Stock Pulse
Delta Air Lines (DAL) exceeded Q1 2025 earnings and revenue expectations, driven by premium product and international travel demand, but experienced weakness in domestic main cabin demand [3], [12]. The company withdrew its full-year guidance and plans to reduce capacity growth in the second half of 2025 due to economic uncertainty and tariff concerns [3], [2]. While lower fuel costs offer some relief, higher labor costs and economic headwinds remain significant concerns [3]. Delta will refuse to pay tariffs on new aircraft deliveries, impacting Airbus and potentially shifting orders to Boeing [4]. Despite the challenges, a director purchased a significant number of shares [11], and billionaire Stanley Druckenmiller holds a substantial stake in DAL, viewing it as a potential top pick [5]. Raymond James lowered Delta's price target but maintained a Strong Buy rating, citing the company's cost management strategy and structural advantages [2].