Cambiar Credits Lower Oil Prices for Delta’s Second-Quarter Gain
The fund said Delta’s first-quarter drawdown on higher fuel costs was followed by a rebound as oil prices retreated.
Cambiar Opportunity Fund said Delta Air Lines rebounded in the second quarter as falling oil prices eased pressure after higher fuel costs weighed on the stock in the first quarter. The fund identified Delta as one of its outperformers in Industrials and Healthcare.
The fund’s Q2 2026 investor letter said energy stocks reversed course amid settlement talks in the Middle East and declining oil prices. Delta moved in the opposite direction: higher fuel prices contributed to its first-quarter drawdown, followed by a second-quarter rebound as oil retreated.
Cambiar said Delta had been a strong performer for its portfolio since its initial investment in early 2024, though returns were not linear. It cited the airline’s profitability, premium-product focus and what it described as an improved industry structure in explaining its constructive view of Delta’s risk/reward profile.
Delta closed at $83.46 on Sept. 30 and had gained 19.81% year to date, according to the report. As of 16:34 UTC on Oct. 1, shares traded at $83.36, down 0.13% from the previous close.
This article was produced with the help of AI technology.
Source: Yahoo Finance
