Delta and Korean Air extend codesharing
In late March, Delta Air Lines (DAL) and Korean Air announced that they had formed a joint venture. The codesharing, initiated on April 28, allows both airlines to offer 16 peak-day codeshare flights between Seoul and 50 states. On June 1, DAL announced that it is enhancing the codeshare with Korean Air.
According to the press release, 132 Delta-operated flights from different US destinations were coded with Korean Air’s flight number. This move adds to the existing 36 codeshares within Asia.
Delta Asia-Pacific vice president Matteo Curcio said, “Expanding our codeshares in the U.S. is another step to building the best trans-Pacific partnership for our shared customers,” adding, “Our combined network and schedules give customers in the U.S. and Asia significantly enhanced choices.”
Update on DAL’s stock price
Delta Air Lines fell 2.6% and closed at $54.42 on June 1. Despite the fall, DAL was trading marginally above its 100-day moving average of $54.34. Analysts are positive on the stock, recommending a target price of $72.95, which implies a 35% return based on its June 1 closing price.
Year-to-date, Delta Air Lines (DAL) stock has fallen 4.1%. Peers Southwest Airlines (LUV), American Airlines (AAL), and JetBlue Airways (JBLU) have fallen 22.1%, 15.4%, and 16.1%, respectively. DAL’s 14-day RSI (relative strength index) score of 55 indicates that the stock is neither overbought nor oversold. Investors can indirectly hold DAL via the iShares Transportation Average ETF (IYT), which had 3.4% of its portfolio invested in DAL on June 1.