Delta Says It Has Started 2026 "Great Momentum" -- Time to Buy the Stock?

• Delta says 2026 is disconnected to a beardown start, with request trends improving into the caller year.

• The astir caller 4th showed slower year-over-year adjusted gross maturation and weaker year-over-year adjusted net per share.

• Despite the banal rising sharply successful caller months, its valuation inactive looks cheap.

• 10 stocks we similar amended than Delta Air Lines ›

Delta Air Lines (NYSE: DAL) conscionable wrapped up its centennial twelvemonth with affirmative trends that proceed to defy the broader hose industry. In addition, Delta president Glen Hauenstein told investors successful the company's fourth-quarter net telephone that 2026 "has started disconnected with large momentum."

With beardown concern momentum, is this a bully clip to bargain the stock? After all, shares commercialized astatine conscionable 9 times net and escaped currency travel is pouring successful astatine grounds levels.

Let's instrumentality a person look.

Delta's fourth-quarter gross roseate 1.2% twelvemonth implicit year. That's a deceleration compared to Q3, erstwhile full gross roseate 4.1% twelvemonth implicit year. Further, Delta's non-generally accepted accounting principles (GAAP) net per stock fell 16% twelvemonth implicit twelvemonth during this period.

Despite a deceleration successful top-line maturation and a diminution successful earnings, absorption was upbeat. This is, successful part, due to the fact that the Delta continues to outperform the wide hose industry.

"Over the past 3 years, we've generated $10 cardinal successful escaped currency flow, allowing america to fortify our investment-grade equilibrium expanse and trim leverage by much than 50%," explained Delta CEO Ed Bastian during the company's fourth-quarter net call. "Our instrumentality connected invested superior of 12% is good supra our outgo of capital, placing america successful the precocious fractional of the S&P 500 and starring the industry."

But the biggest crushed for management's optimism is astir apt what's going connected successful the archetypal fewer weeks of the year.

"2026 is disconnected to a beardown commencement with top-line maturation accelerating connected user and firm demand," Bastian said successful the company's fourth-quarter net release.

In fact, Delta noted successful its net telephone that successful the week starring up to its Jan. 13 net release, the institution saw "record bookings with currency income up treble digits connected apical of the spot that we saw past year."

With this background, it's not astonishing that absorption is optimistic astir Q1. Delta said it expects first-quarter gross to emergence 5% to 7% twelvemonth implicit year, marking a important acceleration. Even more, it expects non-GAAP net per stock for the play to beryllium betwixt $0.50 and $0.90, with the midpoint of this scope implying 52% year-over-year growth.