Delta Air Lines faces a turbulent period, confronting a $380M revenue dent from a CrowdStrike-induced malfunction. The disaster substantially damaged Delta's financial standing, prompting legal action against CrowdStrike and Microsoft. Currently, Delta's outlook seems daunting due to factors including a flight glut and continuing tech problems which are causing fares to plummet. The airlines' sumer prediction also disappointed investors, and the company's stock is down by 27% from recent highs. Some are even urging investors to steer clear of Delta for now. However, the airline's recent financial results for Q2 2024 suggest some hope. Despite this, Delta faces strong competition and potentially sizable losses resulting from a decrease in Paris tourism during the Olympics. Tech issues continue to plague the industry, with Delta blaming CrowdStrike for a $500 million setback. Delta's Q2 2024 Earnings led to an airline retreat, however, offering bullish investors potential reasons to get on board. The airlines' tangled relationship with CrowdStrike dominates the narrative; Claims and counter-claims abound as Delta is calling for damages for the tech disaster. Fitch's uplift from Junk for Delta does infuse some positivity, but overall, this is a challenging period for the airline.
Delta Air Lines DAL News Analytics from Fri, 12 Jan 2024 08:00:00 GMT to Sun, 11 Aug 2024 12:21:46 GMT -
Rating -8
- Innovation -4
- Information 5
- Rumor -5
