Diamonds and Dogs
Delta (DAL) flying higher again. Delta jumped 3% today after easily beating earnings estimates. Delta and the airlines are printing money right now, but the stocks have been on a roller coaster ride the last year. Even as earnings and cash continue to come in, the markets have been reluctant to reward shareholders. The good news is Delta is doing thier best for shareholders completing their $5 billion share repurchase authorization by next May over 6 months ahead of schedule. The company is also returning nearly $3.5 billion to shareholders this year consistent with goal of returning at least 70% of FC to dividends and share repurchase.
No win for Wynn. Wynn Resorts (WYNN) is down 3% on a day when few stocks are lower following a downgrade at JP Morgan. JP Morgan downgraded the stock from overweight to neutral lowering their price target from $101 to $94. After a number of disappointing years, Wynn was getting their mojo back up over 30% year to day. Investors keep waiting for business to improve over in China, watching the monthly casino numbers like hawks. Wynn will debut their new $4.1 billion casino in China come August 22nd so there is no better time for business to improve then now.