estimate. At present, Delta Air Lines boasts a Zacks Rank of #3 (Hold). Looking at its valuation, Delta Air Lines is holding a Forward P/E ratio of 9.3. This indicates a premium in contrast to its industry's Forward P/E of 9.05. Investors should also note that DAL has a PEG ratio of 2.39 right now. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. DAL's industry had an average PEG ratio of 0.84 as of yesterday's close. The Transportation - Airline industry is part of the Transportation sector. With its current Zacks Industry Rank of 70, this industry ranks in the top 29% of all industries, numbering over 250. The Zacks Industry Rank gauges the strength of our individual 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. Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions. Don’t Miss Out on These Stocks Before you make your next investing move, we have a free report that highlights the %%CTA_TEXT%% to buy.Our experts at Zacks Investment Research hand-selected these stocks for their eye-opening growth projections.Since 1988, our stock picks have more than doubled the S&P 500 with an average gain of +23.89% per year using the Zacks Rank stock-rating system.Register now to see the %%CTA_TEXT%%.7 best stocksWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Delta Air Lines, Inc. (DAL): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks