Delta Air shares close lower on Thursday, Airbus’s wide-body aircraft delivery to be delayed

On May 11th Delta Air Lines Inc (DAL) announced that the delivery of Airbus SEs wide-body A350-900 jets would probably be delayed, which raised certain concerns over demand for these aircraft.

Delta Air shares retreated for the first time in the past three trading sessions on Thursday. The stock went down 0.56% ($0.28) to $49.69, after touching an intraday high at $50.18, or a price level not seen since March 3rd ($50.64). In the week ended on May 7th the shares of the transportation company added 7.17% to their market value compared to a week ago, which marked the second gain in the past eleven weeks and also the best performance since the week ended on December 11th 2016. The stock has pared its advance to 9.35% so far during the current month, following a 1.13% slump in April. The latter has been a second consecutive month of decline. For the entire past year, Delta Air shares retreated 2.96%.

The airline has already ordered 30 A321-200 jets.

On the other hand, the delivery of 10 out of the 25 A350-900 jets would be deferred by about 2-3 years, according to the second largest carrier in the United States. The delivery of these jets is now expected in 2019-2020.

Delta Air said it planned to take delivery of 5 A350 jets this year, while the first A350 flight was to be operated during the last quarter of 2017.

Meanwhile, on May 10th AerCap Holdings NV, the biggest independent aircraft leasing firm worldwide, said there still was “good solid demand” for wide-body jets on a global scale.

According to CNN Money, the 15 analysts, offering 12-month forecasts regarding Delta Air’s stock price, have a median target of $60.00, with a high estimate of $75.00 and a low estimate of $52.00. The median estimate is a 20.75% surge compared to the closing price of $49.69 on May 11th.

The same media also reported that 13 out of 18 surveyed investment analysts had rated Delta Air’s stock as “Buy”, while 3 – as “Hold”.

Daily and Weekly Pivot Levels

With the help of the Camarilla calculation method, todays levels of importance for the Delta Air stock are presented as follows:

R1 – $49.81
R2 – $49.92
R3 (Range Resistance – Sell) – $50.04
R4 (Long Breakout) – $50.39
R5 (Breakout Target 1) – $50.80
R6 (Breakout Target 2) – $50.98

S1 – $49.57
S2 – $49.46
S3 (Range Support – Buy) – $49.34
S4 (Short Breakout) – $48.99
S5 (Breakout Target 1) – $48.58
S6 (Breakout Target 2) – $48.40

By using the traditional method of calculation, the weekly levels of importance for Delta Air Lines Inc (DAL) are presented as follows:

Central Pivot Point – $47.71
R1 – $50.02
R2 – $51.34
R3 – $53.65
R4 – $55.96

S1 – $46.39
S2 – $44.08
S3 – $42.76
S4 – $41.44