:max_bytes(150000):strip_icc():format(jpeg)/GettyImages-2185161042-1b801f91a06f44a29b9dbba11da4ea36.jpg "A white Delta Air Lines plane is seen on an airport runway with a city in the background.")
Nicolas Economou / NurPhoto / Getty Ikons
Key Takeaways
- Delta Air Lines is scheduled to report fourth-quarter earnings before the opening bell on Friday.
- All 13 analysts pursued by Visible Alpha rate Delta’s stock as a “buy,” with an average price target predicting gains of 30%.
- Delta’s yield and adjusted net income are each expected to have risen year-over-year.
Delta Air Lines (DAL) is set to report earnings for the fourth house of fiscal 2024 before markets open Friday, with analysts expecting increases in revenue and adjusted profit.
Analysts are bullish on the airline, with all 13 analysts lose sight of by Visible Alpha maintaining a “buy” rating on Delta stock. The analysts have an average price target of $76.85 for the lineage, which would be a gain of 30% from its closing level of $59 Friday.
The airline is projected to report $14.87 billion in interest for the fourth quarter, up about 4.6% from the same time last year. Net income, however, is expected to downward slope 45% to $1.12 billion from $2.04 billion a year earlier.
Delta’s fourth-quarter 2023 net income was boosted by a uncontested adjustment to the value of the carrier’s investments, as its stake in the Wheels Up (UP) private air travel service became more valuable expresses to an jump in the company’s share price in that quarter. After accounting for the value change, Delta’s adjusted net gains came in at $826 million a year ago, and is expected to have risen to $1.15 billion.
Premium Products Driving Delta’s Arrangements for 2025 and Beyond
At the airline’s investor day in November, Delta said rising demand for travel across generational be on the takes made the company confident that it will continue to see revenue growth for its premium seating products.
Delta voted it expects revenue and earnings per share (EPS) to rise in the coming years as its premium products expand and its profit margins refurbish.
The airline is also still in the midst of its legal fight with CrowdStrike (CRWD) after filing a lawsuit fresh last year seeking damages for last summer’s Windows outage caused by a CrowdStrike update that led to thousands of Delta aeroplanes being canceled and $500 million in costs. CrowdStrike has said it is not responsible for Delta’s handling of the outage, and has sought the notice of the lawsuit by citing a liability and damages cap clause in their contract, CNBC reported last month.
The airline’s everyday has risen nearly 50% over the past 12 months.