SocialPicks Monitor new  |    Stock Idea Community
SocialPicks
   Sign Up   |   Log In   |   What is SocialPicks?     
Free Stock Picks by Top Performers
SocialPicks is a community where stock investors exchange ideas and track performance of financial bloggers.
Top_member_photos
Get free stock picks and email alerts daily
 
Are you a stock guru?

6 pts

Opinion on  DELTA AIR LINES INC. (DAL)
DAL: Taking the Money and Running From Delta

Mar 17, 2008 03:40 PM UTC
Billtrent
Return Risk
-26.51% LOW
Principal

Last September I was bearish on Delta Airlines (DAL), saying “How quickly we get from something that looks enticing to something that looks like it came out of bankruptcy five months ago. Which, of course, it did. Bottom line, if you want to take a flier on an airline, I’d stick with one of the short squeeze plays. The majors still look like they can cause a major league stomachache.”

Earlier this month, I noted that I should learn to take the money and run , as three of my previously correct bearish calls had been bolstered by takeover rumors. With Delta now solidly back in the column of not making me look stupid, it’s time to call it quits on this call.

U.S airlines plunge on recession worries | Markets | Markets News | Reuters

Shares in U.S. airlines plunged on Wednesday, with Northwest Airlines (NWA) and Alaska Air Group (ALK) dropping more than 10 percent, after JP Morgan cut its ratings on those carriers and several others due to recession concerns.

Since my original bearish article, Delta is now down 37.3%, compared to a 10.3% decline in the S&P 500 (SPY) over the same period. Although I didn’t take a financial position in the stock, I am figuratively closing the position. Before another greater fool comes along and tries to buy them out, I’m taking the money and running.

Disclosure: At the time of publication, William Trent has no financial position in the companies mentioned.





DAL:  This call was made on 03/17/08 @ $8.981
Rating:   Neutral/Hold   $8.981 (03/17/08)
Gain/Loss:   -12.48% in 248 days


Add Comment

Be the first to comment on this story and earn 2 points.

Your Comment



ROCK-STAR INVESTORS
Rank Name Sharpe Ratio Avg Return Followers
1 24.05 +48.81% 160
2 19.29 +44.52% 50
3 17.43 +19.35% 4
4 16.54 +43.05% 205
5 14.11 +14.77% 6


POPULAR STOCKS
Symbol Company Name Sentiment

TODAY'S HEADLINES

TODAY'S TOP PICKS

 
DELTA AIR LINES INC. (DAL)
   SocialPicks Sentiment:   

   This Quarter's Sentiment:
All:
24.0%
Top:
22.0%




Latest Picks by Stock Market Beat
Symbol SP Sentiment Rating Return Since
OMI N/A Positive -14.77% 08/29/08
LPNT N/A Positive -33.40% 08/28/08
JAH N/A Positive -50.21% 08/27/08
NCS N/A Positive -62.71% 08/26/08
CHTT N/A Positive +0.23% 08/25/08

View All >
   




IN THE PRESS
Press_forbes Press_washingtonpost Press_wsj Press_npr Press_techcrunch