Key Highlights:
- Delta Air Lines strategically relocates aircraft engines to manage tariffs and optimize operations.
- Analysts predict a potential 12.51% upside for Delta's stock with an average target price of $62.09.
- Despite positive analyst ratings, GuruFocus estimates suggest a potential downside of 18.25%.
In a strategic move aimed at bypassing U.S. tariffs, Delta Air Lines (DAL, Financial) is reallocating Pratt & Whitney engines from grounded Airbus A321neos in Europe to its older aircraft in the United States. This innovative approach enables Delta to address turbine issues effectively, while waiting for potential trade agreements that could facilitate the tariff-free importation of new jets.
Wall Street Analysts Forecast
According to insights from 19 Wall Street analysts, Delta Air Lines Inc (DAL, Financial) is anticipated to reach an average price target of $62.09 over the next year. This target includes a high projection of $90.00 and a lower threshold of $36.77, implying a potential upside of 12.51% from the current stock price of $55.19. Investors can explore more detailed estimate data on the Delta Air Lines Inc (DAL) Forecast page.
The consensus from 23 brokerage firms currently positions Delta Air Lines with an average brokerage recommendation of 1.8, categorizing the stock as "Outperform." The rating scale ranges from 1, which indicates a Strong Buy, to 5, which denotes a Sell.
GuruFocus Valuation
GuruFocus's valuation model presents an estimated GF Value for Delta Air Lines Inc (DAL, Financial) at $45.12 within the coming year, foreseeing a downside of 18.25% from the current price of $55.19. The GF Value reflects GuruFocus' calculation of the stock's fair trading value, derived from historical trading multiples, past business growth, and future performance projections. Investors seeking further detailed data can visit the Delta Air Lines Inc (DAL) Summary page.
