DELTA AIR LINES INC (DAL) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:DAL - US2473617023 - Common Stock
70.145 USD
-1 (-1.4%)
We assign a fundamental rating of 5 out of 10 to DAL. DAL was compared to 21 industry peers in the Passenger Airlines industry. DAL has an average financial health and profitability rating. DAL is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year DAL was profitable.
DAL had a positive operating cash flow in the past year.
DAL had positive earnings in 4 of the past 5 years.
DAL had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
DAL's Return On Assets of 5.81% is amongst the best of the industry. DAL outperforms 85.71% of its industry peers.
Looking at the Return On Equity, with a value of 24.60%, DAL belongs to the top of the industry, outperforming 85.71% of the companies in the same industry.
DAL has a better Return On Invested Capital (9.24%) than 85.71% of its industry peers.
DAL had an Average Return On Invested Capital over the past 3 years of 8.72%. This is in line with the industry average of 8.38%.
The last Return On Invested Capital (9.24%) for DAL is above the 3 year average (8.72%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.81% | ||
| ROE | 24.6% | ||
| ROIC | 9.24% |
ROA(3y)4.22%
ROA(5y)-0.83%
ROE(3y)28.04%
ROE(5y)-143.21%
ROIC(3y)8.72%
ROIC(5y)N/A
1.3 Margins
DAL has a Profit Margin of 7.36%. This is amongst the best in the industry. DAL outperforms 80.95% of its industry peers.
DAL's Profit Margin has declined in the last couple of years.
The Operating Margin of DAL (9.65%) is better than 76.19% of its industry peers.
In the last couple of years the Operating Margin of DAL has declined.
The Gross Margin of DAL (50.76%) is comparable to the rest of the industry.
DAL's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.65% | ||
| PM (TTM) | 7.36% | ||
| GM | 50.76% |
OM growth 3YN/A
OM growth 5Y-7.25%
PM growth 3Y81.6%
PM growth 5Y-11.17%
GM growth 3Y9.2%
GM growth 5Y-1.79%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), DAL is creating some value.
Compared to 1 year ago, DAL has more shares outstanding
Compared to 5 years ago, DAL has more shares outstanding
DAL has a better debt/assets ratio than last year.
2.2 Solvency
DAL has an Altman-Z score of 1.46. This is a bad value and indicates that DAL is not financially healthy and even has some risk of bankruptcy.
With a decent Altman-Z score value of 1.46, DAL is doing good in the industry, outperforming 66.67% of the companies in the same industry.
DAL has a debt to FCF ratio of 4.84. This is a neutral value as DAL would need 4.84 years to pay back of all of its debts.
The Debt to FCF ratio of DAL (4.84) is better than 90.48% of its industry peers.
A Debt/Equity ratio of 0.68 indicates that DAL is somewhat dependend on debt financing.
DAL has a better Debt to Equity ratio (0.68) than 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.68 | ||
| Debt/FCF | 4.84 | ||
| Altman-Z | 1.46 |
ROIC/WACC1.02
WACC9.06%
2.3 Liquidity
A Current Ratio of 0.40 indicates that DAL may have some problems paying its short term obligations.
DAL has a worse Current ratio (0.40) than 71.43% of its industry peers.
A Quick Ratio of 0.34 indicates that DAL may have some problems paying its short term obligations.
DAL has a worse Quick ratio (0.34) than 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.4 | ||
| Quick Ratio | 0.34 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 9.48% over the past year.
The Earnings Per Share has been decreasing by -3.42% on average over the past years.
The Revenue has been growing slightly by 4.33% in the past year.
Measured over the past years, DAL shows a small growth in Revenue. The Revenue has been growing by 5.57% on average per year.
EPS 1Y (TTM)9.48%
EPS 3Y129.66%
EPS 5Y-3.42%
EPS Q2Q%14%
Revenue 1Y (TTM)4.33%
Revenue growth 3Y27.27%
Revenue growth 5Y5.57%
Sales Q2Q%4.13%
3.2 Future
DAL is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -6.93% yearly.
DAL is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.77% yearly.
EPS Next Y-1.85%
EPS Next 2Y8.31%
EPS Next 3Y9.18%
EPS Next 5Y-6.93%
Revenue Next Year3.2%
Revenue Next 2Y4.49%
Revenue Next 3Y4.69%
Revenue Next 5Y2.77%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 11.46, the valuation of DAL can be described as reasonable.
Based on the Price/Earnings ratio, DAL is valued cheaply inside the industry as 85.71% of the companies are valued more expensively.
DAL is valuated cheaply when we compare the Price/Earnings ratio to 26.43, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 9.71 indicates a reasonable valuation of DAL.
DAL's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. DAL is cheaper than 71.43% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.66, DAL is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.46 | ||
| Fwd PE | 9.71 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as DAL.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of DAL indicates a somewhat cheap valuation: DAL is cheaper than 71.43% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.9 | ||
| EV/EBITDA | 6.7 |
4.3 Compensation for Growth
DAL has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y8.31%
EPS Next 3Y9.18%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.06%, DAL has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 0.81, DAL pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 1.87, DAL's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.06% |
5.2 History
The dividend of DAL decreases each year by -17.61%.
DAL has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of DAL decreased recently.
Dividend Growth(5Y)-17.61%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
8.94% of the earnings are spent on dividend by DAL. This is a low number and sustainable payout ratio.
