Delta Air Lines Inc. (DAL) Stock

Delta Air Lines Inc. trades at a P/E ratio of 8.31, which is below the market average of approximately 20. This lower valuation could indicate the market has modest growth expectations, or it might represent an undervalued opportunity if the fundamentals are strong. Looking ahead, the forward P/E of 7.89 is lower than the current P/E, indicating analysts expect earnings to grow over the next year. The PEG ratio of 39.29 indicates a premium valuation even accounting for growth.

With a beta of 1.51, Delta Air Lines Inc. is significantly more volatile than the market. For every 10% market move, this stock tends to move 15% in the same direction. Higher beta stocks offer greater potential returns but with increased risk. The price-to-book ratio of 2.14 shows investors value the company above its book value, which often reflects intangible assets or growth prospects.

Delta Air Lines Inc. achieves a profit margin of 7.24%, meaning it retains $7.24 from every $100 in revenue after all expenses. This relatively low margin suggests the company operates in a competitive environment or high-cost industry where profitability is challenging. The operating margin of 12.10% reveals how efficiently the company runs its core business operations before interest and taxes. With ROE at 30.10% and ROA at 4.52%, the company generates strong returns on invested capital.

Delta Air Lines Inc.'s revenue declined by 0.10% year-over-year, indicating challenges in maintaining sales momentum. This contraction may reflect market headwinds, competitive pressures, or strategic transitions. Earnings increased by 62.70% year-over-year, outpacing revenue growth through improved margins. These growth metrics should be evaluated against AIRLINES industry averages for proper context.

Delta Air Lines Inc. offers a dividend yield of 1.12%, paying $0.64 per share annually. This modest yield below 2% suggests the company prioritizes growth investments over current income. While the dividend provides some return, investors are likely attracted more by capital appreciation potential than income generation. To receive the next dividend, shares must be purchased before the ex-dividend date of Oct 16, 2025.

The dividend sustainability can be assessed through the payout ratio - Delta Air Lines Inc. pays $0.64 per share in dividends against earnings of $6.94 per share, resulting in a payout ratio of 9.19%. This conservative payout below 30% indicates excellent dividend safety with substantial room for future increases. The company retains most earnings for growth while still rewarding shareholders. The next dividend payment is scheduled for Nov 6, 2025.

Delta Air Lines Inc. has a market capitalization of $37.6B, classifying it as a large-cap stock ($10B-$200B). Large-caps are typically industry leaders with established business models, offering a balance of stability and growth potential. They often provide dividend income and are core holdings in institutional portfolios. With 652.95M shares outstanding, the company's ownership is relatively concentrated. As a participant in the AIRLINES industry, it competes with other firms in this sector.

Delta Air Lines Inc.'s book value per share is $26.89, while the current stock price is $58.54, resulting in a price-to-book (P/B) ratio of 2.18. This reasonable premium to book value suggests the market values the company's earnings power and intangible assets appropriately. Most profitable companies trade between 1-3x book value. As a common stock, this represents equity ownership with voting rights.

22 analysts cover DAL with 91% recommending buy/strong buy ratings. Analyst predictions have mixed reliability - studies show consensus rarely beats market returns consistently. The strong bullish consensus may already be priced in. The consensus target of $69.91 implies 19.4% upside, but targets are often adjusted to follow price moves rather than predict them.

Current analyst recommendations:4 Strong Buy, 16 Buy, 1 Hold, 1 Sell, 0The bullish tilt suggests optimism about future prospects, though investors should conduct independent research.Remember that analyst opinions often lag price movements and can be influenced by investment banking relationships.