DAL Stock Price: Delta Air Lines, has it landed safely? Recent trading is promising
|- Delta Air Lines' stock price has been hovering above the lows, but not fallen.
- Hopes for returning to normal are keeping shares afloat.
- Recent trading, in tandem with the broader market, is promising.
Touching down and ready to take off? Delta Air Lines i– or at least its stock – is warming engines. The airline industry has been hit hard by the coronavirus crisis. A mix of travel bans, social distancing guidelines, and stay-at-home orders have kept passengers away from airports and planes. Slights were grounded all over the world or flying nearly empty.
Delta has not been spared from this fate, nor from Warren Buffets "I wish them luck" kiss of death. The famous investor said he had sold all his holdings in the industry and sees an extremely uncertain future. The Atlanta-based company is one of America's largest carriers and saw its aircraft staying on the ground and incomes plummeting.
But now, hopes for the reopening of the US economy – where the firm mostly operates – and also lockdown easings in Europe are helping. Is it ready to take off?
DAL stock forecast
DAL is currently trading at the $21 handle, above the 52-week low of $19.10, but off the $60 prices, the share was trading hands at early in the year. Apart from refraining from new lows, the recent trading is encouraging, as it tracks the broader stock market closely. Not standing out is an advantage in times of trouble. The minor drop recorded on Tuesday goes hand in hand with the edging lower of the S&P 500 Index.
However, shares remain at risk of a second wave of COVID-19 cases. Anthony Fauci, who is one of the White House's leading is set to warn of the dangers of reopening the economy too quickly.
Topping the recent mini-peak of $27.32 would be a substantial milestone and a bullish sign. However, a drop below the psychologically significant $20 would open the door to the downside.
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