Delta Air Lines Stock Tumbles After Earnings

DAL still carries a more than 20% year-to-date deficit

Deputy Editor
Jul 13, 2022 at 9:28 AM
facebook twitter linkedin


Delta Air Lines, Inc. (NYSE:DAL) is down 6.1% at $29.20 ahead of the opening bell, after reporting second-quarter earnings of $1.44 -- well below the $1.73 consensus estimate. Though the airliner's revenue beat forecasts thanks to increased travel demand, margins were dented by higher fuel and operational costs.  

On the charts, today's negative price action puts the equity back below the 20-day moving average after its breakout above it last session -- a trendline that has helped pressure the shares lower since early June. Coming into today, Delta Air Lines stock already sported a 20.5% year-to-date deficit. 

Analysts have yet to weigh in on the results, but the majority in coverage are incredibly bullish coming into today. Specifically, 13 of 14 brokerages rated DAL a "strong buy," while just one said "hold." What's more, the 12-month consensus price target of $51.07 is a 74.9% premium to last night's close.

 

Stop leaving money on the table with the same old broken options trading approach...

There is no options strategy that more perfectly capitalizes during earnings season better than this simple call and put buying strategy. Perfect for aggressive traders looking to recover their suffering portfolios so far in 2022. With the simplest possible options strategy, Schaeffer's team with 100+ years of options trading excellence, target 200% gains on every single trade. So many trades are being beaten down by the market, but don't be one of them! Don't waste another second... join us right now before the next trade is released! 

 
Best stocks for October and worst stocks for October
 


 


 
Special Offers from Schaeffer's Trading Partners