What's Going On With Delta Air Lines (DAL) Shares?
Portfolio Pulse from Henry Khederian
Delta Air Lines (DAL) shares are down 1.9% to $43.26, marking a 7.6% decrease for July. The stock was volatile last week, influenced by financial reports from American Airlines (AAL) and Southwest Airlines (LUV). Delta faces financial difficulties due to a system failure causing flight cancellations and a federal investigation. Citigroup cut Delta’s Q3 earnings estimate by 60 cents per share to $1.37, predicting a $350 million hit to operating profit and potential fines. Industry-wide issues like rising operating costs and capacity management challenges are also affecting Delta.
July 29, 2024 | 7:04 pm
News sentiment analysis
Sort by:
Ascending
NEGATIVE IMPACT
Delta Air Lines shares are down 1.9% to $43.26, marking a 7.6% decrease for July. The stock was volatile last week, influenced by financial reports from American Airlines and Southwest Airlines. Delta faces financial difficulties due to a system failure causing flight cancellations and a federal investigation. Citigroup cut Delta’s Q3 earnings estimate by 60 cents per share to $1.37, predicting a $350 million hit to operating profit and potential fines.
Delta's stock is negatively impacted by a combination of internal issues (system failure, federal investigation) and external pressures (industry-wide cost increases). Citigroup's significant cut to Q3 earnings estimates further exacerbates investor concerns.
CONFIDENCE 95
IMPORTANCE 90
RELEVANCE 100
NEUTRAL IMPACT
American Airlines' financial reports influenced Delta's stock volatility last week. Industry-wide issues such as rising operating costs and capacity management challenges are affecting major airlines, including American Airlines.
While American Airlines' financial reports influenced Delta's stock, the direct impact on AAL is neutral as the article focuses more on Delta's specific issues.
CONFIDENCE 80
IMPORTANCE 70
RELEVANCE 50
NEUTRAL IMPACT
Southwest Airlines' financial reports influenced Delta's stock volatility last week. Southwest reported a significant 13% increase in operating expenses, driven by higher salaries, wages, benefits, and maintenance costs, which are likely affecting all airlines, including Delta.
Southwest Airlines' financial reports influenced Delta's stock, but the direct impact on LUV is neutral as the article focuses more on Delta's specific issues.
CONFIDENCE 80
IMPORTANCE 70
RELEVANCE 50