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Is Delta Airlines Stock A Buy Despite Global Travel Restrictions?

Benzinga2021-07-16

The return of business travel and expected improvements in company fundamentals have turned Raymond James analysts bullish onDelta, Inc.(NYSE:DAL).

The Delta Analyst:Savanthi Syth upgraded Delta from Market Perform to Strong Buy and set a $58 price target.

The Delta Takeaways:Demand for corporate business travel has recovered to 40% of June 2019’s levels and is expected to rise to 60% in September and as high as 80% by the end of the fourth quarter, Syth said in a Thursday note.

Leisure travel is still lagging, yet Delta CEO Ed Bastian noted in an interview with Yahoo Finance the company has “more demand than [it] can serve,” the analyst said.

To address this, Bastian said the company is hiring 1,000 pilots. Furthermore, Delta is expanding its fleet through 2023, said Syth.

Looking forward, “Delta’s balanced capital deployment strategy” and ability “to grow a higher margin business” should sustain its “relative operational and financial leadership vs. legacy peers,” said the analyst.

DAL Price Action: Delta shares gained 1.65% Thursday, closing at $41.35.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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  • TripleWin
    ·2021-07-16
    Good potential
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    • TripleWin
      Yes, buy
      2021-07-16
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  • GANCL
    ·2021-07-16
    For long term investment 
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  • Charmander
    ·2021-07-16
    Give me a like? ?
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  • Ravivarman
    ·2021-07-16
    ??
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  • 椰子吖
    ·2021-07-16
    [Smile] 
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  • Wastefood
    ·2021-07-16
    Yes
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    • Charmander
      +1
      2021-07-16
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    • pinkishmin
      good pls like back
      2021-07-16
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  • DarwinNg
    ·2021-07-16
    Thanks
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    • JooL
      [Miser]
      2021-07-16
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  • Ahsiang
    ·2021-07-16
    Pwr 
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  • Shishir
    ·2021-07-16
    Hope delta can make business. 
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  • CorrineNaNa
    ·2021-07-16
    Good
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  • loveena
    ·2021-07-16
    No
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  • Bossiwei
    ·2021-07-16
    Ok
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  • Kwgan
    ·2021-07-16
    Ok
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    • Bossiwei
      Ok
      2021-07-16
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    • kwk
      ok
      2021-07-16
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  • Wei L
    ·2021-07-16
    I believe it’s a good buy during the dip and the share price is going to skyrocket when the travel restrictions are lifted
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    • Kwgan
      Ok
      2021-07-16
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    • yiyoyoyi
      k
      2021-07-16
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  • yeelyn18
    ·2021-07-16
    Coolll
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    • SYL_19
      [财迷]
      2021-07-16
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    • Yyk93
      Ok
      2021-07-16
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  • bbarbanida
    ·2021-07-16
    Same sentiment. I believe airline stocks will skyrocket when travel restrictions are lifted. 
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    • ch_r_is
      U got that right!
      2021-07-16
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  • Swifty
    ·2021-07-16
    Hmm
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    • Adollar
      It will raise, travel will pick up
      2021-07-16
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  • Gooooooooood
    ·2021-07-16
    Good
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    • CaptainMiya
      [Strong][Strong]
      2021-07-16
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  • Deonc
    ·2021-07-16
    looking forward for recovery. Please like and comment.
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    • Deonc
      Done.thanks
      2021-07-16
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    • Greg2021
      pls like and comment back
      2021-07-16
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  • Vomous
    ·2021-07-16
    Delta will come back but what it will take a while to swing to profitability and to clear fhe debts
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