How to Trade Delta Air Lines as Demand for Travel Soars
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<p><a href="https://admiralmarkets.com/analytics/traders-blog/trading-idea-delta-air-lines-august-2023"><picture class="lozad" data-iesrc="https://fxmedia.s3.amazonaws.com/articles/How_to_Trade_Delta_Air_Lines.png" data- data- data-alt="How to Trade Delta Air Lines" data-height="376" data-width="800"><source type="image/webp" media="(min-width: 640px)" srcset="https://dqvh7oj3vu3ch.cloudfront.net/720x,webp/fxmedia.s3.amazonaws.com/articles/How_to_Trade_Delta_Air_Lines.png"></source><source type="image/webp" media="(max-width: 639px)" srcset="https://dqvh7oj3vu3ch.cloudfront.net/375x,webp/fxmedia.s3.amazonaws.com/articles/How_to_Trade_Delta_Air_Lines.png"></source></picture></a></p>
<p>Delta Air Lines is the biggest airline in the world in terms of revenue and by market capitalisation. <a href="https://admiralmarkets.com/education/articles/shares/airline-stocks" target="_blank" rel="noopener">Airline stocks</a> were amongst the worst hit by the pandemic in 2020 and have been slow to recover. However, with travel demand surging and jet fuel prices falling, many airlines, including Delta, have reported positive results in 2023.</p>
<p>Keep reading to learn more about Delta Air Lines’ second-quarter performance and what the analysts are forecasting for the stock. </p>
<table border="1">
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<tr>
<td><b><span>Stock:</span></b></td>
<td><b><span>Delta Air Lines</span></b></td>
</tr>
<tr>
<td><span><b>Symbol for Invest.MT5 Account:</b></span></td>
<td><a href="https://admiralmarkets.com/instrument/delta-air-lines-inc-dal" target="_blank" rel="noopener">DAL</a></td>
</tr>
<tr>
<td><span><b>Date of Idea:</b></span></td>
<td>8 August 2023</td>
</tr>
<tr>
<td><span><b>Time Line:</b></span></td>
<td>6 – 12 months</td>
</tr>
<tr>
<td><span><b>Entry Level:</b></span></td>
<td>$49.00</td>
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<td><span><b>Target Level:</b></span></td>
<td>$59.00</td>
</tr>
<tr>
<td><span><b>Position Size for Invest.MT5 Account:</b></span></td>
<td>Max 5%</td>
</tr>
<tr>
<td><span><b>Risk:</b></span></td>
<td>High</td>
</tr>
</tbody>
</table>
</div><ul>
<li>The <a href="https://admiralmarkets.com/start-trading/admiral-invest-stocks-and-etfs" target="_blank" rel="noopener">Invest.MT5 account</a> allows you to buy real stocks and shares from 15 of the largest stock exchanges in the world.</li>
</ul><div>
<div data-symbol="NYSE:DAL" data-interval="D"></div>
<div>Source: <span><a rel="nofollow noopener" href="https://www.tradingview.com/" target="_blank">TradingView</a><span> – <em>Past performance is not a reliable indicator of future results.</em></span></span></div>
</div><p>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 <a href="https://admiralmarkets.com/start-trading/forex-demo" target="_blank" rel="noopener">demo account</a> first to build your knowledge before investing.</p><p><a href="https://admiralmarkets.com/instrument/delta-air-lines-inc-dal" target="_blank" rel="noopener"><a href="https://admiralmarkets.com/analytics/traders-blog/trading-idea-delta-air-lines-august-2023"><picture class="lozad" data-iesrc="https://fxmedia.s3.amazonaws.com/articles/Buy_Delta_Air_Lines_Shares.png" data- data- data-alt="Buy Delta Air Lines Shares" data-height="220" data-width="720"><source type="image/webp" media="(min-width: 640px)" srcset="https://dqvh7oj3vu3ch.cloudfront.net/720x,webp/fxmedia.s3.amazonaws.com/articles/Buy_Delta_Air_Lines_Shares.png"></source><source type="image/webp" media="(max-width: 639px)" srcset="https://dqvh7oj3vu3ch.cloudfront.net/375x,webp/fxmedia.s3.amazonaws.com/articles/Buy_Delta_Air_Lines_Shares.png"></source></picture></a></a></p><h2>Delta Air Lines Q2 2023 Performance</h2><p>Here are some of the key highlights from the latest <a rel="nofollow noopener" href="https://s2.q4cdn.com/181345880/files/doc_earnings/2023/q2/earnings-result/Delta-Air-Lines-Announces-July-Quarter-2023.pdf" target="_blank">second-quarter earnings report</a> from Delta Air Lines: </p><ul>
<li>Earnings per share of $2.68 vs $2.40 expected, an increase of 86% year on year (YoY).</li>
<li>Revenue of $14.61 billion vs $14.44 billion expected, an increase of 19% YoY.</li>
<li>Operating income of $2.49 billion up from $1.45 billion the previous year.</li>
<li>International passenger revenue rose 61% as international travel boomed.</li>
<li>Premium and Loyalty revenue grew by 25% and 20% respectively.</li>
