Analysts’ consensus on Delta Air Lines
Since the beginning of 2017, 18 analysts have been actively tracking Delta Air Lines (DAL). All of the analysts have a “buy” rating on the stock. None of the analysts recommend a “hold” or a “sell.”
Analysts’ consensus on Delta Air Lines indicates a target price of $70.76, which implies a return potential of 30.50% over the closing price of $53.84 as of June 20. In the past three months, analysts lowered Delta Air Lines’ target price from $72.30 to the current target price due to the continued increase in oil prices. However, with oil prices cooling down from the peak, analysts might increase Delta Air Lines’ target price.
Delta Air Lines’ first-quarter earnings beat analysts’ estimate. Currently, everyone’s eyes are on crude oil prices—one of the major determining factors for airline stocks. The decline in crude oil prices from the four-year peak was a relief for airline stocks. Delta Air Lines has new routes, which will likely improve its available seat miles and revenue per available seat miles. As a result, analysts are bullish on the stock and recommend a “buy.”
- Raymond James (RJF) reduce its target price for Delta Air Lines from $68 to 66, which implies a return potential of 22.6% over its closing price of $54.44 on June 20.
- Deutsche Bank (DB) cut Delta Air Lines’ target price to $64, which implies a return potential of 18.9% over its closing price on June 20.
- Buckingham Research recommended a target price of $70 for Delta Air Lines, which indicates a possible upside of 30.0% from its closing price on June 20.
Investors looking for indirect exposure to Delta Air Lines could invest in the SPDR S&P Transportation ETF (XTN), which has invested 2.3% of its portfolio in Delta Air Lines. XTN also provides exposure to FedEx (FDX) with a weight of 2.5% as of June 20.