Delta Air Lines stock in May
In May, Delta Air Lines (DAL) had a good month and regained some lost ground. Delta Air Lines stock rose 3.5% and outperformed its peers and the S&P 500 Index (SPY). JetBlue Airways (JBLU) and Southwest Airlines (LUV) fell 1.6% and 3.7%, while American Airlines (AAL) rose 1.4%. WTI crude oil prices dropped from the peak of $72.35 to $67.04 as of May 31. Positive business developments helped Delta Air Lines’ stock price outperform its peers.
Performance in 2018
As of the closing price on June 5, all of the major airline stocks were still in the red in fiscal 2018. Delta Air Lines has fallen 2.4%, while American Airlines, Southwest Airlines, and JetBlue Airways have declined 15.1%, 22.2%, and 15.6%, respectively. Another decline in crude oil prices could bring some respite to airline companies and help them regain lost ground.
Highlights in May
- Delta unveiled a new uniform for its 64,000 employees worldwide.
- The Trump Administration’s agreement with the United Arab Emirates and Qatar to address subsidies given to state-owned carriers enabled Delta to announce non-stop flights to Mumbai and India next year.
- Delta launched new routes between New-York, Ponta, Delgada, and Azores, between Indianapolis and Paris, and between Atlanta and Lisbon.
- Delta, Air France-KLM, and Virgin Atlantic signed agreements to strengthen transatlantic routes.
- Delta was on the verge of getting the final approval from Los Angeles World Airports’ board to construct the Sky Way at LAX.
Next, we’ll discuss Delta Air Lines’ operational performance in May.