DELTA AIR LINES INC (DAL) Stock Fundamental Analysis
USA - NYSE:DAL - US2473617023 - Common Stock
59.02 USD
-0.98 (-1.63%)
DAL gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 21 industry peers in the Passenger Airlines industry. Both the profitability and the financial health of DAL get a neutral evaluation. Nothing too spectacular is happening here. 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 has a Return On Assets of 5.81%. This is amongst the best in the industry. DAL outperforms 85.71% of its industry peers.
The Return On Equity of DAL (24.60%) is better than 85.71% of its industry peers.
DAL has a better Return On Invested Capital (9.24%) than 80.95% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for DAL is significantly below the industry average of 14.46%.
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.
In the last couple of years the Profit Margin of DAL has declined.
With a decent Operating Margin value of 9.65%, DAL is doing good in the industry, outperforming 76.19% of the companies in the same industry.
In the last couple of years the Operating Margin of DAL has declined.
DAL's Gross Margin of 50.76% is in line compared to the rest of the industry. DAL outperforms 47.62% of its industry peers.
In the last couple of years the Gross Margin of DAL has declined.
| 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so DAL is still creating some value.
The number of shares outstanding for DAL has been increased compared to 1 year ago.
The number of shares outstanding for DAL has been increased compared to 5 years ago.
The debt/assets ratio for DAL has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.39, we must say that DAL is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.39, DAL is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
The Debt to FCF ratio of DAL is 4.84, which is a neutral value as it means it would take DAL, 4.84 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 4.84, DAL belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
DAL has a Debt/Equity ratio of 0.68. This is a neutral value indicating DAL is somewhat dependend on debt financing.
The Debt to Equity ratio of DAL (0.68) is better than 80.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.68 | ||
| Debt/FCF | 4.84 | ||
| Altman-Z | 1.39 |
ROIC/WACC1.05
WACC8.79%
2.3 Liquidity
DAL has a Current Ratio of 0.40. This is a bad value and indicates that DAL is not financially healthy enough and could expect problems in meeting its short term obligations.
DAL has a worse Current ratio (0.40) than 80.95% of its industry peers.
DAL has a Quick Ratio of 0.40. This is a bad value and indicates that DAL is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.34, DAL is not doing good in the industry: 80.95% of the companies in the same industry are doing better.
| 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.
Measured over the past years, DAL shows a decrease in Earnings Per Share. The EPS has been decreasing by -3.42% on average per year.
The Revenue has been growing slightly by 4.33% in the past year.
DAL shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.57% yearly.
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
Based on estimates for the next years, DAL will show a very negative growth in Earnings Per Share. The EPS will decrease by -12.89% on average per year.
DAL is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.99% yearly.
EPS Next Y-6.03%
EPS Next 2Y6.4%
EPS Next 3Y8.74%
EPS Next 5Y-12.89%
Revenue Next Year2.37%
Revenue Next 2Y4.08%
Revenue Next 3Y4.47%
Revenue Next 5Y2.99%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 9.64, the valuation of DAL can be described as very reasonable.
DAL's Price/Earnings ratio is rather cheap when compared to the industry. DAL is cheaper than 85.71% of the companies in the same industry.
DAL is valuated cheaply when we compare the Price/Earnings ratio to 27.57, which is the current average of the S&P500 Index.
DAL is valuated reasonably with a Price/Forward Earnings ratio of 8.46.
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.
The average S&P500 Price/Forward Earnings ratio is at 23.09. DAL is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.64 | ||
| Fwd PE | 8.46 |
4.2 Price Multiples
DAL's Enterprise Value to EBITDA ratio is in line with the industry average.
DAL's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. DAL is cheaper than 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.54 | ||
| EV/EBITDA | 5.86 |
4.3 Compensation for Growth
The decent profitability rating of DAL may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y6.4%
EPS Next 3Y8.74%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.24%, DAL has a reasonable but not impressive dividend return.
DAL's Dividend Yield is a higher than the industry average which is at 2.66.
With a Dividend Yield of 1.24, DAL pays less dividend than the S&P500 average, which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.24% |
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.
DAL has decreased its dividend recently.
Dividend Growth(5Y)-17.61%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
DAL pays out 8.94% of its income as dividend. This is a sustainable payout ratio.
DAL's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP8.94%
EPS Next 2Y6.4%
EPS Next 3Y8.74%
NYSE:DAL (10/23/2025, 3:20:09 PM)
59.02
-0.98 (-1.63%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryPassenger Airlines
Earnings (Last)
Earnings (Next)
Inst Owners81.79%
Inst Owner Change-2.33%
Ins Owners0.33%
Ins Owner Change-1.77%
Market Cap38.54B
Revenue(TTM)62.92B
Net Income(TTM)4.63B
Analysts82.22
Price Target68.18 (15.52%)
Short Float %3.34%
Short Ratio2.92
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.24% |
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%
PT rev (3m)2.33%
EPS NQ rev (1m)8.37%
EPS NQ rev (3m)29.39%
EPS NY rev (1m)0.64%
EPS NY rev (3m)6.42%
Revenue NQ rev (1m)2.22%
Revenue NQ rev (3m)3.82%
Revenue NY rev (1m)0.24%
Revenue NY rev (3m)0.92%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.64 | ||
| Fwd PE | 8.46 | ||
| P/S | 0.61 | ||
| P/FCF | 12.54 | ||
| P/OCF | 4.83 | ||
| P/B | 2.05 | ||
| P/tB | 12.43 | ||
| EV/EBITDA | 5.86 |
EPS(TTM)6.12
EY10.37%
EPS(NY)6.97
Fwd EY11.82%
FCF(TTM)4.71
FCFY7.98%
OCF(TTM)12.22
OCFY20.7%
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 | 1.39 |
F-Score6
WACC8.79%
ROIC/WACC1.05
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-6.03%
EPS Next 2Y6.4%
EPS Next 3Y8.74%
EPS Next 5Y-12.89%
Revenue 1Y (TTM)4.33%
Revenue growth 3Y27.27%
Revenue growth 5Y5.57%
Sales Q2Q%4.13%
Revenue Next Year2.37%
Revenue Next 2Y4.08%
Revenue Next 3Y4.47%
Revenue Next 5Y2.99%
EBIT growth 1Y8.43%
EBIT growth 3YN/A
EBIT growth 5Y-2.08%
EBIT Next Year35.33%
EBIT Next 3Y19.26%
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%