Delta Air Lines, WK Kellogg, Autodesk, and More
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Delta Air Lines regains momentum with raised guidance, dividend hike, and strong premium, loyalty growth. See why DAL stock is upgraded to buy.
A big reason the stock spiked 13% on Thursday was because of the outlook. It reinstated its annual guidance, calling for earnings of $5.25 to $6.25 per share for the full fiscal year. That’s down from the Q4 guidance but the company did not then foresee the first quarter economic slowdown or massive tariff impact.
With airline stocks, quality matters. American has $29.4 billion in long-term debt, about double Delta's total. While the airline should have the wherewithal to cover that debt, it does leave the company more vulnerable to a potential downturn up ahead.
Delta Air Lines reinstated a profit outlook for the year and said travelers are coming back, prompting its stock to surge amid a fresh sense of confidence in the beaten-down U.S. consumer.
Delta Air Lines posted record revenues on Thursday. Main cabin revenue fell 5%, but rose 5% for premium products as post-pandemic trends continue.
While Delta's commentary on overall demand is promising, Southwest investors would be wise to consider the differences between the two airlines and wait to hear from Southwest management directly. Delta Air Lines provided a surprisingly strong outlook for the second half of the year,
US stocks mostly turn up, shrug off 50% tariff on Brazil. MP Materials soars on Dept of Defense's big stake. Delta outlook lifts airlines.