Fasten your seatbelts, we are preparing for takeoff.
Delta (give it) has been making headlines lately when the world's largest airline by revenue resumed daily nonstop service to Tel Aviv from New York's JFK airport earlier this month.
Related: Delta plans new flights to tropical islands
The Atlanta-based airline suspended service to Israel in October after the war between Israel and Hamas began in October.
At the time, Delta, American Airlines and United Airlines suspended service as the U.S. State Department issued travel warnings for the region, citing the potential for terrorism and civil unrest.
Delta said in a statement that it continues to closely monitor the situation in Israel along with government and private sector partners.
The airline signed a codeshare agreement with EL AL Israel Airlines late last year that allows Delta customers to use El AL's direct services from New York, Boston, Los Angeles, Miami and Fort Lauderdale.
Shutterstock
Delta plans new routes, including Reagan National Airport
united airlines (UAL) resumed flights to Israel earlier this month from Newark, but does not plan to restart flights from other American cities until at least this fall.
On June 6, Delta said it would order a new flight between Seattle and Reagan Washington National Airport.
Related: Delta pilot salaries: What the world's largest airline pays in its flight deck
The announcement came after President Joe Biden signed legislation creating new flights at the busy Arlington, Virginia, airport on May 16. twitter“>Reuters reported
The law requires the US Department of Transportation to grant the new flights by mid-July.
The Washington region has three major airports, but Reagan National is the closest to the U.S. Capitol and downtown.
Due to the facility's short runways, the main runway is the busiest in the United States, and Reagan is the 23rd busiest passenger airport in the country.
If Delta is successful, it will compete with Alaska Airlines (ALK) which operates the current two daily flights from Seattle to Reagan National.
“The addition of this flight will bring much-needed competition to a route with some of the highest ticket prices in the country,” Delta said.
For more than a year, Delta lobbied for the change (and had lobbied for many more daily flights), while United Airlines opposed it.
And speaking of flights, the airline said it plans to run its “largest domestic ski schedule ever” beginning Dec. 21, which will include more flights from Los Angeles than ever before.
Delta said it will launch daily nonstop service from Los Angeles to Jackson Hole and new Saturday service to Sun Valley, Idaho.
The airline said the additional service to ski destinations throughout the West will benefit travelers in Minneapolis, Atlanta and Salt Lake City.
Analyst adjusts Delta stock forecast
In April, the airline reported first-quarter earnings of 45 cents a share, up from $217 million, 75% from a year earlier and beating Wall Street analysts' consensus forecast of 36 cents a share.
More Wall Street analysts:
- Analyst Updates Oracle Share Price Target After Results
- Analyst resets Trade Desk stock target price after Netflix deal
- Analysts Adjust Micron Stock Price Target Ahead of Earnings
Revenue totaled $12.6 billion, 6% more than a year ago and a record for the first three months of the year.
“We are delivering industry-leading operational reliability and have widened the gap with our competition,” CEO Ed Bastian said during the call. company earnings call. “Last summer we made future investments in the operation.”
“And since then, our teams have delivered operational performance that is among the best in our history, with mainline cancellations reduced by 85% and setting new completion factor records in both the fourth and first quarters,” he said.
Delta is scheduled to report quarterly results on July 11.
On June 28, Jefferies lowered the firm's price target for Delta Air Lines to $56 from $58, while maintaining a buy rating on the stock.
The firm lowered its second-quarter EPS estimate to reflect a 1% drop in TRASM, given broader industry signs of a weakening low-end to which Delta's Main Cabin class is not immune, linked to the competitive capacity and the discounts that persist in the third quarter.
TRASM stands for Total Revenue Available Seat Mile and is equal to total revenue divided by total available seat miles (ASM) of the mainline and regional third parties.
Related: A veteran fund manager picks his favorite stocks for 2024
