Zacks Rank (Who?) on Delta stock---BUY----with reasons

[Noserider76]

So should we be expanding rapidly in DEN to snag all those lucrative folks who think they should fly all over the USA for $49? With the weak dollar, it will still be a bargain for foreigners to fly Delta even if their markets suck. Sure, demand is going to drop some, but it still beats having 85% of your business here in the domestic market which sucks even when times are good.

Exactly. Just when you think it can't suck any worse here it falls off a cliff. Wait for the credit card defaults as people realize they can't pay for the lifestyle they've charged. Someone needs to fly the people into the country who hold our debt and are bailing out our companies.

 

[snow-back]

Wrong side of the wave? We are the wave to all of those countries, and we will fly people from one side of the World to the other, for a lot of money. I guess you didn't know this, but we have already gone to all of those countries plus MORE, and merging with NWA will just make us bigger, and better. The reason we couldn't add any new service to India, Brazil, etc was because those countries weren't giving the rights for foreign carriers to do so. Nobody could go there since they were protecting their own. So, how are we 2 years behind the wave? We are on the forefront----we are among the FIRST to get the new rights to those countries. And speaking of waves, I think I will wave to you from the cockpit, and maybe I throw you a small water bottle if you are thirsty. BTW, you can pull the power any time. Close the cargo door while you are at it too.


Bye Bye--General Lee

I guess you didn't understand what I was getting at. Delta is expanding into these international markets at a time when we're entering a global recession. Kind of like going long oil at $145. It's bad timing.

PS: You're sounding a little more juvenile than usual. Is something bothering you? Did you mess up PBS and get a line of SKBO trips this month (great coffee and wine there by the way!).

 

[Benhuntn]

Mike's apt. Nice!!!!!

 

[General Lee]

I guess you didn't understand what I was getting at. Delta is expanding into these international markets at a time when we're entering a global recession. Kind of like going long oil at $145. It's bad timing.

PS: You're sounding a little more juvenile than usual. Is something bothering you? Did you mess up PBS and get a line of SKBO trips this month (great coffee and wine there by the way!).

No, only Vienna and Rio this month. Anyway, the domestic market is even worse, so instead of parking every airplane, we decided to go for places Airtran and Southwest couldn't reach. Lots of opportunities for new routes have just opened thanks to governments now opening up. Could there be a global recession? Sure. Will it be bad everywhere? Maybe not. Do people still have to travel? You bet. It is worse here, so we move planes to go over there. Simple. We ourselves are leaner now unfortunately thanks to BK, so we can compete better than others like AA and CAL.

Bye Bye--General Lee

 

[snow-back]

It is worse here, so we move planes to go over there. Simple. We ourselves are leaner now unfortunately thanks to BK, so we can compete better than others like AA and CAL.

Bye Bye--General Lee

Actually, many industrialized foreign economies are accelerating into recession much faster than the US. The US economy is actually stabilizing and the world is catching up (down) to us.

DAL is leaner...so you have that going for you. Good luck.

 

[General Lee]

Actually, many industrialized foreign economies are accelerating into recession much faster than the US. The US economy is actually stabilizing and the world is catching up (down) to us.

DAL is leaner...so you have that going for you. Good luck.

So, can you give me an example of new routes we have opened up recently and the same countries that are accelerating into a recession faster than we are.......I am waiting....... How about Brazil? We just were AWARDED 3 new cities. I think they are doing better than we are. How about China? We just started 777LR nonstops there. How about England? We just started new LHR routes there. Can you give me an example backed with any sort of facts? Your generalizations are ridiculous, so you don't have that going for you. Give specifics on all of those routes that we have added recently.

Bye Bye--General Lee

 

[Mikes Apartment]

Hey General,

Sounds like you need to go to China and get a massage with a happy ending. Relax dude.

 

[PuffDriver]

Actually, many industrialized foreign economies are accelerating into recession much faster than the US. The US economy is actually stabilizing and the world is catching up (down) to us.

DAL is leaner...so you have that going for you. Good luck.

The US economy is NOT stabilizing. We are headed for a greater depression. The aviation side of things could play out a number of different ways, but most likely will be nationalization, with Delta leading the pack as the largest and broadest US airline. The airline industry cannot go away as it is to vital, but it can certainly shrink down much further. Major players will fall this year or next.

 

[snow-back]

The airline industry cannot go away as it is to vital, but it can certainly shrink down much further. Major players will fall this year or next.

Agreed.

 

[Varkdriver]

Not much of a poster here, but after reading General Lee's postings, have to comment. We, DAL, are late to the Intl expansion, only making inroads because of Glenn Hauenstein (thanks CAL). I think DAL is making money today because we are targeting markets that have no/little service and we can command a premium price. Whether it be the worldwide recession or a fully engaged Open Skies policy, the Intl market premium/overrides will start to dilute, and then the profits begin to tighten. As a 20 year DAL employee, and an airline employee in general, I believe we all are better served without all the macho bravado and puffery, "my airline is better then yours", mentality. I'm guessing the employees at Eastern, PanAm, TWA , et al, all had the same pride...but unfortunately, not everyone is interested in running an airline, alot are looking for ways to skim off the top for themselves. It is alive an well, just look around you the past two weeks on Wall Street.
You can bet airline traffic will be down, probably worldwide, so hang on to your hats (if they're a required part of your uniform) and continue to do the best job you are trained to do.

 

[FDJ2]

Delta is expanding into these international markets at a time when we're entering a global recession.

It's tough to have a crystal ball that's accurate. However yields on Delta's international routes seem to be performing well.

This guidance came from DAL's latest 8K:

International yields are expected to be extremely strong across the board, but particularly in Latin American markets;