The company’s second-quarter earnings fell nearly 30 cents below estimates
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.
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