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Pros and Cons to Buying Delta Air Lines Stock

Monday, October 29, 2018

Anne Drougas, professor of accounting and finance in the Brennan School of Business, was quoted extensively in a US News & World Report article about the prospects of investing in Delta Air Lines stock. In "Pros and Cons to Buying Delta Air Lines Stock," Drougas credits CEO Ed Bastian with much of Delta's appeal.

"A lot has to do with leadership and taking smart risks," she says in the article. "Leadership begins at the top and when Ed Bastian took the helm in May 2016, he brought to the position 20 years of experience at Delta. In an economy where transitioning from job to job every few years may seem the norm, Bastian's seniority and promotion over 20 years built loyalty from within and demonstrates he must have done many things right." 

According to reporter Brian O'Connell, Bastian comes from the CEO school where the philosophy is simple and direct--if you take care of your people, they will take care of the customer and you.

"Loyalty is not a word to Delta's CEO, it is a lifestyle and appears to permeate the culture of Delta," Drougas says in the article.

According to Drougas, revenue-wise, Delta's altimeter is set in the "launch" position.