Analysts expect the air carrier to report quarterly earnings of $1.76 per share, up from $1.71 per share a year ago. The consensus estimate for DAL’s quarterly revenue is $18.92 billion. It reported $16.67 billion last year, according to Benzinga Pro.
Ahead of quarterly earnings, Susquehanna analyst Christopher Stathoulopoulos maintained a Positive rating on Delta Air and lowered the price target from $105 to $100, while Bernstein analyst David Vernon maintained an Outperform rating and cut the price target from $106 to $100.
With the recent buzz around Delta Air Lines, some investors may be eyeing potential gains from the company’s dividends. Currently, Delta Air Lines has an annual dividend yield of 1.04%, with a quarterly dividend of 21.5 cents per share (86 cents a year).
So, how can investors exploit its dividend yield to pocket a regular $500 monthly?
To earn $500 per month, or $6,000 annually, from dividends alone, you would need an investment of about $578,882, or around 6,977 shares. For a more modest $100 per month ($1,200 per year), you would need $115,743 or about 1,395 shares.
To calculate: Divide the desired annual income ($6,000 or $1,200) by the dividend ($0.86 in this case). So, $6,000 / $0.86 = 6,977 ($500 per month), and $1,200 / $0.86 = 1,395 shares ($100 per month).
Note that dividend yield can change on a rolling basis, as dividend payments and stock prices both fluctuate over time.
How that works: The dividend yield is computed by dividing the annual dividend payment by the stock’s current price.
For example, if a stock pays an annual dividend of $2 and is currently priced at $50, the dividend yield would be 4% ($2/$50). However, if the stock price increases to $60, the dividend yield drops to 3.33% ($2/$60). Conversely, if the stock price falls to $40, the dividend yield rises to 5% ($2/$40).
Similarly, changes in dividend payments can affect the yield. If a company increases its dividend, the yield will also increase, provided the stock price stays the same. Conversely, if the dividend payment decreases, so will the yield.
DAL Price Action: Delta Air Lines shares fell 0.8% to close at $82.97 on Wednesday.
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