Southwest Airlines Co (NYSE:LUV) Receives $56.27 Average PT from Analysts

Shares of Southwest Airlines Co (NYSE:LUV) have been given a consensus recommendation of “Hold” by the seventeen ratings firms that are covering the stock, Marketbeat Ratings reports. Three equities research analysts have rated the stock with a sell rating, nine have given a hold rating and four have assigned a buy rating to the company. The average 1 year price target among brokerages that have issued a report on the stock in the last year is $56.27.

LUV has been the subject of a number of analyst reports. Argus downgraded shares of Southwest Airlines from a “buy” rating to a “hold” rating in a research report on Tuesday. Zacks Investment Research downgraded shares of Southwest Airlines from a “hold” rating to a “sell” rating in a research report on Thursday, May 16th. Barclays cut their price objective on shares of Southwest Airlines from $65.00 to $60.00 and set an “equal weight” rating for the company in a research report on Friday, April 26th. Morgan Stanley cut their price objective on shares of Southwest Airlines from $68.00 to $64.00 and set an “overweight” rating for the company in a research report on Monday, May 20th. Finally, Imperial Capital restated an “in-line” rating and set a $55.00 price objective (up previously from $52.00) on shares of Southwest Airlines in a research report on Friday, April 26th.

Institutional investors and hedge funds have recently made changes to their positions in the company. Giverny Capital Inc. grew its stake in Southwest Airlines by 9.4% in the 2nd quarter. Giverny Capital Inc. now owns 4,334 shares of the airline’s stock valued at $220,000 after acquiring an additional 373 shares during the last quarter. Hi Line Capital Management LLC boosted its stake in shares of Southwest Airlines by 0.7% during the 2nd quarter. Hi Line Capital Management LLC now owns 112,304 shares of the airline’s stock worth $5,703,000 after purchasing an additional 763 shares during the last quarter. Nomura Asset Management Co. Ltd. boosted its stake in shares of Southwest Airlines by 29.6% during the 2nd quarter. Nomura Asset Management Co. Ltd. now owns 33,814 shares of the airline’s stock worth $1,717,000 after purchasing an additional 7,716 shares during the last quarter. United Capital Financial Advisers LLC boosted its stake in shares of Southwest Airlines by 1.2% during the 2nd quarter. United Capital Financial Advisers LLC now owns 36,627 shares of the airline’s stock worth $1,860,000 after purchasing an additional 444 shares during the last quarter. Finally, Profund Advisors LLC boosted its stake in shares of Southwest Airlines by 22.3% during the 2nd quarter. Profund Advisors LLC now owns 15,979 shares of the airline’s stock worth $811,000 after purchasing an additional 2,918 shares during the last quarter. Institutional investors and hedge funds own 84.25% of the company’s stock.

Southwest Airlines stock traded down $0.13 during trading hours on Tuesday, reaching $49.92. 3,213,275 shares of the stock were exchanged, compared to its average volume of 4,368,418. The stock has a market capitalization of $27.12 billion, a PE ratio of 11.77, a P/E/G ratio of 1.09 and a beta of 1.50. The company has a debt-to-equity ratio of 0.37, a quick ratio of 0.59 and a current ratio of 0.64. Southwest Airlines has a 52-week low of $44.28 and a 52-week high of $64.02. The company’s 50 day moving average price is $51.75.

Southwest Airlines (NYSE:LUV) last announced its quarterly earnings data on Thursday, July 25th. The airline reported $1.37 EPS for the quarter, topping the Zacks’ consensus estimate of $1.35 by $0.02. The company had revenue of $5.91 billion during the quarter, compared to the consensus estimate of $5.94 billion. Southwest Airlines had a net margin of 10.73% and a return on equity of 24.12%. Southwest Airlines’s quarterly revenue was up 2.9% on a year-over-year basis. During the same quarter in the prior year, the firm earned $1.26 EPS. Equities research analysts anticipate that Southwest Airlines will post 4.35 earnings per share for the current fiscal year.

The business also recently declared a quarterly dividend, which will be paid on Wednesday, September 11th. Stockholders of record on Wednesday, August 21st will be issued a $0.18 dividend. The ex-dividend date of this dividend is Tuesday, August 20th. This represents a $0.72 dividend on an annualized basis and a dividend yield of 1.44%. Southwest Airlines’s dividend payout ratio is presently 16.98%.

About Southwest Airlines

Southwest Airlines Co operates a passenger airline that provides scheduled air transportation services in the United States and near-international markets. As of December 31, 2018, the company operated a total of 750 Boeing 737 aircraft; and served 99 destinations in 40 states, the District of Columbia, and the Commonwealth of Puerto Rico, as well as 10 near-international countries, including Mexico, Jamaica, the Bahamas, Aruba, the Dominican Republic, Costa Rica, Belize, Cuba, the Cayman Islands, and Turks and Caicos.

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Analyst Recommendations for Southwest Airlines (NYSE:LUV)

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