Delta vs. United Airlines Stock: Which Is the Better Buy After Q2 Earnings?

Both Delta (DAL) and United (UAL) beat Q2 earnings expectations despite record-high fuel costs, with Delta posting $1.56 adjusted EPS on $17.66B revenue and United posting $1.99 adjusted EPS on a record $17.67B revenue. Delta reaffirmed its full-year EPS guidance of $6.50-$7.50 and announced a 15% dividend increase, while United raised its full-year EPS forecast to $9.00-$11.00 from $7.00-$11.00.

Why it matters: United has outperformed Delta over three years (120% vs 85% gains) and trades at a lower forward P/E of 11x versus Delta's 13x, though Delta commands a valuation premium for its stronger balance sheet and more consistent profitability.