How to Trade Delta Airlines After Q4 2024 Performance

January 14, 2025 09:55

Delta Airlines is one of the largest airlines in the world, operating domestically in America and internationally. Founded in 1924, it operates around 5,000 flights per day from over 800 aircrafts and around 90,000 employees. 

Learn more about Delta Airlines' fourth-quarter 2024 performance and what analysts are forecasting for the stock.

Stock: Delta Airlines Inc
Symbol for Invest.MT5 Account: DAL
Date of Idea: 14 January 2025
Time Line: 1 - 6 months
Entry Level: $69.50
Target Level: $100.00
Position Size for Invest.MT5 Account: Max 5%
Risk: High
  • The Invest.MT5 account allows you to buy real stocks and shares from some of the largest stock exchanges in the world.

All trading is high risk and you can lose more than you risk on a trade. Never invest more than you can afford to lose, as some trades will lose and some trades will win. Start small to understand your own risk tolerance levels or practice on a demo account first to build your knowledge before investing.

Delta Airlines Q4 2024 Performance

Here are some of the key highlights from the fourth-quarter 2024 earnings report from Delta Airlines:  

  • Earnings per share: $1.85 vs $1.75 expected 
  • Revenue: $14.44 billion vs $14.18 billion expected 
  • Revenue from premium seats up 8% to $5.2 billion 
  • American Express partnership brought in $2 billion 
  • Profit down 59% as expenses, such as payrolls rose 

On the face of it, Delta beat analyst expectations on most financial performance metrics. It also increased its forward guidance for the new year, expecting it to generate more than $4 billion in free cash this year which would be up 18% from 2024. The stock popped higher on the news recording a new all-time high. 

The management team stated that consumers continue to prioritise experiences over products which has helped them to grow their revenue. There has also been a post-pandemic boom in travel demand and, in particular, premium travel. So far, this has helped Delta's bottom line. At some point, this growth will dissipate. 

There are also some other headwinds such as a delay in the delivery of new aircrafts. While they have refurbished some of their old planes, travellers may opt for other airlines offering newer features.  

Premium travellers, where Delta has made significant growth, have many other options available to them and may look elsewhere. Delta has also benefitted from lower fuel prices. However, if the recent rally in oil prices continues it could affect the bottom line as well.

Delta Airlines Stock Forecast - What do the Analysts Say?

According to 16 analysts polled by TipRanks for a Delta Airlines stock forecast in the past 3 months, there are currently 16 buy, 0 hold and 0 sell ratings on the stock. The highest price level for a Delta Airlines stock forecast is $100.00 with the lowest price target at $75.00. 

The average price target for a Delta Airlines stock forecast is $82.40.

Source: TipRanks, 14 January 2025

 

An Example Trading Idea for the Delta Airlines Stock Price

An example trading idea for the Delta Airlines share price could be as follows:  

  • Buy the stock above the post-earnings high of around $69.50. 
  • Target just below the highest analyst price target of $100.00. 
  • Keep your risk small at a maximum of 5% of your total account.   
  • Time Line = 1 – 6 months  
  • If you buy 10 Delta Airlines shares:  
    • If target is reached = $510.00 potential profit [($100.00 - $69.50) * 10 shares].

Remember that markets go up and down and it is unlikely the share price will move up in a straight line. In fact, it may even go much further down before it rises, especially due to some of the headwinds highlighted above.

Be sure to exercise good risk management and always know how much you could potentially lose on a trade and the risks involved, as well as the costs.

With the Admiral Markets Invest.MT5 account you can buy and sell US stocks with a commission from $0.02 per share. This means buying 10 shares in Delta Airlines stock would result in a commission of $0.20 ($0.02 * 10 shares) for executing a per-side transaction.

However, there is a low minimum transaction fee of $1. So, the example trading idea above would result in a commission of just $1 overall.

How to Buy Delta Airlines Stock in 4 Steps  

With Admiral Markets, you can buy shares with a commission of just $0.02 per share and a low minimum commission of just $1 on US stocks. 

  1. Open an account with Admiral Markets to access the dashboard.
  2. Click on Trade or Invest on one of your live or demo accounts to open the web platform.
  3. Search for your stock in the search window at the top.
  4. Input your entry, stop-loss and take profit levels in the trading ticket.
Source: Admiral Markets. MetaTrader 5 Web Trader. Delta Airlines. Monthly. Date: January 2018 to January 2025, captured on 14 January 2025. Past performance is not a reliable indicator of future results or future performance.

 

Click on the banner below to trade Delta Airlines stock today ▼▼▼ 

Do You See the Delta Airlines Stock Price Moving Differently?   

Remember that all analytics and trading ideas are based on the personal view and experience of the author.

If you believe there is a higher chance Delta Airlines share price will move lower, then you can also trade short from a CFD (Contracts for Difference) trading account which Admiral Markets also provide.

The Trade.MT5 and Trade.MT4 account allows you to speculate on the price direction of stocks and shares using CFDs.

This means you can trade long and short to speculate on rising and falling stock prices.

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  • The Analysis is prepared by an independent analyst Jitanchandra Solanki, Freelance Contributor (hereinafter "Author") based on personal estimations.
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Jitanchandra Solanki
Jitanchandra Solanki Financial Markets Author, Admirals London

Jitanchandra is a financial markets author with more than 15 years experience trading currencies, indices and US equities. He is an accredited Market Technician with a BA Hons degree.