Southwest Airlines Co (NYSE:LUV) Receives $57.10 Average Target Price from Analysts

Southwest Airlines Co (NYSE:LUV) has received a consensus recommendation of “Hold” from the eighteen analysts that are presently covering the stock, MarketBeat.com reports. Three investment analysts have rated the stock with a sell recommendation, eight have given a hold recommendation and six have assigned a buy recommendation to the company. The average 1-year price target among brokers that have issued ratings on the stock in the last year is $57.10.

A number of research firms recently weighed in on LUV. Morgan Stanley dropped their price target on Southwest Airlines from $68.00 to $64.00 and set an “overweight” rating on the stock in a research note on Monday, May 20th. Zacks Investment Research cut Southwest Airlines from a “hold” rating to a “sell” rating in a research note on Thursday, May 16th. Argus restated a “buy” rating on shares of Southwest Airlines in a research note on Wednesday, May 1st. Barclays dropped their price target on Southwest Airlines from $65.00 to $60.00 and set an “equal weight” rating on the stock in a research note on Friday, April 26th. Finally, Imperial Capital restated an “in-line” rating and issued a $55.00 price target (up previously from $52.00) on shares of Southwest Airlines in a research note on Friday, April 26th.

Shares of Southwest Airlines stock traded down $0.03 on Monday, reaching $51.22. 2,384,100 shares of the company were exchanged, compared to its average volume of 4,568,724. Southwest Airlines has a one year low of $44.28 and a one year high of $64.02. The firm has a market cap of $27.76 billion, a P/E ratio of 12.08, a price-to-earnings-growth ratio of 1.17 and a beta of 1.50. The company has a quick ratio of 0.57, a current ratio of 0.63 and a debt-to-equity ratio of 0.28. The firm’s 50-day moving average is $51.17.

Southwest Airlines (NYSE:LUV) last announced its quarterly earnings data on Thursday, April 25th. The airline reported $0.70 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.61 by $0.09. Southwest Airlines had a return on equity of 23.94% and a net margin of 10.78%. The company had revenue of $5.15 billion for the quarter, compared to analysts’ expectations of $5.14 billion. During the same quarter in the prior year, the business posted $0.79 EPS. The business’s revenue was up 4.1% compared to the same quarter last year. Analysts anticipate that Southwest Airlines will post 4.57 EPS for the current year.

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, June 26th. Shareholders of record on Wednesday, June 5th will be given a dividend of $0.18 per share. This is a boost from Southwest Airlines’s previous quarterly dividend of $0.16. The ex-dividend date of this dividend is Tuesday, June 4th. This represents a $0.72 annualized dividend and a yield of 1.41%. Southwest Airlines’s dividend payout ratio (DPR) is presently 16.98%.

A number of hedge funds have recently bought and sold shares of the business. Merit Financial Group LLC increased its position in Southwest Airlines by 24.8% during the 1st quarter. Merit Financial Group LLC now owns 7,458 shares of the airline’s stock worth $387,000 after buying an additional 1,481 shares during the period. B.S. Pension Fund Trustee Ltd acting for the British Steel Pension Fund acquired a new stake in shares of Southwest Airlines during the 1st quarter worth $317,000. Advisory Services Network LLC grew its holdings in shares of Southwest Airlines by 435.5% during the 1st quarter. Advisory Services Network LLC now owns 18,817 shares of the airline’s stock worth $977,000 after purchasing an additional 15,303 shares in the last quarter. GYL Financial Synergies LLC acquired a new stake in shares of Southwest Airlines during the 1st quarter worth $214,000. Finally, Hi Line Capital Management LLC grew its holdings in shares of Southwest Airlines by 1.5% during the 1st quarter. Hi Line Capital Management LLC now owns 111,541 shares of the airline’s stock worth $5,790,000 after purchasing an additional 1,620 shares in the last quarter. Hedge funds and other institutional investors own 83.59% of the company’s stock.

Southwest Airlines Company Profile

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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