Delta Air Lines Aims at Fleet Growth: More Upside Ahead?

Core Insights - Delta Air Lines is expanding its widebody fleet to meet increasing air travel demand, with plans to add 31 Airbus aircraft starting in 2029 [1][10] - The fleet expansion aims to modernize older planes and strengthen Delta's global network, enhancing operational capabilities and premium travel services [2][3] Fleet Expansion Details - Delta will add 16 A330-900s and 15 A350-900s, increasing its A330 fleet to 55 and A350 fleet to 79, including 20 A350-1000 jets, with deliveries starting in early 2027 [4] - The new aircraft will support Delta's expansion into long-haul destinations across Asia, Africa, the Middle East, and the South Pacific [4] Boeing Acquisition - Delta has also ordered 30 Boeing 787-10 widebody aircraft, with options for an additional 30, with deliveries expected to begin in 2031 [5][6] - This acquisition is part of Delta's international growth strategy, enhancing its long-haul capabilities and global footprint [6] Engine Partnership - Delta has selected GE Aerospace's GEnx engines for the new Boeing 787-10s, which includes spare engines and long-term service support, strengthening its partnership with GE Aerospace [7] Financial Performance - Delta's shares have increased by over 13% in the past six months, outperforming the Zacks Transportation - Airline industry [8] - The company trades at a 12-month forward price-to-sales ratio of 0.68X, which is higher than industry levels [11] - The Zacks Consensus Estimate for Delta's earnings per share for 2026 and 2027 has improved in the past 60 days [12]