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Tuesday's Morning Movers: DAL Lifts Guidance, LLY & DKNG Downgrades
Youtube· 2026-03-17 14:02
Delta Airlines - Delta Airlines has updated its first quarter sales outlook, now expecting high single-digit growth due to an acceleration in both corporate and leisure travel [2][6] - The airline reported logging eight of its ten highest sales days ever this month, which is helping to offset a significant rise in fuel costs, with a noted increase of approximately $400 million in fuel expenses as oil prices spiked above $100 per barrel [3][5] - Delta's revenue for Q1 is now projected to be between $15 billion and $15.3 billion, an increase from just above $14 billion last year and above consensus estimates [6] Eli Lilly - Eli Lilly received a downgrade from HSBC, reducing its rating from hold to reduce and slashing its price target from $1,070 to $850, citing that the stock is priced to perfection after a significant run [7][8] - Concerns have been raised regarding the obesity drug market being overhyped, with expectations of pricing pressure and potential competition affecting Eli Lilly's market position [8][9] - The anticipated launch of Eli Lilly's obesity pill is projected to generate $1.1 billion to $1.3 billion, but there are concerns about higher dropout rates and shorter treatment durations than previously modeled [11][12] DraftKings - DraftKings has been downgraded by Argus from buy to hold, facing challenges in prediction markets and high customer acquisition costs, which are seen as headwinds for the company [12][14] - Increased state taxes and a loss of market share in internet gaming in the US are additional concerns contributing to the downgrade [14]