Southwest Airlines Co LUV

Morningstar Rating
$45.47 +1.18 (2.66%)
View Full Chart

Company Report

Price vs Fair Value

LUV is trading at a 755% premium.
Price
$44.29
Fair Value
$33.50
Uncertainty
Wrcg Sylsh
1-Star Price
$88.41
5-Star Price
$64.66
Economic Moat
Cxn
Capital Allocation
Cbxdtnjc

Bulls Say, Bears Say

Bulls

Southwest is adapting to customer preferences for premium seats, which could increase revenue yield and profitability, which has suffered for the airline recently.

Bears

As the largest passenger carrier in the US, Southwest faces competition from legacy carriers as well as lower-cost airlines.

News

Trading Information

Previous Close Price
$44.29
Day Range
$44.0045.70
52-Week Range
$28.9855.11
Bid/Ask
$44.38 / $45.48
Shares Outstanding
488.77M
Market Cap
$22.22B
Volume/Avg
7M / 7M

Key Statistics

Price/Earnings (Normalized)
27.50
Price/Sales
0.80
Dividend Yield (Trailing)
1.74%
Dividend Yield (Forward)
1.74%
Total Yield
15.71%

Company Profile

Southwest Airlines is the largest domestic air carrier in the United States by passengers boarded. Southwest operates nearly 800 aircraft in an all-Boeing 737 fleet. Despite offering some longer routes and a few perks for business travelers, the airline predominantly specializes in short-haul, leisure flights operated with a simple cabin configuration in a point-to-point network. In early 2026, Southwest modified its cabins to offer some rows with extra legroom, its ticketing process and merchandising to offer assigned seats, and more fare categories to include a basic economy class that appears for the first time in travel aggregators' search results and more directly competes with other airlines' offerings.
Sector
Industrials
Industry
Airlines
Stock Style Box
Mid Growth
Total Number of Employees
73,401

Competitors

Valuation

Metric
LUV
AAL
DAL
Price/Earnings (Normalized)
27.5026.1512.74
Price/Book Value
3.082.47
Price/Sales
0.800.170.77
Price/Cash Flow
8.561.925.96
Price/Earnings
LUV
AAL
DAL

Financial Strength

Metric
LUV
AAL
DAL
Quick Ratio
0.370.330.28
Current Ratio
0.480.490.42
Interest Coverage
8.411.039.67
Quick Ratio
LUV
AAL
DAL

Profitability

Metric
LUV
AAL
DAL
Return on Assets (Normalized)
2.68%0.57%4.92%
Return on Equity (Normalized)
9.97%21.23%
Return on Invested Capital (Normalized)
5.49%4.45%11.26%
Return on Assets
LUV
AAL
DAL

Airlines Industry Comparables

1-Day Chart
Name
Price
Morningstar Rating for Stocks
Capital Allocation
Economic Moat
Market Cap
Delta Air Lines Inc
DAL
QdljhghcNctk$54B
United Airlines Holdings Inc
UAL
MyxdglznTvl$37B
Ryanair Holdings PLC ADR
RYAAY
Vwhl$29B
Ryanair Holdings PLC
RYAOF
Vgdp$29B
International Consolidated Airlines Group SA ADR
ICAGY
Jmtbs$24B
International Consolidated Airlines Group SA
BABWF
Bbzxk$24B
Singapore Airlines Ltd
SINGF
Ggydy$17B
Singapore Airlines Ltd ADR
SINGY
Ysw$17B
American Airlines Group Inc
AAL
QmfjsxxrqQqts$9B

Sponsor Center