DAL vs LTM: Which Is the Better Buy in 2026?
Last updated August 2026
Short answer
DAL and LTM are similarly sized, but LTM trades noticeably cheaper on forward earnings (8.27x vs 9.87x): the market is paying up for DAL's profile and pricing LTM more conservatively, or for faster growth. Which you prefer comes down to the drivers you believe, and whether adding either over-concentrates what you already own.
DAL vs LTM: the tie-breaker metrics
Same yardstick, side by side (as of August 2026). Valuation lined up like this is most meaningful for two names in the same corner of the market, which these are. Figures are approximate; verify before investing.
| Metric | DAL | LTM | What it tells you |
|---|---|---|---|
| Forward P/E | 9.87 | 8.27 | Valuation on next year's expected earnings, the same yardstick for both. Lower is cheaper for that growth; higher means the market is paying up. |
| Trailing P/E | 14.50 | 9.66 | Valuation on the last 12 months. A big drop from trailing to forward means the market expects earnings to jump, so more growth is already in the price. |
| Beta | 1.29 | 0.89 | Volatility vs the market. Above 1 swings harder than the index; below 1 is steadier. Higher beta means bigger drawdowns to hold through. |
| Price vs 52-week range | 81% of range | 37% of range | Where today's price sits between the 52-week low and high. Near the high is momentum with less margin of safety; near the low is out of favor or a discount, depending on why. |
| Price / book | 2.62 | 8.71 | How much you pay over book value. Very high can signal an asset-light, high-return business or a rich price. |
Reading it: LTM is the cheaper of the two on forward earnings, but cheaper is not the same as better. Pair the valuation with growth (how far the forward P/E sits below the trailing P/E) and risk (beta) before you decide.
Before you buy: how DAL and LTM affect your concentration
The metrics above tell you which is the marginally better business. The bigger risk for most people is not picking the slightly worse stock, it is over-concentrating. DAL and LTM share themes, so owning both, or adding either to what you already hold, can quietly push a large share of your portfolio into one bet.
This is the part a generic comparison page cannot answer, because it depends on what you own. Connect your brokerage and Walnut shows your real, combined DAL and LTM exposure, flags overlap with your existing positions, and tells you if adding one would tip you past a concentration you are comfortable with, read-only by default, with your login staying at your broker. Walnut is not an investment adviser.
What does Delta Air Lines (DAL) do?
Delta Air Lines is a global network carrier headquartered in Atlanta, operating a hub-and-spoke system across domestic and international routes with major connecting points in Atlanta, Minneapolis, Detroit, Salt Lake City, and New York. Beyond passenger flying, Delta earns meaningful revenue from its co-branded credit card partnership with American Express, its SkyMiles loyalty program, cargo, and Delta TechOps, one of the largest aircraft maintenance, repair, and overhaul providers in the world. The company has leaned into premium seating (first class, Delta One, and Comfort+) as higher-income travelers have driven a larger share of demand.
What does LATAM Airlines Group (LTM) do?
LATAM Airlines Group S.A. runs the largest airline network in South America, with passenger subsidiaries in Brazil, Chile, Colombia, Ecuador, Paraguay and Peru, a long-haul operation to North America, Europe and Oceania, and a cargo business that carried ~$510 million of revenue in the second quarter of 2026. The group transported ~21.1 million passengers in that quarter at an ~81.8% load factor, flew an operating fleet of ~383 aircraft, and guides to ~410 aircraft by the end of 2026 as A320neo, A321neo, Boeing 787-9 and Embraer E190-E2 deliveries arrive. Brazil is now its largest revenue market, ahead of Chile. Since 2022 LATAM has flown a trans-American joint venture with Delta Air Lines, having left the oneworld alliance in 2020, and reports in US dollars even though most ticket revenue is collected in Brazilian reais, Chilean pesos and other local currencies.
DAL vs LTM: how do they differ?
Both fit overlapping themes, but they are not interchangeable. The useful comparison is which set of drivers and risks you want exposure to.
- DAL drivers: Premium and loyalty revenue mix; High-income traveler demand.
- LTM drivers: Capacity growth funded by a renewed fleet; Premium cabin and cargo carry the revenue mix.
Which fits which kind of investor
A faster-growing, richer-valued name usually swings harder, so it suits a longer horizon and a higher tolerance for volatility; a steadier, more cash-generative business suits a more conservative or income-minded investor. The honest test is which set of risks you could hold through a drawdown: Airlines are deeply cyclical and sensitive to the broader economy, so a slowdown in consumer or corporate travel can quickly pressure fares and load factors. For LTM, fuel is the dominant variable: a Middle East supply disruption nearly doubled LATAM's fuel-related costs year over year in the second quarter of 2026 and cut operating margin from ~12.9% to ~5.4%, and the group carries no permanent hedge that removes that exposure.
DAL or LTM: which should you pick?
DAL vs LTM: the full fundamentals
DAL. Delta trades at a relatively low trailing earnings multiple, consistent with how the market typically values cyclical airlines. The March 2026 quarter showed record adjusted revenue of ~$14.2 billion even as total operating expense rose on higher fuel and refinery costs. Figures are approximate and drawn from company releases and market data as of mid-2026.
