$11.15 0.26 (+2.39%)
2/13/2012 4:01 PM

Delta Air Lines, Inc. (NYSE:DAL)

CAPS Rating: 1 out of 5

The Company provides air transportation for passengers and cargo throughout the U.S. and around the world.

Recs

3
Player Avatar sandvig (99.67) Submitted: 12/19/2008 10:46:01 AM : Underperform Start Price: $10.92 DAL Score: +16.17

There are so many reasons to give this a thumbs down.
The "Profiles" tab reveals that it has a return on assets of -29.50%; it has a return on investments of -64%; its long term debt to equity ratio is 3.88, reflecting lots and lots of long term debt; it has negative cash flow.
They have a fleet of old planes that need to be upgraded. The last time I checked, new airplanes are expensive.
Interest rates will likely go up, which will make it harger and harder for DAL to generate positive cash flow.
Will the price of oil stay at $40 per barrel long?

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