UBS Sees Potential for 50% EPS Growth, Raises Delta Air Lines (DAL) Target

Delta Air Lines, Inc. (NYSE:DAL) is included among the 10 Best Value Dividend Stocks to Buy Now According to Warren Buffett.

On May 26, UBS raised its price recommendation on Delta Air Lines, Inc. (NYSE:DAL) to $98 from $95. It reiterated a Buy rating on the shares. In a research note, the analyst said the firm sees the potential for roughly 50% EPS growth by 2027 for several airlines.

A few days later, on May 29, Deutsche Bank increased its price goal on Delta Air Lines to $90 from $80. It maintained a Buy rating on the stock. The firm said airlines that generate returns on invested capital above their weighted average cost of capital are in a stronger position to reduce debt and return capital to shareholders. According to the analyst, such carriers are also in “far better shape to weather an industry downturn, whether economically or geopolitically-driven.” Deutsche Bank added that only a small number of US airlines are positioned to demonstrate “durability and resiliency” in earnings and free cash flow during the “geopolitically-driven” 2026 downturn. The firm updated its airline sector price targets as part of what it described as a “value creation primer.”

Delta Air Lines, Inc. (NYSE:DAL) provides scheduled air transportation services for passengers and cargo across the United States and international markets.

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