Brokerages Set Southwest Airlines Co. (NYSE:LUV) PT at $48.43

Shares of Southwest Airlines Co. (NYSE:LUV) have earned a consensus rating of “Hold” from the twenty-two analysts that are covering the company, Marketbeat reports. Four analysts have rated the stock with a sell recommendation, nine have given a hold recommendation and nine have issued a buy recommendation on the company. The average 1-year price target among brokers that have updated their coverage on the stock in the last year is $49.58.

Several equities research analysts have weighed in on the company. The Goldman Sachs Group raised their price target on Southwest Airlines from $30.00 to $35.00 and gave the stock a “sell” rating in a report on Thursday, July 2nd. Wall Street Zen raised shares of Southwest Airlines from a “hold” rating to a “buy” rating in a research report on Sunday, July 5th. BMO Capital Markets lifted their target price on shares of Southwest Airlines from $45.00 to $58.50 and gave the stock an “outperform” rating in a research note on Thursday, July 2nd. Jefferies Financial Group boosted their target price on shares of Southwest Airlines from $44.00 to $50.00 and gave the stock a “hold” rating in a research report on Wednesday, July 1st. Finally, Raymond James Financial upped their price target on shares of Southwest Airlines from $55.00 to $60.00 and gave the company an “outperform” rating in a research note on Monday.

Hedge Funds Weigh In On Southwest Airlines

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. SHP Wealth Management acquired a new stake in Southwest Airlines during the 4th quarter worth about $25,000. GHP Investment Advisors Inc. acquired a new position in shares of Southwest Airlines in the fourth quarter valued at about $26,000. Entrust Financial LLC purchased a new position in shares of Southwest Airlines in the fourth quarter worth about $26,000. Los Angeles Capital Management LLC purchased a new position in shares of Southwest Airlines in the fourth quarter worth about $26,000. Finally, Optima Capital LLC purchased a new position in shares of Southwest Airlines in the fourth quarter worth about $27,000. Hedge funds and other institutional investors own 80.82% of the company’s stock.

Southwest Airlines Stock Performance

Shares of LUV opened at $49.11 on Friday. Southwest Airlines has a 12 month low of $28.98 and a 12 month high of $55.11. The stock has a fifty day moving average price of $44.22 and a 200-day moving average price of $43.82. The company has a current ratio of 0.48, a quick ratio of 0.41 and a debt-to-equity ratio of 0.66. The firm has a market cap of $24.00 billion, a PE ratio of 31.68, a P/E/G ratio of 0.47 and a beta of 1.12.

Southwest Airlines (NYSE:LUV) last announced its earnings results on Wednesday, April 22nd. The airline reported $0.45 earnings per share for the quarter, hitting the consensus estimate of $0.45. Southwest Airlines had a return on equity of 10.66% and a net margin of 2.83%.The firm had revenue of $7.25 billion for the quarter, compared to the consensus estimate of $8.46 billion. During the same period in the previous year, the business earned ($0.13) EPS. The firm’s revenue for the quarter was up 12.8% on a year-over-year basis. Southwest Airlines has set its Q2 2026 guidance at 0.350-0.650 EPS. Equities research analysts predict that Southwest Airlines will post 3.15 earnings per share for the current fiscal year.

Southwest Airlines Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Thursday, July 2nd. Stockholders of record on Thursday, June 11th were paid a dividend of $0.18 per share. This represents a $0.72 annualized dividend and a dividend yield of 1.5%. The ex-dividend date was Thursday, June 11th. Southwest Airlines’s payout ratio is presently 46.45%.

Southwest Airlines Company Profile

Southwest Airlines Co is a U.S.-based low-cost carrier that operates a point-to-point domestic and near-international airline network. Headquartered in Dallas, Texas, the company primarily flies Boeing 737 aircraft and offers no-frills, single-class service designed to keep fares competitive. Southwest’s operating model emphasizes high aircraft utilization, quick turnaround times and an open seating policy, allowing customers to board and select seats on a first-come, first-served basis.

Founded in 1967 by Herb Kelleher and Rollin King as Air Southwest Company, Southwest began commercial service in 1971, initially connecting Dallas, Houston and San Antonio.