Q3 - OE_Strengths
What do you see as Delta’s particular strengths?
"They have an excellent management team, an excellent strategy. They communicate well with shareholders. They hold themselves to a high degree of transparency. There are other company-specific things that they do well. They have very strong margins, returns and they seem very disciplined at maintaining those margins and returns. Generally speaking that should make for a good investment."
Q4 - OE_Weaknesses
What do you see as Delta’s particular weaknesses?
"From time to time Delta management seems conceited. They know they're the best and they act like they're the best. They are the opposite of humble, which is sometimes off-putting. They could gather more shareholders by
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"Run the best airline in terms of operating performance. Deliver on customer promises so that the customer decides to fly with Delta first, and before anyone else. Run the airline to achieve the proper payers commensurate with the service that they provide. Delta really seems like they want a go-to airline in the marketplace for primarily business travelers, but also leisure travelers as well. And do all that in a safe and highly profitable manner." …show more content…
Right now they're all cheap and they've got easy comparisons in Q2, and probably easy comparisons in the third quarter. Fuel is weakening. Those are all on the plus side of the ledger. I don't doubt that they can deliver on second quarter numbers and third quarter numbers. I'm not going to forecast out to the fourth quarter. I have high hopes but that's not a forecast. Relative to other industrials, which is sort of what I cover, there are other sectors that have slightly, what I could call, more exciting investment theses. Delta is at a 4 right now. That's not to say that you couldn't survey me two months from now and I could change my mind and have that number be
Delta Airlines in a major American airline company headquartered in Atlanta, Georgia, United States. The company was founded on May 30, 1924. They operate as an extensive domestic and international network. Delta currently operates a fleet of more than 700 aircraft and they employ approximately 80,000 people. In 2011 they were the world’s largest airline in terms of fleet size. Delta Airlines is a very successful company. Part of what makes them so successful is expansion, making good decisions in route selection and hubs location, being service oriented, having a strong operation management, being reactive in terms of prices, and offering low fares.
Delta airlines have multilateral and formed alliances with other airlines. This is beneficial since the airline is able to gain access to international airlines. By forming alliance, the airlines share
While Frontier and Delta are both popular choices of airlines for Americans, Delta has become more of a household name because of their friendlier service, more comfortable cabins, and their limited extras fees. Frontier airline still is a worthy competitor by being cheaper, but they also have many added on fees for things that are free with Delta. Overall, Delta knows how to take better care of their customers and make sure everyone is satisfied.
For my news report I turned to the website Prnewsonline.com and I supplemented my research with information from the BET website. These websites were incredibly helpful in my research gathering process. I feel that these sources were reliable and for the most part unbiased news sources in which I could gather accurate and relevant information to my issue.
What makes Delta airlines unique is their participation within charitable groups. The employees at Delta Airlines list as one of the top donors of blood to the American Red Cross (Delta, 2016). The employees of Delta also partnered up with a Humanitarian group to help build homes for families as well as volunteered their time through community sponsored events that Delta has had. United way has also been funded by Delta (Delta, 2016). These are just some of the charitable things that Delta has contributed to. Their client base it simple; meaning there client based is for anyone who chooses to use their services. They have a variety of options for their customers when purchasing tickets such as flying economy class, business class and or first class. Each class comes with a certain advantage such as flying first class, you have more seat space and along with accelerated check in and baggage handling. Delta Airlines like others have many competitors. One of their main competitors who is trying to thrive within the industry is
The technology portion of their company has grown tremendously which has caused so much of their growth. In addition, they found the perfect formula to appeal to and retain customers. Most of their customers are loyal to their company and insist on sticking to their products. Their market capitalization, $639,922 million, is extremely high compared to other companies in their industry They returned about $8 billion to shareholders during their quarter. Also, their gross margins, currently at 38.01%, are high at passed by
Here I did selected Delta Airlines as a company for my research. This company is providing a wide range of the air traffic facilities in different parts of the world. In other words we can say that there are many operational routs of this airline company and all the routes are very much beneficial. Another uniqueness of this company is a verity of airplanes including airbuses and jumbo etc. At this time the company owns more than seven hundred different aeroplanes of different size and capacity. Delta Airline is providing facilities to the people of the world to more from one place to another by air. The services and
Hey Josh, great post this week. I have never flown on this particular airline myself, but it seems like I should try it. Any company who has a golden rule like the one stated in our reading must be a nice one. I have been on a few different airlines and was let down on several occasions. I think sometimes the flight attendants are over worked and get their schedule changed a lot. This is still not a reason to get nasty with the customers who have paid good money to fly with the airline they are working for. I feel all companies should pursue the golden rule. Everyone should be treated the same regardless of where they are at. Southwest Airlines have got a good thing going and good reputation with their customers. I think Delta could take a
This report provides an examinaion of the current structure, performance, stragergy and management of Delta Airlines, along with an industry analysis of the airline industry. The report uses current and past financial and statistical data for the company along with other up to date material to determine Delta's current market position and future potential.