</ul><p>Not only did Delta beat market expectations in Q2 but it posted its highest ever quarterly revenue and profitability and raised its full-year outlook for the second time in as many months.</p><p>Delta, like many other airlines, has benefitted in 2023 from a surge in demand for leisure travel and falling jet fuel prices, which can account for as much as 30% of an airline’s operating expenses.</p><p>These changing conditions have shifted sentiment surrounding airlines, with many enjoying a great start to the year in the stock market. Delta’s share price has soared 38% so far in 2023, and many analysts forecast that it could climb further yet, more on that later.</p><p>Particularly encouraging for Delta Air Lines is the increase in Premium and Loyalty revenue, which suggests that business travel is recovering, having lagged behind leisure travel the last couple of years. Business travellers pay higher rates and, consequently, business travel is a very important component of revenue for airlines which offer this service.</p><p>Nevertheless, whilst the outlook for the airline industry has certainly improved, the economic outlook remains somewhat uncertain. The global economy has slowed considerably, and some economists still forecast that the US may enter <a href="https://admiralmarkets.com/education/articles/shares/investing-in-a-recession" target="_blank" rel="noopener">recession</a> later this year. Given the highly cyclical nature of the airline industry, a slowing economy and a high cost of living could take its toll on demand for air travel in the coming months.</p><h2>Delta Air Lines Stock Forecast – What do the Analysts Say?</h2><p>According to analysts polled by TipRanks for a Delta stock forecast in the past 3 months, there are currently 17 buy, 0 hold and 0 sell ratings on the stock. The highest price level for a Delta Air Lines stock forecast is $77.00 with the lowest price target at $45.00. </p><p>The average price target for a Delta Air Lines stock forecast is $59.88.</p><figure><a href="https://admiralmarkets.com/analytics/traders-blog/trading-idea-delta-air-lines-august-2023"><picture class="lozad" data-iesrc="https://fxmedia.s3.amazonaws.com/articles/Delta_Air_Lines_Stock_Forecast.png" data- data- data-alt="Delta Air Lines Stock Forecast" data-height="847" data-width="2272"><source type="image/webp" media="(min-width: 640px)" srcset="https://dqvh7oj3vu3ch.cloudfront.net/720x,webp/fxmedia.s3.amazonaws.com/articles/Delta_Air_Lines_Stock_Forecast.png"></source><source type="image/webp" media="(max-width: 639px)" srcset="https://dqvh7oj3vu3ch.cloudfront.net/375x,webp/fxmedia.s3.amazonaws.com/articles/Delta_Air_Lines_Stock_Forecast.png"></source></picture></a>
<figcaption><em>Source: <a rel="nofollow noopener" href="https://www.tipranks.com/stocks/dal/forecast" target="_blank">TipRanks</a> – 8 August 2023</em></figcaption>
</figure><p> </p><h2>An Example Trading Idea for the Delta Share Price</h2><p>An example trading idea for the Delta Air Lines share price could be as follows: </p><ul>
<li>Buy the stock on a break above $49.00 to allow for volatility. </li>
<li>Target just below the average analyst price target at $59.00. </li>
<li>Keep your risk small at a maximum of 5% of your total account. </li>
<li>Time Line = 6 – 12 months </li>
<li>If you buy 25 Delta Air Lines shares: </li>
<ul>
<li>If target is reached = $250.00 potential profit [($59.00 – $49.00) * 25 shares].</li>
</ul>
</ul><p>Remember that markets go up and down and the share price is unlikely to move up in a straight line. In fact, it may even go much further down before it rises, if it rises at all.</p><p>Be sure to exercise good risk management and always know how much you could potentially lose on a trade, the risks involved and the costs.</p><p>With the Admirals <a href="https://admiralmarkets.com/start-trading/admiral-invest-stocks-and-etfs" target="_blank" rel="noopener">Invest.MT5 account</a> you can buy and sell US stocks with a commission from $0.02 per share. That means buying 25 Delta Air Lines shares would result in a commission of $0.50 ($0.02 * 25 shares) for executing a per-side transaction.</p><p>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! </p><h2>How to Buy Delta Air Lines Shares in 4 Steps </h2><p>With Admirals, you can buy shares in companies like Delta Air Lines with a low commission of just $0.02 per share and a low minimum commission of just $1 on US stocks. </p><ul>
<li>Open an account with Admirals to access the <a href="https://admiralmarkets.com/login" target="_blank" rel="noopener">Dashboard</a>. </li>
