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Delta Air Lines

DAL
46
Airlines, Airports & Air Services · Industrials
Price
$84.17
-2.53 (-2.92%)
Market Cap
$55.35B
Winston Score
46
Winston is serious
Mixed quality — meaningful strengths and weaknesses.

Share count rising — dilution

+2.0% over 4y

The company has issued more shares over this period, which dilutes each existing shareholder’s stake.

Diluted shares outstanding: 641.0M (2021) → 654.0M (2025)

Delta Air Lines flies people and cargo from one place to another on airplanes. It serves everyday travelers, business flyers, and companies that need to ship goods, operating one of the largest airline networks in the United States. Delta is one of the three dominant U.S. carriers and is known for its focus on premium cabin travel and its loyalty program, SkyMiles.

Delta makes money by selling plane tickets, charging for checked bags and seat upgrades, and earning fees from its co-branded credit card partnership with American Express. It operates mainly in the U.S. but also flies to Europe, Latin America, Asia, and other regions, generating roughly $60 billion in annual revenue. Its competitive edge comes from its hub dominance in cities like Atlanta and New York, plus the sticky nature of its loyalty program — though rising fuel costs and economic slowdowns that reduce travel demand remain the biggest risks to its profitability.

Winston Score History

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Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

+12.9% YoY

YoY Growth Rate

Steady revenue growth

EPS Growth

-218.9% YoY

YoY Growth Rate

Earnings declining

R&D Spend

$0/ year

0.0% of revenue

Below sector average (4%)

Research and development spending

Insider Activity

0.5%ownership

Declining

Insider ownership declining — could be dilution or selling

Cash Position

Cash flow positive

$5.1B cash & investments

Quarterly Free Cash Flow

↑ Burn rate improving

Company generates more cash than it spends — no dilution risk from fundraising

Growth + cash flow

Delta Air Lines is a rare growth stock that's already generating positive cash flow while growing at 13%. The Winston Score doesn't fully credit this transition from "burner" to "earner."

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

Every number that matters to educated investors.

Each metric is explained in plain language so you know exactly what you're looking at. Start your free trial now.

Quality

Gross Margin
28.6%
Modest — 28.6% gross margin
Operating Margin
3.2%
Thin — 3.2% operating margin
ROCE
1.5%
Weak — 1.5% return on capital

ROIC between 0% and 5%. They earn a few cents back per dollar invested in the business.

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Growth

Sales YoY
+5.2%
Slow sales growth (5.2% YoY)
EPS YoY
+21.8%
Earnings growing fast (21.8% YoY)

Healthy double-digit earnings growth — what compounders look like.

EPS Consistency
6/8 quarters
Earnings grew in most of the last 8 quarters

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Cash Flow

Cash Conversion
188%
Turns 188% of profit into real cash
FCF Margin
6.0%
Modest free cash flow (6.0%)

FCF margin between 0% and 10%. Some cash from sales, but not a lot.

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Stability

Debt / Equity
0.70
Moderate — manageable debt (0.70)
Interest Cover
8.84x
Comfortably covers interest (8.8x)

Interest coverage above 8. Profits cover interest many times over.

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Valuation

P/E Ratio (TTM)
12.2x
Attractive valuation — P/E 12.2

P/E in the normal range. Price is roughly $15 for every $1 of yearly profit.

P/E vs Forward
+0.7
GROWING
Earnings roughly flat

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Dividends

Dividend Yield
0.81%
Small dividend — 0.81% yield

Modest yield. The bulk of any return needs to come from price appreciation.

Dividend Growth
+22.0%
Dividend growing fast (22.0% YoY)

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