Delta heads into its September-quarter results this week, with several analysts recently revising estimates and price targets while retaining positive ratings on the shares.
- Bernstein is updating its model to reflect a more challenging fuel environment, a 0.5% impact on capacity growth from New York ATC staffing issues, and a demand backdrop that has held up, according to The Fly.
- According to The Fly, Wells Fargo, BofA and TD Cowen maintained positive ratings on Delta while lowering their price targets in recent notes ahead of the airline’s Q3 report.
- Delta is scheduled to discuss its September-quarter results on Oct. 9, with Fiscal AI estimating revenue of approximately $18.92 billion and adjusted EPS of $1.86.
Delta Air Lines (DAL) is heading into its third-quarter earnings report with a growing Wall Street focus on fuel costs, even as resilient demand and pricing keep analysts constructive on the stock.
Bernstein became the latest brokerage to trim its price target on Wednesday, lowering its target to $100 from $106 while maintaining an Outperform rating.
According to The Fly, Bernstein is updating its model to account for a more challenging fuel environment, a 0.5% impact on capacity growth from New York air-traffic-control staffing issues, and a demand backdrop that has remained resilient.
The move follows similar target cuts from Wells Fargo, BofA, and TD Cowen ahead of Delta’s Oct. 9 earnings report.
DAL shares were trading marginally in red at the time of writing on Wednesday.
Bernstein Lowers Earnings Estimates
Bernstein expects Delta to report third-quarter adjusted earnings per share (EPS) of $1.85, about 3% below Bloomberg consensus, according to analyst commentary reported by StreetInsider.
The brokerage also lowered its full-year 2026 adjusted EPS estimate to $5.69. Bernstein’s estimates for 2027 and 2028 adjusted EPS were reduced by 5% and 3%, respectively, according to StreetInsider’s report.
Other Analysts Also Trim Delta Price Targets
Several analysts have also lowered their price targets on Delta ahead of the airline’s third-quarter earnings report, while maintaining positive ratings on the shares.
On Tuesday, Wells Fargo lowered its price target on Delta to $100 from $105 while maintaining an ‘Overweight’ rating, according to The Fly. The firm said fuel continues to delay the airline story and lowered its estimates. Wells Fargo also said demand remains strong and pricing is holding, while airlines continue to prioritize yield over volume. The firm remained constructive on premium carriers, The Fly reported.
On Oct. 5, BofA analyst Andrew Didora lowered the firm’s price target to $95 from $100 while maintaining a ‘Buy’ rating. The firm said it was adjusting its estimates and price targets for airlines ahead of the group’s Q3 earnings, according to The Fly.
On Oct. 2, TD Cowen analyst Tom Fitzgerald lowered the firm’s price target to $101 from $105 while maintaining a ‘Buy’ rating. The firm adjusted targets in the airline group as part of a Q3 earnings preview. Fitzgerald said fuel prices remain a “rollercoaster” and cloud the outlook for 2027 earnings and free cash flow, according to The Fly. TD Cowen also said it prefers United and Delta shares.
Delta Set To Report Q3 Results This Week
Delta Air Lines is scheduled to report its September-quarter 2026 financial results on Friday, Oct. 9, with a conference call and webcast at 10 a.m. ET, according to the company’s investor-relations website.
Analysts expect Delta Air Lines to report revenue of approximately $18.92 billion and adjusted earnings of $1.86 per share, according to data compiled by Fiscal AI.
Delta Systems Stabilizing After Technology Issue
Separately, Delta Air Lines said on Tuesday that its systems were stabilizing after a limited global technology issue affected data connectivity to some of its systems behind the scenes.
The airline said its teams were working to keep operations moving safely as systems returned to normal and directed customers to the Delta app and Delta.com for the latest flight information.
DAL Stock: Retail Remains Bullish
Retail sentiment on Stocktwits remained ‘Bullish’ for DAL over the past 24 hours, while message volume was ‘High’.
DAL shares have gained over 19% year-to-date.
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