<li>Click Invest on one of your live or demo accounts to open the web platform. </li>
<li>Search for your stock in the search window at the top right to view the price chart. </li>
<li>Click Create New Order at the bottom of the screen, enter the number of shares you wish to purchase and click ‘Buy’ to send your order to the market!</li>
</ul><figure><a href="https://admiralmarkets.com/analytics/traders-blog/trading-idea-delta-air-lines-august-2023"><picture class="lozad" data-iesrc="https://fxmedia.s3.amazonaws.com/articles/How_to_Buy_Shares_in_Delta_Air_Lines.png" data- data- data-alt="How to Invest in Delta Air Lines" data-height="1115" data-width="2864"><source type="image/webp" media="(min-width: 640px)" srcset="https://dqvh7oj3vu3ch.cloudfront.net/720x,webp/fxmedia.s3.amazonaws.com/articles/How_to_Buy_Shares_in_Delta_Air_Lines.png"></source><source type="image/webp" media="(max-width: 639px)" srcset="https://dqvh7oj3vu3ch.cloudfront.net/375x,webp/fxmedia.s3.amazonaws.com/articles/How_to_Buy_Shares_in_Delta_Air_Lines.png"></source></picture></a>
<figcaption><em>Depicted: Admirals <a href="https://admiralmarkets.com/trading-platforms/webtrader" target="_blank" rel="noopener">MetaTrader WebTrader</a> – Delta Air Lines H1 Chart. Date Captured: 8 August 2023. Past performance is not a reliable indicator of future results.</em></figcaption>
</figure><p> </p><p>Click on the banner below to trade Delta Air Lines stock today! ▼▼▼ </p><p><a href="https://admiralmarkets.com/instrument/delta-air-lines-inc-dal" target="_blank" rel="noopener"><a href="https://admiralmarkets.com/analytics/traders-blog/trading-idea-delta-air-lines-august-2023"><picture class="lozad" data-iesrc="https://fxmedia.s3.amazonaws.com/articles/Buy_Delta_Air_Lines_Shares-1.png" data- data- data-alt="How to Buy Delta Air Lines Shares" data-height="220" data-width="720"><source type="image/webp" media="(min-width: 640px)" srcset="https://dqvh7oj3vu3ch.cloudfront.net/720x,webp/fxmedia.s3.amazonaws.com/articles/Buy_Delta_Air_Lines_Shares-1.png"></source><source type="image/webp" media="(max-width: 639px)" srcset="https://dqvh7oj3vu3ch.cloudfront.net/375x,webp/fxmedia.s3.amazonaws.com/articles/Buy_Delta_Air_Lines_Shares-1.png"></source></picture></a></a></p><h2>Do You See the Delta Stock Price Moving Differently? </h2><p>This means you can trade long and short to potentially profit from rising and falling stock prices.</p><p>Remember that all analytics and trading ideas are based on the personal view and experience of the author. </p><p>If you believe there is a higher chance Delta’s share price will move lower, then you can choose to trade short using a CFD (Contracts for Difference) trading account which Admirals also provide. </p><p>The <a href="https://admiralmarkets.com/start-trading/account-types" target="_blank" rel="noopener">Trade.MT5 and Trade.MT4 accounts</a> allow you to speculate on the price direction of stocks and shares using CFDs. </p><p>This means you can trade long and short to potentially profit from rising and falling stock prices. Learn more about CFDs in this article: <a href="https://admiralmarkets.com/education/articles/forex-basics/what-is-cfd-trading-contracts-for-difference-explained" target="_blank" rel="noopener">How to Trade CFDs</a>.</p><p><em><b>INFORMATION ABOUT ANALYTICAL MATERIALS:</b></em></p><p><em>The given data provides additional information regarding all analysis, estimates, prognosis, forecasts, market reviews, weekly outlooks or other similar assessments or information (hereinafter “Analysis”) published on the websites of Admirals investment firms operating under the Admirals trademark (hereinafter “Admirals”) Before making any investment decisions please pay close attention to the following:</em></p><ul>
<li><em>This is a marketing communication. The content is published for informative purposes only and is in no way to be construed as investment advice or recommendation. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and that it is not subject to any prohibition on dealing ahead of the dissemination of investment research.</em></li>
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<li><em>With view to protecting the interests of our clients and the objectivity of the Analysis, Admirals has established relevant internal procedures for prevention and management of conflicts of interest.</em></li>
<li><em>The Analysis is prepared by an independent analyst Roberto Rivero, Freelance Contributor (hereinafter "Author") based on personal estimations.</em></li>
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