Delta Beats Q2 Estimates, Reaffirms $6.50-$7.50 EPS Outlook Despite Record Fuel Costs
DAL sits 74% above its 52-week low of $50.445.
Summary
Delta reported Q2 results that beat analysts' expectations, despite fuel prices the airline called the highest in its history. Management reaffirmed full-year profit guidance of $6.50 to $7.50 per share, signaling confidence that strong consumer demand and higher fares can offset soaring costs. CEO Ed Bastian said travel remains a priority for consumers and that ticket prices are still a good deal relative to other goods. The CFO noted that the refinery is at 75% throughput and the 'tail of outage' is expected into the third quarter. The stock traded lower on the day, but the reaffirmed outlook provides a concrete earnings floor that traders can model against. This follows a string of positive developments, including a Berkshire Hathaway stake and a dividend hike, but also operational challenges and a refinery fire.
At the time of this announcement, DAL was trading at $87.56 on NYSE in the Energy & Transportation sector, with a market capitalization of approximately $57.5B. The 52-week trading range was $50.45 to $95.68. This news item was assessed with neutral market sentiment and an importance score of 8 out of 10. Source: Dow Jones Newswires.