LTM. All figures are in US dollars, which is how LATAM reports, even though the majority of ticket sales are collected in local South American currencies. The trailing multiples blend a near-record first quarter (~19.8% adjusted operating margin) with a fuel-crushed second quarter (~5.4%), so a trailing P/E near ~9.6x is describing two very different operating environments averaged together. Trailing dividends of ~$0.96 per ADS, an interim in December 2025 plus a final in May 2026, work out to roughly a ~1.8% yield at the recent price.
Headline figures (approximate, JULY 2026): DAL shows revenue (fy2025) ~$63.4B, net income (fy2025) ~$3.8B, eps (fy2025) ~$5.82, market cap ~$61B; LTM shows revenue (ttm) ~$15.9B; FY2026 guidance ~$17.3B to ~$17.7B, net income (ttm) ~$1.56B, about ~$5.45 per ADS, q2 2026 revenue and margin ~$4.18B (+27.6% YoY), ~5.4% adjusted operating margin, adjusted ebitda ~$713M in Q2 2026 (~17.0% margin); FY2026 guided ~$4.1B to ~$4.4B.
The bottom line: DAL vs LTM
DAL and LTM are related but distinct: same themes, different businesses and risks. Neither wins in the abstract; the right pick is whichever thesis you actually believe, sized so you are not over-concentrated in one theme. Walnut can show your combined DAL and LTM exposure against your real portfolio. It is not an investment adviser.
Wondering how DAL or LTM fits the portfolio you already own? Walnut is an AI investing app that connects your brokerage read-only and answers questions like that about your actual holdings: overlap, concentration, and how each position tracks the S&P 500. Compare the best AI portfolio analyzers or see the best AI investing apps in 2026.
Investing in Delta Air Lines with AI
Connect the broker you already use and ask Walnut's AI how DAL fits what you actually hold: whether you own it already through a fund, what it would do to your concentration, and how it has tracked the S&P 500. Read-only by default, and you approve anything before it reaches your broker.
FAQ
What is the difference between DAL and LTM?
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Delta Air Lines is a global network carrier headquartered in Atlanta, operating a hub-and-spoke system across domestic and international routes with major connecting points in Atlanta, Minneapolis, Detroit, Salt Lake City, and New York. LATAM Airlines Group S.A. They show up together because they share investment themes, but they are different businesses, so the better fit depends on which thesis you are expressing.
Is DAL or LTM the better stock?
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Neither is universally better; they suit different views and risk levels. Walnut is informational, not investment advice. Compare what each does, the tie-breaker metrics above, and the risks, then decide which fits your thesis and what you already own.
Which is cheaper, DAL or LTM?
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On forward P/E (as of August 2026), DAL trades at 9.87x and LTM at 8.27x, so LTM is the cheaper of the two on next year's expected earnings. A lower multiple is not automatically the better buy: a richer valuation can be justified by faster growth, and a lower one can reflect real risk. Weigh the multiple against how fast each business is compounding.
Should you own both DAL and LTM?
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Because they share themes, owning both concentrates you in that theme. That can be intentional (a focused bet) or accidental (less diversification than it looks). Walnut can show your combined exposure across both, and whether adding either over-concentrates you, before you buy.
What are the risks of DAL vs LTM?
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DAL: Airlines are deeply cyclical and sensitive to the broader economy, so a slowdown in consumer or corporate travel can quickly pressure fares and load factors. Jet-fuel prices are a large and volatile cost, and Delta's refinery segment adds its own commodity exposure (refinery expense rose sharply in the March 2026 quarter). Labor costs, capacity discipline across the industry, and heavy capital spending on new aircraft all affect margins. Non-operating items can also swing GAAP results, as seen when investment losses produced a reported net loss in the March 2026 quarter despite an operating profit. Geopolitical events, weather, and operational disruptions add further variability. LTM: Fuel is the dominant variable: a Middle East supply disruption nearly doubled LATAM's fuel-related costs year over year in the second quarter of 2026 and cut operating margin from ~12.9% to ~5.4%, and the group carries no permanent hedge that removes that exposure. Currency cuts the other way, because most revenue is earned in Brazilian reais, Chilean pesos and Peruvian soles while fuel, aircraft leases and most debt are denominated in US dollars, so a weaker real both compresses local margins and shrinks reported dollar results. Competition in Brazil against Gol and Azul, and against JetSMART and Sky in Spanish-speaking South America, keeps domestic fares tied to capacity discipline the group does not set alone. Balance sheet and capital-intensity risk remain real even after the restructuring, with ~$9.0 billion of total debt, continuous aircraft capital commitments, and a delivery schedule that depends on Airbus, Boeing and Embraer meeting dates. Political, regulatory and consumer-litigation exposure across six operating jurisdictions rounds it out, including a US consumer class action over the airline's no-show ticket-cancellation policy, and post-reorganization holders have repeatedly sold ADS into the market through secondary offerings, which adds supply that is unrelated to operating results.
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Walnut is informational, not investment advice. This page is descriptive and not a recommendation to buy or sell DAL or LTM; figures are approximate and dated (as of August 2026). Verify current data before investing.