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Key Takeaways

• Delta Air Lines is scheduled to report fourth-quarter earnings before the opening bell on Friday.

• All 13 analysts tracked by Visible Alpha rate Delta's stock as a "buy," with an average price target predicting gains of 30%.

• Delta's revenue and adjusted net income are each expected to have risen year-over-year.

Delta Air Lines (DAL) is set to report earnings for the fourth quarter of fiscal 2024 before markets open Friday, with analysts expecting increases in revenue and adjusted profit.

Analysts are bullish on the airline, with all 13 analysts tracked by Visible Alpha maintaining a "buy" rating on Delta stock. The analysts have an average price target of $76.85 for the stock, which would be a gain of 30% from its closing level of $59 Friday.

The airline is projected to report $14.87 billion in revenue for the fourth quarter, up about 4.6% from the same time last year. Net income, however, is expected to decline 45% to $1.12 billion from $2.04 billion a year earlier.

Delta's fourth-quarter 2023 net income was boosted by a positive adjustment to the value of the carrier's investments, as its stake in the Wheels Up (UP) private air travel service became more valuable thanks to an jump in the company's share price in that quarter. After accounting for the value change, Delta's adjusted net income came in at $826 million a year ago, and is expected to have risen to $1.15 billion.

Premium Products Driving Delta's Plans for 2025 and Beyond

At the airline's investor day in November, Delta said rising demand for travel across generational lines made the company confident that it will continue to see revenue growth for its premium seating products.

Delta said it expects revenue and earnings per share (EPS) to rise in the coming years as its premium products expand and its profit margins improve.

The airline is also still in the midst of its legal fight with CrowdStrike (CRWD) after filing a lawsuit late last year seeking damages for last summer's Windows outage caused by a CrowdStrike update that led to thousands of Delta flights being canceled and $500 million in costs. CrowdStrike has said it is not responsible for Delta's handling of the outage, and has sought the dismissal of the lawsuit by citing a liability and damages cap clause in their contract, CNBC reported last month.

The airline's stock has risen nearly 50% over the past 12 months.

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