Employees Retirement System of Texas Reduces Stock Position in Southwest Airlines Co. $LUV

Employees Retirement System of Texas lowered its stake in shares of Southwest Airlines Co. (NYSE:LUV) by 28.4% during the 4th quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 51,995 shares of the airline’s stock after selling 20,657 shares during the period. Employees Retirement System of Texas’ holdings in Southwest Airlines were worth $2,149,000 at the end of the most recent reporting period.

Several other institutional investors have also recently made changes to their positions in LUV. GHP Investment Advisors Inc. purchased a new stake in shares of Southwest Airlines during the fourth quarter worth $26,000. Entrust Financial LLC purchased a new stake in shares of Southwest Airlines during the fourth quarter worth $26,000. Optima Capital LLC purchased a new stake in shares of Southwest Airlines during the fourth quarter worth $27,000. Lodestone Wealth Management LLC purchased a new stake in shares of Southwest Airlines during the fourth quarter worth $29,000. Finally, Abich Financial Wealth Management LLC purchased a new stake in shares of Southwest Airlines during the third quarter worth $35,000. Hedge funds and other institutional investors own 80.82% of the company’s stock.

Analysts Set New Price Targets

Several research firms have issued reports on LUV. HSBC upgraded Southwest Airlines from a “reduce” rating to a “hold” rating and increased their target price for the stock from $24.40 to $36.10 in a research report on Friday, April 24th. Susquehanna decreased their price target on shares of Southwest Airlines from $55.00 to $42.00 and set a “neutral” rating on the stock in a report on Thursday, April 2nd. Wells Fargo & Company decreased their price target on shares of Southwest Airlines from $50.00 to $44.00 and set an “equal weight” rating on the stock in a report on Monday, March 16th. Seaport Research Partners upped their price target on shares of Southwest Airlines from $57.00 to $58.00 in a report on Thursday, January 29th. Finally, The Goldman Sachs Group decreased their price target on shares of Southwest Airlines from $32.00 to $30.00 and set a “sell” rating on the stock in a report on Wednesday, April 1st. Nine equities research analysts have rated the stock with a Buy rating, nine have issued a Hold rating and four have issued a Sell rating to the company’s stock. Based on data from MarketBeat, Southwest Airlines has a consensus rating of “Hold” and a consensus target price of $43.96.

Southwest Airlines Stock Up 3.2%

Shares of NYSE:LUV opened at $43.64 on Thursday. The stock’s 50-day moving average price is $39.66 and its 200-day moving average price is $41.44. Southwest Airlines Co. has a 12-month low of $28.98 and a 12-month high of $55.11. The stock has a market capitalization of $21.33 billion, a P/E ratio of 28.15, a price-to-earnings-growth ratio of 0.47 and a beta of 1.12. The company has a current ratio of 0.48, a quick ratio of 0.41 and a debt-to-equity ratio of 0.66.

Southwest Airlines (NYSE:LUV) last announced its quarterly earnings data on Wednesday, April 22nd. The airline reported $0.45 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates 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 analysts’ expectations of $8.46 billion. During the same period last year, the firm earned ($0.13) earnings per share. The company’s revenue for the quarter was up 12.8% compared to the same quarter last year. Southwest Airlines has set its Q2 2026 guidance at 0.350-0.650 EPS. On average, equities analysts anticipate that Southwest Airlines Co. will post 2.76 earnings per share for the current year.

Southwest Airlines Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, July 2nd. Stockholders of record on Thursday, June 11th will be paid a dividend of $0.18 per share. This represents a $0.72 dividend on an annualized basis and a dividend yield of 1.6%. The ex-dividend date of this dividend is Thursday, June 11th. Southwest Airlines’s dividend payout ratio (DPR) is 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.