Delta Air Lines, Inc. (NYSE:DAL) Receives Average Rating of "Moderate Buy" from Analysts

Key Points

• Analysts maintain a favorable outlook: Delta Air Lines has a consensus “Moderate Buy” rating, with 23 buy recommendations and two holds among 25 analysts. The average 12-month price target is approximately $99.84, above the reported share price of $81.09.
• Recent financial results exceeded expectations: Delta reported quarterly EPS of $1.56 versus the $1.49 consensus estimate, while revenue reached $17.67 billion. Revenue increased 18.7% year over year.
• Insiders have been selling shares while institutional ownership remains high: Executives sold 356,726 shares worth about $33.1 million over the past 90 days, while institutional investors and hedge funds own 69.93% of the company. Delta also increased its quarterly dividend to $0.215 per share.

Delta Air Lines, Inc. (NYSE:DAL - Get Free Report) has received a consensus rating of "Moderate Buy" from the twenty-five ratings firms that are presently covering the stock, MarketBeat reports. Two analysts have rated the stock with a hold recommendation and twenty-three have assigned a buy recommendation to the company. The average 12-month price target among analysts that have issued a report on the stock in the last year is $99.8391.

Several research analysts have recently commented on DAL shares. UBS Group boosted their price target on Delta Air Lines from $107.00 to $112.00 and gave the stock a "buy" rating in a research report on Monday, July 13th. Argus set a $105.00 target price on Delta Air Lines in a research note on Tuesday, July 14th. Morgan Stanley boosted their target price on shares of Delta Air Lines from $115.00 to $125.00 and gave the stock an "overweight" rating in a report on Friday, July 10th. The Goldman Sachs Group reissued a "buy" rating on shares of Delta Air Lines in a research report on Monday, August 3rd. Finally, Benchmark reiterated a "buy" rating on shares of Delta Air Lines in a research note on Wednesday, July 8th.

Insider Activity

In other Delta Air Lines news, CEO Edward H. Bastian sold 206,510 shares of the stock in a transaction dated Tuesday, August 4th. The stock was sold at an average price of $92.80, for a total value of $19,164,128.00. Following the completion of the sale, the chief executive officer directly owned 1,363,448 shares in the company, valued at approximately $126,527,974.40. This trade represents a 13.15% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, EVP Steven M. Sear sold 40,460 shares of the business's stock in a transaction dated Wednesday, August 5th. The stock was sold at an average price of $93.55, for a total value of $3,785,033.00. Following the sale, the executive vice president owned 104,404 shares in the company, valued at $9,766,994.20. The trade was a 27.93% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 356,726 shares of company stock worth $33,081,037. Company insiders own 0.80% of the company's stock.

Institutional Trading of Delta Air Lines

A number of institutional investors have recently bought and sold shares of the stock. Advus Financial Partners LLC acquired a new stake in shares of Delta Air Lines during the second quarter worth $226,000. VIRGINIA RETIREMENT SYSTEMS ET Al purchased a new stake in shares of Delta Air Lines during the second quarter valued at $28,829,000. California State Teachers Retirement System increased its position in shares of Delta Air Lines by 8,578.7% in the 2nd quarter. California State Teachers Retirement System now owns 18,516,676 shares of the transportation company's stock valued at $1,734,272,000 after acquiring an additional 18,303,318 shares during the period. Alan B Lancz & Associates Inc. acquired a new position in shares of Delta Air Lines in the 2nd quarter valued at $211,000. Finally, Ameritas Advisory Services LLC purchased a new position in Delta Air Lines in the 2nd quarter worth $838,000. 69.93% of the stock is currently owned by institutional investors and hedge funds.

Delta Air Lines Trading Down 2.4%

Shares of NYSE DAL opened at $81.09 on Friday. Delta Air Lines has a twelve month low of $55.03 and a twelve month high of $95.68. The firm has a market cap of $53.33 billion, a PE ratio of 13.45, a price-to-earnings-growth ratio of 1.15 and a beta of 1.31. The business has a fifty day simple moving average of $87.81 and a two-hundred day simple moving average of $76.61. The company has a quick ratio of 0.35, a current ratio of 0.42 and a debt-to-equity ratio of 0.48.

Delta Air Lines (NYSE:DAL - Get Free Report) last posted its quarterly earnings results on Thursday, July 9th. The transportation company reported $1.56 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.49 by $0.07. The business had revenue of $17.67 billion for the quarter, compared to the consensus estimate of $17.43 billion. Delta Air Lines had a return on equity of 17.52% and a net margin of 5.79%.The business's revenue was up 18.7% compared to the same quarter last year. During the same quarter in the prior year, the company earned $2.10 EPS. Analysts expect that Delta Air Lines will post 6.23 earnings per share for the current fiscal year.

Delta Air Lines Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, July 30th. Stockholders of record on Thursday, July 9th were given a dividend of $0.215 per share. The ex-dividend date of this dividend was Thursday, July 9th. This is a boost from Delta Air Lines's previous quarterly dividend of $0.19. This represents a $0.86 dividend on an annualized basis and a dividend yield of 1.1%. Delta Air Lines's payout ratio is currently 14.26%.

Delta Air Lines Company Profile

Delta Air Lines is a major U.S.-based global airline that provides scheduled passenger and cargo air transportation, aircraft maintenance and repair services, and related travel products. Its operations include mainline domestic and international passenger services, a branded regional network operating under the Delta Connection name, dedicated air cargo carriage, and in-house maintenance, repair and overhaul through Delta TechOps. Delta offers a range of cabin products for different customer segments, including premium business-class service on long-haul routes and tiered economy offerings on domestic and international flights, and it markets customer loyalty benefits through the SkyMiles frequent-flyer program.

The carrier operates a mixed fleet of narrow- and wide-body aircraft from multiple U.S.

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