Delta Air Lines price target raised to $78 from $72 at BofA

BofA raised the firm’s price target on Delta Air Lines (DAL) to $78 from $72 and keeps a Buy rating on the shares. Delta reported Q4 EPS that beat the firm’s and Visible Alpha consensus and “more importantly” guided to “very strong” Q1 revenue growth of 7%-9%, which compares to the firm’s and consensus’ prior expectations of 5%-5.5%, the analyst tells investors. The magnitude of the upside was a positive surprise and reinforces both the positive industry backdrop and pricing power as well as Delta’s market position, argues the analyst, who raised the firm’s 2025 EPS estimate to $7.70 from $7.34.