Why Delta's Earnings Mean it's Time to Invest in Aerospace Stocks
Delta Air Lines' (NYSE: DAL) latest earnings went a long way to firming up the case for a multi-year recovery in the commercial aviation sector. Despite the difficulties of dealing with the outbreak of the omicron variant in the quarter and higher-than-expected fuel prices, Delta easily beat its guidance for revenue in the quarter. Moreover, the airline finished the quarter on a powerful note and guided toward an excellent second quarter. Here are five reasons why it's great news for the aviation sector.
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Having been negatively impacted in January and February by the omicron variant -- Delta generated losses in both months -- the airline made a solid comeback to profitability and cash flow in March. As CEO Ed Bastian noted on the earnings call, "With the rebound in demand, the month of March was the best cash sales month in Delta's history, outpacing our prior record from spring of 2019 despite offering 10% fewer seats."
Source Fool.com
