July 9 - Delta Air Lines (DAL, Financial) is expected to report stable second-quarter earnings, with analysts citing strength in its international and premium travel segments.
Morgan Stanley sees the airline maintaining momentum despite challenges, forecasting earnings per share of $2.07, which would reflect a 12% decline from the same period last year. Revenue is projected to rise by about 5% year over year to $16.21 billion.
UBS noted that while most airlines will likely meet expectations this quarter, Delta appears best positioned relative to peers. The firm attributed this to a favorable competitive setup and air traffic bottlenecks at rival hubs, including Newark.
However, some analysts flagged potential risks tied to trade policy. One cautioned that the latest quarter could be the first to show the financial effect of President Trump's tariffs in GAAP results.
Delta shares have fallen more than 17% year to date, though they remain up nearly 9% over the past 12 months.
With cash flow expected to exceed $2 billion, investor attention will likely focus on margin trends and forward guidance.
