FMP

FMP

Delta Air Lines, Inc. (NYSE:DAL) Earnings Preview and Financial Analysis

  • Delta Air Lines, Inc. (NYSE:DAL) is set to release its quarterly earnings on January 13, 2026, with an estimated EPS of $1.55 and projected revenue of $15.77 billion.
  • The airline industry is expected to see strong performance in 2026, with Delta leading gains due to disciplined capacity growth and resilient premium demand.

Delta Air Lines, Inc. (NYSE:DAL) is a major American airline known for its extensive domestic and international network. As a key player in the airline industry, Delta competes with other large carriers like United Airlines and American Airlines. The company is set to release its earnings for the quarter on January 13, 2026, with analysts estimating an earnings per share (EPS) of $1.55 and projected revenue of $15.77 billion.

Delta is expected to lead airline gains in 2026, alongside United Airlines, as highlighted by Bank of America Securities analyst Andrew G. Didora. The airline industry is poised for strong performance due to disciplined capacity growth and resilient premium demand. Delta's strong loyalty programs and robust cash flow position it well for outsized investor returns, despite anticipated earnings pressure in the fourth quarter of 2025.

Delta's financial metrics provide insight into its market valuation and operational efficiency. The company's price-to-earnings (P/E) ratio is approximately 10.03, while its price-to-sales ratio stands at about 0.74, indicating a relatively low market valuation compared to its revenue. The enterprise value to sales ratio is around 1.03, and the enterprise value to operating cash flow ratio is approximately 8.11, reflecting the company's cash flow efficiency.

Despite these challenges, Delta offers a substantial return on its earnings relative to its share price, with an earnings yield of about 9.97%. However, the company's debt-to-equity ratio of approximately 1.15 indicates a moderate level of leverage, and a current ratio of around 0.40 may suggest potential liquidity concerns. The management's discussion during the earnings call will be pivotal in shaping future earnings expectations and the sustainability of any immediate price changes.