DELTA AIR LINES, INC. (DAL)

Price—Loading quote

AI: Fair-priced

Price checkThe price looks reasonable, but it leaves little room for weaker demand or dearer fuel.

At the August 17 premarket quote, shares were $90.00, versus Friday's $89.35 close, implying about $58.9 billion of equity value using 654.1 million shares. Against adjusted 2026 earnings guidance of $6.50-$7.50 per share—adjusted means certain unusual items are excluded—the price is 12.0-13.8 times earnings, or 12.9 times the midpoint. Guided free cash flow of $3-$4 billion, cash left after running and investing in the business, equals 5.1%-6.8% of market value. That is fair, not cheap, given $8.88 billion more debt than cash and airline cyclicality.

Big pictureRevenue is growing, but higher fuel costs are making each sales dollar less profitable.

In 2025, operating cash flow was $8.34 billion and capital spending was $4.50 billion, leaving $3.84 billion of free cash flow, up from $2.89 billion in 2024. First-half 2026 operating cash flow remained $4.03 billion, but Delta reported only $1.4 billion of adjusted free cash flow after heavier investment. June-quarter reported revenue rose 19% to $19.76 billion, while operating income fell 11% to $1.86 billion. Cash generation remains healthy, but revenue growth alone is not guaranteeing durable profit.

Business strengthDebt is falling and premium customers help, though shareholder payouts remain modest.

Total debt fell from $28.26 billion in 2020 to $13.54 billion by June 2026, while cash reached $4.67 billion and shareholder equity rose to $21.82 billion. That improves downside protection, although debt still exceeded cash by $8.88 billion. June-quarter premium revenue grew 17%, and American Express payments to Delta rose 16% to $2.4 billion, supporting steadier economics than basic fares alone. The dividend rose 15% to $0.215 quarterly; however, no shares had been repurchased under the $1 billion authorization, while 2025 stock compensation was $313 million, creating modest dilution risk.

What could change the storySustained premium demand could lift value, while fuel shocks can erase the expected cushion.

The bull case needs September-quarter adjusted revenue growth in the mid-teens, an 11%-13% operating margin and $2.00-$2.50 earnings per share, followed by full-year free cash flow of $3-$4 billion. Beating the $7.50 full-year earnings ceiling while reducing debt would make today's price easier to defend. The bear case is specific: first-half aircraft fuel and taxes rose $1.98 billion, or 41%, and June-quarter non-fuel cost per seat flown one mile rose 6.8%. Missing $6.50 earnings or $3 billion cash flow would expose the limited valuation cushion.

$90.00 price considered

AI: News

June-quarter resultsDelta beat its quarterly guidance, but fuel inflation compressed margins despite record revenue.

On July 10, Delta reported June-quarter adjusted revenue of $17.7 billion, up 14%, and adjusted earnings of $1.56 per share, slightly above the $1.53 market forecast. Yet adjusted operating margin fell to 8.8% from 13.3% as adjusted fuel expense jumped 77% to $4.4 billion. Shares traded about 2.3% lower before the open and closed 1.8% lower. The release likely mattered, but timing does not isolate it from broader trading.

Berkshire adds to stakeA major outside investor raised its Delta holding, signaling confidence without changing Delta's cash flows.

On August 14, Berkshire's filing showed 57.32 million Delta shares at June 30, up 17.51 million, or 44%, from March. The position was worth about $5.37 billion and represented roughly 8.8% of Delta's current share count. Delta's August 17 premarket quote was 0.7% above Friday's close. That move may partly reflect the disclosure, but no direct causal evidence is available; the purchase itself adds no cash to Delta.

Oil shock hits airlinesRenewed oil disruption raised Delta's largest volatile cost and pushed airline shares lower.

On August 10, Brent crude rose 1.7% to $84.95 amid uncertainty over reopening the Strait of Hormuz, while Delta shares were down 1.7% during the session. The link is economically important: Delta's first-half aircraft fuel and taxes had already risen $1.98 billion, or 41%, and fuel reached 21% of operating expense. The broad airline selloff supports an oil-related interpretation, although it does not prove oil was the only driver.

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Free cash flow

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Total cash / debt

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Financial statements

	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015	2014	2013	2012	2011	2010	2009	2008
Revenue	$63.36B	$61.64B	$58.05B	$50.58B	$29.90B	$17.09B	$47.01B	$44.44B	$41.14B	$39.45B	$40.70B	$40.36B	$37.77B	$36.67B	$35.12B	$31.75B	$28.06B	—
Operating expenses	—	—	—	—	—	—	—	$39.17B	$35.17B	$32.45B	$32.90B	$38.16B	$34.37B	$34.49B	$33.14B	$29.54B	$28.39B	—
Operating income	$5.82B	$6.00B	$5.52B	$3.66B	$1.89B	−$12.47B	$6.62B	$5.26B	$5.97B	$7.00B	$7.80B	$2.21B	$3.40B	$2.17B	$1.98B	$2.22B	−$324.0M	−$8.31B
EBITDAderived	$8.27B	$8.51B	$7.86B	$5.77B	$3.88B	−$10.16B	$9.20B	$7.59B	$8.19B	$8.88B	$9.64B	$3.98B	$5.06B	$3.74B	$3.50B	$3.73B	$1.21B	−$7.05B
Net income	$5.00B	$3.46B	$4.61B	$1.32B	$280.0M	−$12.38B	$4.77B	$3.94B	$3.21B	$4.20B	$4.53B	$659.0M	$10.54B	$1.01B	$854.0M	$593.0M	−$1.24B	−$8.92B
Basic EPSper diluted share	$7.72	$5.39	$7.21	$2.07	$0.44	-$19.49	$7.32	$5.69	$4.45	$5.59	$5.68	$0.79	$12.41	$1.20	$1.02	$0.71	-$1.50	-$19.08
Diluted EPSper diluted share	$7.66	$5.33	$7.17	$2.06	$0.44	-$19.49	$7.30	$5.67	$4.43	$5.55	$5.63	$0.78	$12.29	$1.19	$1.01	$0.70	-$1.50	-$19.08

Review source filings at SEC.gov ↗

Insider buys & sells

Jul 1, 2024–Jun 30, 2026

Buys3$1.04M disclosed value

Sells (SEC code S)55$128.96M disclosed value

Transaction	Insider	Type	Shares	Price	Value	Owned after
May 27, 2026Form 4	Ausband Allison CEVP & Chief People Officer	SellCommon Stock	5.0K	$80.90	$404.5K	128.9K
May 27, 2026Form 4	BELLEMARE ALAINEVP & Pres. - International	SellCommon Stock	25.0K	$81.44	$2.04M	95.0K
May 26, 2026Form 4	Ausband Allison CEVP & Chief People Officer	SellCommon Stock	5.0K	$79.00	$395.0K	133.9K
May 22, 2026Form 4	Ausband Allison CEVP & Chief People Officer	SellCommon Stock	9.7K	$76.00	$738.0K	138.9K
May 21, 2026Form 4	Ausband Allison CEVP & Chief People Officer	SellCommon Stock	5.0K	$73.50	$367.5K	138.9K

Review ownership filings at SEC.gov ↗

DELTA AIR LINES, INC. (DAL)

Financial charts

Financial statements

Insider buys & sells