Why Jim Cramer Calls Delta Air Lines 'Arguably the Best-Run Airline'
Key Points
- 1Delta Air Lines reported record annual revenue of $63.4 billion for 2025, validating Jim Cramer's bullish 'best-run airline' comment.
- 2The company achieved record free cash flow of $4.6 billion and projects 20% year-over-year EPS growth for 2026.
- 3Strategic focus on premium products and diversified revenue streams, which now account for 60% of total revenue, drives industry-leading financial performance.
- 4Delta announced an order for 30 Boeing 787-10 Dreamliners to support international growth and fleet modernization.
Veteran financial analyst Jim Cramer recently offered a strong endorsement of Delta Air Lines (NYSE:DAL).
Cramer stated the carrier is “arguably the best-run airline” in the industry. This bullish view came just before the airline released its December quarter and full-year 2025 results. The commentary focused on the company’s anticipated financial strength. Cramer highlighted the overall positive trend for airlines. He also noted that Delta’s operational performance was strong.
Strong Financial Performance and Outlook
The airline's subsequent earnings report largely supported Cramer's assessment. Delta Air Lines delivered record financial results for the full year 2025. The company achieved record annual revenue of $63.4 billion. This marked a 2.3% increase over the previous year. Pre-tax income reached $6.2 billion.
- Record Free Cash Flow: Delta generated $4.6 billion in free cash flow. This figure represents the highest in the company’s history.
- 2026 Earnings Outlook: Management forecasted robust earnings growth for 2026. The outlook projects a 20% year-over-year growth in earnings per share (EPS). This strong guidance signals confidence in future demand.
Despite the positive full-year results, the DAL stock analysis showed a mixed market reaction. The company’s adjusted earnings per share (EPS) of $1.55 beat analyst forecasts. However, quarterly revenue slightly missed some estimates. This revenue miss caused the stock to decline in premarket trading.
Operational and Strategic Differentiation
Cramer’s view of Delta as the best-run airline is rooted in its strategic focus. Delta has successfully diversified its revenue streams. High-margin businesses now account for 60% of total revenue. This includes significant growth in premium products. Premium revenue grew 7% year-over-year in 2025. Loyalty revenue also saw a 6% increase.
Fleet and Network Expansion
Delta continues to invest heavily in its fleet and network. The airline recently announced a significant order for Boeing 787-10 Dreamliner widebody aircraft. This order includes 30 firm orders with options for 30 more. The new aircraft will support the carrier’s international growth strategy. It will also enhance its premium seating capacity.
Operational reliability is another key differentiator. Delta has been recognized as the most on-time airline in the United States. This consistent performance strengthens the airline financial performance and brand trust.
Industry Impact and Challenges
The strong Delta Air Lines Q4 2025 and full-year results offer a positive signal for the broader commercial aviation news sector. The results show sustained consumer and corporate travel demand. Corporate sales improved across all sectors during the fourth quarter. This indicates a continued recovery in business travel.
However, the company noted some challenges. A government shutdown negatively impacted fourth-quarter pre-tax profit by $200 million. Non-fuel unit costs also increased by 4% year-over-year in the quarter. These factors highlight the ongoing volatility within the global airline industry. Investors and industry observers will continue to track the 2026 earnings outlook closely. For more updates on the sector, visit our commercial aviation news at flying.flights.
Delta's strategy of prioritizing premium services and operational excellence appears to be paying off. This approach supports the view that Delta is a leader in the global airline market. The NYSE DAL stock remains a key indicator of airline industry health.
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Written by
Ujjwal SukhwaniAviation News Editor & Industry Analyst delivering clear coverage for a worldwide audience.
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