Delta Airlines (NYSE: DAL) was up in pre-market trading on Wednesday after the airliner guided for a bullish growth outlook. The company stated that it expects its revenues to grow year-over-year in the range of 15% to 20% in FY23.
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What’s more, DAL anticipates its margins to expand resulting in earnings to almost double between $5 and $6 per share in FY23, “keeping us on track for our 2024 earnings target of over $7 per share.”
The FY23 and FY23 earnings estimates are above consensus estimates of $4.80 and $6.62 per share, respectively.
FY22 adjusted earnings are forecasted to be in the range of $3.07 to $3.12 reflecting “an increased outlook for the December quarter compared to prior guidance provided in October.”
The FY22 guidance is a notch above Street forecasts of $2.88 per share.
Furthermore, Delta stated in its press release, “The company expects to generate more than $2 billion of free cash flow, enabling further debt reduction. The company is reiterating 2024 targets, including earning over $7 per share and strengthening the balance sheet to return to investment grade metrics.”
Wall Street analysts are bullish about DAL stock with a Strong Buy consensus rating based on a unanimous nine Buys.
