5 Best Spring Stocks to Buy Now

3. Delta Air Lines, Inc. (NYSE: DAL)

Number of Hedge Fund Holders: 50    

Delta Air Lines, Inc. (NYSE: DAL) is a Georgia-based airline company. It was founded in 1924 and is ranked third on our list of 10 best spring stocks to buy now. The company’s shares have returned more than 34% to investors over the past year. Besides operating an air carrier, the company also offers related services such as aircraft maintenance, repair, and overhaul. As vacation destinations become tourist hotspots in the post-pandemic economy and aircraft bookings improve, Delta is one of the stocks that is likely to register handsome gains after a disappointing 2020. 

On June 3, Delta Air Lines, Inc. (NYSE: DAL) boosted guidance numbers for the second quarter of 2021 on the back of increasing travel demand. The company said it expected leisure travel to be 100% recovered from the 2020 lows by the end of June this year. 

At the end of the first quarter of 2021, 50 hedge funds in the database of Insider Monkey held stakes worth $1.09 billion in Delta Air Lines, Inc. (NYSE: DAL), down from 58 in the preceding quarter worth $1.05 billion.

In one of their investor letters, Miller Value Partners highlighted a few stocks and Delta Air Lines Inc. (NYSE: DAL) is one of them. Here is what the fund said:

“Delta Air Lines Inc. (DAL) declined -1.38% over the period after the initial hit to the stock in 1Q following the outbreak of the COVID-19 pandemic. The company reported 1Q results with EPS of -$0.51, in-line with consensus. The company guided for June revenue to be down 90% YoY and announced another $1B cut to capital expenditures (CAPEX) for a total cut of $3B so far this year. The company ended the quarter with $6B in liquidity and they expect to end the June quarter with $10B in liquidity. Delta held its annual shareholders’ meeting where it noted that it expects to finish the 2nd quarter with over $15B in liquidity with a daily cash burn of $30M getting to breakeven by the end of the year.”