The Dividend Rate of DAL has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP8.94%
EPS Next 2Y8.31%
EPS Next 3Y9.18%
NYSE:DAL (12/17/2025, 3:32:10 PM)
70.145
-1 (-1.4%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryPassenger Airlines
Earnings (Last)
Earnings (Next)
Inst Owners82.83%
Inst Owner Change-0.47%
Ins Owners0.33%
Ins Owner Change-1.77%
Market Cap45.80B
Revenue(TTM)62.92B
Net Income(TTM)4.63B
Analysts83.57
Price Target72.48 (3.33%)
Short Float %2.86%
Short Ratio2.12
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.06% |
Yearly Dividend0.5
Dividend Growth(5Y)-17.61%
DP8.94%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.89%
Min EPS beat(2)1.25%
Max EPS beat(2)10.53%
EPS beat(4)4
Avg EPS beat(4)8.85%
Min EPS beat(4)1.25%
Max EPS beat(4)19.21%
EPS beat(8)6
Avg EPS beat(8)7.83%
EPS beat(12)9
Avg EPS beat(12)5.77%
EPS beat(16)11
Avg EPS beat(16)6.97%
Revenue beat(2)0
Avg Revenue beat(2)-0.42%
Min Revenue beat(2)-0.79%
Max Revenue beat(2)-0.05%
Revenue beat(4)1
Avg Revenue beat(4)-0.26%
Min Revenue beat(4)-1%
Max Revenue beat(4)0.8%
Revenue beat(8)2
Avg Revenue beat(8)-0.64%
Revenue beat(12)4
Avg Revenue beat(12)0.66%
Revenue beat(16)8
Avg Revenue beat(16)1.44%
PT rev (1m)0.07%
PT rev (3m)6.3%
EPS NQ rev (1m)-7.18%
EPS NQ rev (3m)2.27%
EPS NY rev (1m)-0.92%
EPS NY rev (3m)5.11%
Revenue NQ rev (1m)-0.55%
Revenue NQ rev (3m)2.15%
Revenue NY rev (1m)0.05%
Revenue NY rev (3m)1.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.46 | ||
| Fwd PE | 9.71 | ||
| P/S | 0.73 | ||
| P/FCF | 14.9 | ||
| P/OCF | 5.74 | ||
| P/B | 2.43 | ||
| P/tB | 14.77 | ||
| EV/EBITDA | 6.7 |
EPS(TTM)6.12
EY8.72%
EPS(NY)7.23
Fwd EY10.3%
FCF(TTM)4.71
FCFY6.71%
OCF(TTM)12.22
OCFY17.41%
SpS96.36
BVpS28.83
TBVpS4.75
PEG (NY)N/A
PEG (5Y)N/A
Graham Number63
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.81% | ||
| ROE | 24.6% | ||
| ROCE | 11.82% | ||
| ROIC | 9.24% | ||
| ROICexc | 9.98% | ||
| ROICexgc | 14.9% | ||
| OM | 9.65% | ||
| PM (TTM) | 7.36% | ||
| GM | 50.76% | ||
| FCFM | 4.89% |
ROA(3y)4.22%
ROA(5y)-0.83%
ROE(3y)28.04%
ROE(5y)-143.21%
ROIC(3y)8.72%
ROIC(5y)N/A
ROICexc(3y)9.58%
ROICexc(5y)N/A
ROICexgc(3y)15.08%
ROICexgc(5y)N/A
ROCE(3y)11.15%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5Y-4.42%
ROICexc growth 3YN/A
ROICexc growth 5Y-3.95%
OM growth 3YN/A
OM growth 5Y-7.25%
PM growth 3Y81.6%
PM growth 5Y-11.17%
GM growth 3Y9.2%
GM growth 5Y-1.79%
F-Score6
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.68 | ||
| Debt/FCF | 4.84 | ||
| Debt/EBITDA | 1.49 | ||
| Cap/Depr | 195.07% | ||
| Cap/Sales | 7.79% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 92.91% | ||
| Profit Quality | 66.39% | ||
| Current Ratio | 0.4 | ||
| Quick Ratio | 0.34 | ||
| Altman-Z | 1.46 |
F-Score6
WACC9.06%
ROIC/WACC1.02
Cap/Depr(3y)244.69%
Cap/Depr(5y)195.74%
Cap/Sales(3y)10.03%
Cap/Sales(5y)10.41%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)9.48%
EPS 3Y129.66%
EPS 5Y-3.42%
EPS Q2Q%14%
EPS Next Y-1.85%
EPS Next 2Y8.31%
EPS Next 3Y9.18%
EPS Next 5Y-6.93%
Revenue 1Y (TTM)4.33%
Revenue growth 3Y27.27%
Revenue growth 5Y5.57%
Sales Q2Q%4.13%
Revenue Next Year3.2%
Revenue Next 2Y4.49%
Revenue Next 3Y4.69%
Revenue Next 5Y2.77%
EBIT growth 1Y8.43%
EBIT growth 3YN/A
EBIT growth 5Y-2.08%
EBIT Next Year37.95%
EBIT Next 3Y19.62%
EBIT Next 5Y16.47%
FCF growth 1Y159.19%
FCF growth 3Y453.65%
FCF growth 5Y-3.73%
OCF growth 1Y12.23%
OCF growth 3Y34.97%
OCF growth 5Y-0.97%
DELTA AIR LINES INC / DAL FAQ
What is the fundamental rating for DAL stock?
ChartMill assigns a fundamental rating of 5 / 10 to DAL.
What is the valuation status for DAL stock?
ChartMill assigns a valuation rating of 6 / 10 to DELTA AIR LINES INC (DAL). This can be considered as Fairly Valued.
How profitable is DELTA AIR LINES INC (DAL) stock?
DELTA AIR LINES INC (DAL) has a profitability rating of 6 / 10.
What is the valuation of DELTA AIR LINES INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for DELTA AIR LINES INC (DAL) is 11.46 and the Price/Book (PB) ratio is 2.43.
What is the earnings growth outlook for DELTA AIR LINES INC?
The Earnings per Share (EPS) of DELTA AIR LINES INC (DAL) is expected to decline by -1.85% in the next year.