Southwest Airlines (NYSE:LUV) Price Target Raised to $45.00

Southwest Airlines (NYSE:LUV) had its price target boosted by Susquehanna from $35.00 to $45.00 in a report published on Friday,Benzinga reports. They currently have a neutral rating on the airline’s stock.

Several other brokerages have also recently commented on LUV. Wall Street Zen upgraded shares of Southwest Airlines from a “sell” rating to a “hold” rating in a research report on Saturday, October 25th. BMO Capital Markets started coverage on shares of Southwest Airlines in a research note on Tuesday, December 9th. They issued a “market perform” rating and a $43.00 price objective on the stock. Bank of America increased their target price on shares of Southwest Airlines from $28.00 to $37.00 and gave the company an “underperform” rating in a research note on Tuesday, January 6th. Weiss Ratings restated a “hold (c)” rating on shares of Southwest Airlines in a research report on Monday, December 29th. Finally, TD Cowen increased their price objective on Southwest Airlines from $31.00 to $42.00 and gave the company a “hold” rating in a research report on Friday, December 12th. Six research analysts have rated the stock with a Buy rating, twelve have assigned a Hold rating and three have issued a Sell rating to the stock. Based on data from MarketBeat, the company has a consensus rating of “Hold” and an average target price of $42.11.

Southwest Airlines Price Performance

NYSE LUV opened at $44.46 on Friday. Southwest Airlines has a 12 month low of $23.82 and a 12 month high of $45.02. The firm has a market capitalization of $22.99 billion, a PE ratio of 68.39, a P/E/G ratio of 0.27 and a beta of 1.16. The company’s 50 day simple moving average is $37.32 and its 200 day simple moving average is $34.28. The company has a debt-to-equity ratio of 0.52, a current ratio of 0.49 and a quick ratio of 0.42.

Southwest Airlines (NYSE:LUV) last issued its quarterly earnings results on Tuesday, February 6th. The airline reported ($0.38) earnings per share (EPS) for the quarter. Southwest Airlines had a net margin of 1.38% and a return on equity of 6.39%. The firm had revenue of $6.17 billion for the quarter. As a group, equities research analysts forecast that Southwest Airlines will post 1.55 EPS for the current fiscal year.

Southwest Airlines Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, January 16th. Shareholders of record on Friday, December 26th will be given a dividend of $0.18 per share. This represents a $0.72 annualized dividend and a yield of 1.6%. The ex-dividend date is Friday, December 26th. Southwest Airlines’s payout ratio is presently 110.77%.

Institutional Trading of Southwest Airlines

Several hedge funds and other institutional investors have recently modified their holdings of the business. RWA Wealth Partners LLC acquired a new position in shares of Southwest Airlines in the 2nd quarter valued at about $1,652,000. Fort Washington Investment Advisors Inc. OH grew its position in Southwest Airlines by 1.5% during the second quarter. Fort Washington Investment Advisors Inc. OH now owns 1,258,993 shares of the airline’s stock valued at $40,842,000 after purchasing an additional 18,270 shares in the last quarter. Howard Capital Management Inc. increased its stake in Southwest Airlines by 8.3% in the 2nd quarter. Howard Capital Management Inc. now owns 127,218 shares of the airline’s stock valued at $4,150,000 after buying an additional 9,739 shares during the period. Contravisory Investment Management Inc. purchased a new stake in Southwest Airlines in the 2nd quarter worth approximately $530,000. Finally, Gradient Investments LLC lifted its position in Southwest Airlines by 5.4% in the 3rd quarter. Gradient Investments LLC now owns 578,088 shares of the airline’s stock worth $18,447,000 after buying an additional 29,665 shares in the last quarter. Institutional investors and hedge funds own 80.82% of the company’s stock.

More Southwest Airlines News

Here are the key news stories impacting Southwest Airlines this week:

• Positive Sentiment: Rare double-upgrade from JPMorgan — JPMorgan upgraded LUV from underweight to overweight and lifted its price target to $60, a large upward move that traders say is the main catalyst for the rally as it signals materially higher earnings expectations. Barron’s: Rare Double Upgrade
• Positive Sentiment: Multiple price-target raises — Citi and UBS both bumped targets (Citi to $44, UBS to $45), reinforcing the analyst trend higher and supporting upside in the stock as models are re-priced for better forward earnings. Citi price target raise
• Positive Sentiment: Broader analyst optimism — Citigroup and other firms published bullish commentary forecasting notable price appreciation based on improving fundamentals and potential margin recovery. Citigroup forecast
• Neutral Sentiment: Susquehanna raised its target to $45 but kept a “neutral” rating — the higher target supports the rally but the retained rating tempers how decisive the firm views near-term upside. Benzinga: Susquehanna note
• Neutral Sentiment: Strategic/cabin changes under review — articles on Southwest’s cabin revamp and assigned seating argue these initiatives could reshape unit revenue and customer experience, but benefits depend on execution and timing. Yahoo: Cabin revamp
• Neutral Sentiment: New marketing/partnerships — a legacy partnership with the Chicago Cubs is positive PR and revenue/brand-supportive, but unlikely to move near-term fundamentals materially. MLB press release
• Neutral Sentiment: Mixed analyst landscape — several firms remain cautious/hold-rated (e.g., Wells Fargo), so while sentiment is tilting positive, coverage is not uniformly bullish. Wells Fargo hold

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.