Delta Air Lines, Inc. (NYSE: DAL)
Delta Air Lines stock is having a great day in the market today following larger than expected earnings. The company reported it’s Q1 2015 earnings before the bell today. Below, we’ll do a brief overview of what we saw in earnings, chat about how the market reacted, and talk about what we can expect to see in the future from the stock.
Delta Air Lines Beats Earnings Expectations
Over the past year, Delta Air Lines investors have been incredibly happy around earnings season as this is the fourth quarter in a row where the company beat earnings expectations. Here’s the key data from the report…
- EPS – While analysts expected DAL to generate $0.44 per share in the quarter, the company was able to beat expectations with EPS coming in at $0.45.
- Revenue – When it comes to overall revenue, DAL slightly missed expectations; generating $9.388 billion with expectations at $9.395 billion.
- Outlook – In the second quarter, Delta Air Lines expects an operating margin ranging from 16% to 18%, fuel price should be around $2.35 to $2.40 per gallon, and system capacity is expected to see a 3% increase.
How DAL Stock Reacted To The News
As we’ve come to expect any time a positive earnings report comes out about a company, Delta Air Lines has seen relatively impressive growth in the market today. After the general spike and correction we tend to see in the morning following positive news, DAL has stabilized with what seems to be slow and steady growth. Currently (1:28), Delta Air Lines is trading at $44.06 after a gain of 2.26% so far today.
What To Expect Moving Forward
The bottom line is that investors invest to make money. With that said, for the past 4 quarters, DAL has produced wider than expected gains and is expected to continue to grow. So, I’m expecting to see more long term gains from Delta Air Lines stock!
What Do You Think?
Where do you think DAL is headed and why? Let us know in the comments below!