The company I chose to research is Delta which is in the airlines industry. Delta is one of the world’s largest global airlines that assist more than 160 million travelers get to destinations around the world. The company started in 1924 as a small aerial crop dusting operation known as Huff Daland Dusters. In 1929 Delta had its first passenger flights that went from Dallas, Texas to Jackson, Mississippi. This flight was taken on an airplane that carried 5 passengers and 1 pilot. Delta has been offering its service to customers for 85 years. For four consecutive years, Delta has been ranked No. 1 in the Business Travel News Annual Airline survey. This is a huge accomplishment because it is a first for any airline. It is important
From the humble financial portfolio as a crop dusting outfit in the mid twentieth century, to the multi-billion dollar portfolio of a major airline in the twenty first century, Delta Air Lines has risen as a successful business. The airline industry is directly affected by outside economic conditions and is also cyclical in nature. These factors make it very difficult for airlines to make predictions to stay financially afloat. Delta has ridden the bumpy path of the last twenty years and managed to survive. In the past twenty years there has been many events that
This paper will review the case study of Delta Airlines which was suffering like all its competitors with rising fuel costs which averaged anywhere between 30 to 50 percent of its total operating costs. This paper will answer six questions which will help identify what the company did to handle the high cost of fuel. The questions that I will answer will include the following.
As with all airlines, Delta’s recent performance has been significantly impacted by industry shifts and external events. Terrorist attacks and escalating costs have significantly impacted Delta’s profitability in recent history (Rivkin 4). The company has also been losing valuable market share to the low-cost carrier Southwest Airlines throughout the southeast and specifically in the lucrative Florida market (Rivkin 8). JetBlue also began encroaching on key Delta routes, and this seems only likely to increase (Rivkin 9). Despite this, Delta has still performed better than any other legacy carrier (Rivkin 8). Still, recent history has brought several changes to this legacy carrier, and the company has turned its attention towards new competitive strategies.
"If there's any weakness it's that they're really good at delivering – that's kind of a strength, but they're really in a market they have control of. They're the best player in the lock environment – in the security environment. The Street has recognized, and is giving them a lot of credit for hitting their targets before they have actually done it. That's not necessarily a bad thing, but it makes it tough to invest in because how do you really make money if it's already priced in that they're going to do what they said they're going to do. That's not really a knock on the company, that's just a recognition of what they have been able to do and what the Street is expecting from them in the future. Also, it's one of the ways to play housing that is not directly related to financing or mortgages. You can play housing somewhat through a backdoor way by owning them, which some people might be attracted to given – there's a lot of opinions out there about the mortgage market and availability of financing and millennials owning homes and all that jazz, so people might be trying to find a backdoor way to play housing through owning Allegion stock. When we talked with management, I got the sense that he basically was just reciting what was in the filings. It might just be how they run things. It was a little disappointing that we couldn't get more specific, but if that's their company strategy then I totally respect that decision. It might just be for liability reasons. We walked away from the call and we really didn't gain
In addition to the strengths outlined above, we have also identified several weaknesses that the company must overcome to be successful. Our key weaknesses are: