Southwest Airlines Co. (LUV) Stock Price & Analysis
Southwest Airlines Co. (LUV) closed at USD 42.03 on Thursday, October 22, 2026, up 5.39% on the day. The US market is currently closed (pre-market); this is not a live price.
The prior close was USD 39.88; the Oct 22, 2026 session ranged USD 38.65–42.08 on volume of 12,246,040 shares. Market capitalization is $20.56B, with a 52-week range of USD 29.26–55.11 (NYQ). Source: Nexqual, retrieved October 23, 2026 at 08:37 UTC.
Also available as compact Markdown for AI agents: nexqual.com/LUV.md
Key facts (LUV)
- Last four reported quarters (through Sep 30, 2026): revenue $31.5B, net income $1.05B (3.3% margin), free cash flow -$449M (SEC filings).
- Valuation: P/E 19.5x (avg 46.2x at the last 3 fiscal year-ends).
- 2 of 80 tracked superinvestors hold LUV (13F, Q2 2026): 0 new, 1 added, 1 reduced, 0 unchanged.
- Insider open-market sales, last ~7 months: 1 Form 4 filings, $4K; 1 not under a Rule 10b5-1 plan ($4K); 0 by opportunistic insiders, 0 by routine insiders (three-year test, Cohen, Malloy & Pomorski 2012).
- Analysts: Hold (mean 2.60 on a 1–5 scale) (25 analysts), mean target USD 49.18 (range 34–65).
- Total return with dividends: 1Y +35.2% vs S&P 500 +14.9%; 5Y -3.9% vs S&P 500 +80.3%.
- Next earnings: 2026-10-21, EPS estimate USD 0.76, revenue estimate $9.17B.
Financials (SEC 10-K; TTM = last four 10-Q/10-K quarters) (LUV)
| USD | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | TTM |
|---|---|---|---|---|---|---|
| Revenue | $15.8B | $23.8B | $26.1B | $27.5B | $28.1B | $31.5B |
| Operating income | $1.72B | $1.02B | $224M | $321M | $428M | $1.39B |
| Net income | $977M | $539M | $465M | $465M | $441M | $1.05B |
| EPS (diluted) | $1.61 | $0.87 | $0.76 | $0.76 | $0.79 | — |
| Free cash flow | $1.82B | -$134M | -$356M | -$1.59B | -$831M | -$449M |
| Operating margin | 10.9% | 4.3% | 0.9% | 1.2% | 1.5% | 4.4% |
| Net margin | 6.2% | 2.3% | 1.8% | 1.7% | 1.6% | 3.3% |
| Revenue growth | +74.5% | +50.8% | +9.6% | +5.3% | +2.1% | — |
| Cash + short-term investments | $15.5B | $12.3B | $11.5B | $8.72B | $3.23B | — |
| Total debt | $10.8B | $8.10B | $8.01B | $6.70B | $4.93B | — |
Fiscal years end Dec. EPS is split-adjusted.
Valuation (price ÷ last four quarters, through Sep 30, 2026) (LUV)
P/E 19.5x · P/S 0.7x · P/B 2.8x · FCF yield -2.18% · Earnings yield 5.12% · Dividend yield (paid, TTM) 1.74% · Buyback yield (TTM) 6.32%
P/E at fiscal year-ends: Dec 2025 52.3x, Dec 2024 46.5x, Dec 2023 39.7x.
Superinvestors (SEC 13F-HR, Q2 2026) (LUV)
2 of 80 tracked investors hold LUV. Each row is the investor's latest 13F; change is vs their prior-quarter share count.
| Investor | Firm | % of portfolio | Value | Change |
|---|---|---|---|---|
| Harry Burn | Sound Shore | 3.87% | $126M | Added +22.0% |
| First Eagle Investment | First Eagle Investment Management | <0.01% | $360K | Reduced -30.0% |
Insider sales (SEC Form 4, open-market, last ~7 months) (LUV)
0 of 1 under a Rule 10b5-1 trading plan (scheduled in advance). Unplanned sales were timed by the insider.
| Trade date | Insider | Role | Shares | Value | % of holdings sold | 10b5-1 plan | Insider type |
|---|---|---|---|---|---|---|---|
| 2026-04-07 | Atherton Lisa M | Director | 118 | $4K | 1% | No | Too little history (no open-market trades in 2023 or 2024) |
% of holdings sold = shares sold ÷ (shares sold + all holdings the insider reported on that Form 4, direct and through trusts).
Insider type follows Cohen, Malloy & Pomorski (Journal of Finance, 2012). An insider who traded the stock in the same calendar month in each of the past three years is a routine trader; one who traded in each of those years without such a pattern is an opportunistic trader. In their study, trades by opportunistic insiders predicted future returns and trades by routine insiders did not. Counts open-market purchases and sales only (SEC Form 4 codes P and S) by that insider in that company. Not investment advice.
Analysts (LUV)
Consensus Hold (mean 2.60 on a 1–5 scale), 25 analysts; mean target USD 49.18 (low 34, high 65).
Rating changes, last 120 days:
| Date | Firm | Action | Rating | Price target |
|---|---|---|---|---|
| 2026-10-16 | UBS | Target lowered | Buy | $53 → $52 |
| 2026-10-07 | Susquehanna | Target lowered | Neutral | $50 → $45 |
| 2026-10-02 | TD Cowen | Target lowered | Buy | $48 → $47 |
| 2026-09-28 | BMO Capital | Target lowered | Outperform | $60 → $50 |
| 2026-09-24 | UBS | Target raised | Buy | $49 → $53 |
| 2026-09-18 | Rothschild & Co | Upgrade | Sell → Neutral | $35 → $40 |
| 2026-09-11 | Barclays | Target lowered | Overweight | $65 → $58 |
| 2026-09-10 | UBS | Target lowered | Buy | $56 → $49 |
| 2026-08-24 | Raymond James | Target lowered | Outperform | $60 → $54 |
| 2026-08-24 | TD Cowen | Target lowered | Buy | $53 → $48 |
| 2026-07-24 | JP Morgan | Target lowered | Overweight | $60 → $59 |
| 2026-07-24 | BMO Capital | Target raised | Outperform | $58.5 → $60 |
Total return (dividends reinvested) (LUV)
| 1Y (from 2025-10-23) | 5Y (from 2021-10-18) | |
|---|---|---|
| Total return | +35.2% | -3.9% |
| S&P 500 (SPY) | +14.9% | +80.3% |
| Per year | +35.3% | -0.8% |
| Volatility (annualized) | 43.5% | 39.0% |
| Max drawdown | -33.5% (Feb 2026→Mar 2026) | -56.3% (Nov 2021→Oct 2023) |
LUV revenue by product line (quarter ended Sep 30, 2026)
| Line | Revenue | Share of total | YoY |
|---|---|---|---|
| Passenger | $7.75B | 92.1% | +22.8% |
| — Passenger non-loyalty (part of Passenger) | $6.12B | 72.7% | +25.0% |
| — Passenger ancillary sold separately (part of Passenger) | $898.0M | 10.7% | +46.7% |
| — Passenger loyalty - air transportation (part of Passenger) | $734.0M | 8.7% | -8.8% |
| Other | $621.0M | 7.4% | +4.5% |
| — Loyalty program (part of Other) | $563.0M | 6.7% | +1.1% |
| — Other (part of Other) | $58.0M | 0.7% | +56.8% |
| Freight | $48.0M | 0.6% | +14.3% |
| Total revenue | $8.42B | 100% | — |
LUV revenue by region (fiscal year ended Dec 31, 2025)
| Line | Revenue | Share of total | YoY |
|---|---|---|---|
| North America | $27.30B | 97.3% | +2.2% |
| Latin America | $756.0M | 2.7% | -5.3% |
| Total revenue | $28.06B | 100% | — |
As tagged by the company in its SEC 10-Q / 10-K filings (XBRL).
LUV suppliers, customers and competitors (named in its 10-K)
| Relationship | Company | Sentence in the filing |
|---|---|---|
| Supplier | Boeing (BA) | “The Company is currently dependent on a single engine supplier, as well as single suppliers of certain other aircraft parts and equipment; therefore, the Company could be materially adversely affected (i) if it were unable to obtain timely or sufficient delivery of aircraft parts or equipment from Boeing or other suppliers or adequate maintenance or other support from any of these suppliers at commercially reasona…” |
| Customer | Alphabet (Google) (GOOGL) | “•Marketing & Distribution Evolution: In order to attract new Customers and reach them where they are performing travel searches today, Southwest expanded into new channels such as Expedia, Priceline, Google Flights, Kayak, and Skyscanner to broaden its Customer base and begin to engage them in its loyalty program.” |
| Customer | Visa (V) | “Southwest's Rapid Rewards loyalty program has been designed to drive more revenue by (i) bringing in new Customers, including new Members, as well as new holders of Southwest's co-branded Chase Visa credit cards and Southwest Airlines Rapid Rewards Debit Card; (ii) increasing business from existing Customers; and (iii) strengthening the Company's Rapid Rewards hotel, rental car, credit card, debit card, and other …” |
| Partner | Expedia (EXPE) | “The Company has expanded its distribution channels through partnerships with flight meta search engines, including Google Flights, Kayak, Skyscanner, and, in 2025, online travel agencies Expedia and Priceline, to increase visibility and drive traffic for bookings to Southwest.com.” |
| Partner | T-Mobile (TMUS) | “During 2025, among other things, the Company (i) developed new technology to enable assigned seating, extra legroom seating, and enhanced boarding processes; (ii) introduced free Wi-Fi sponsored by T-Mobile for all Rapid Rewards Members; (iii) further expanded its distribution channels via partnerships with Expedia and” |
Quoted from the company's 10-K filed Feb 5, 2026.
LUV company outlook (results filed Oct 21, 2026)
- “Guidance and Outlook: The following tables provide guidance for fourth quarter and full-year 2026.”
Quoted word-for-word from the SEC 8-K results press release.
LUV analyst estimates and revisions
| Period | EPS estimate | 90 days ago | Change | Revenue estimate | Analysts |
|---|---|---|---|---|---|
| Current quarter (ends Dec 2026) | $0.76 | $1.51 | -49.5% | $9.17B | 17 |
| Next quarter (ends Mar 2027) | $0.43 | $0.68 | -36.8% | $8.26B | 8 |
| Current fiscal year (ends Dec 2026) | $2.71 | $3.37 | -19.7% | $33.51B | 17 |
| Next fiscal year (ends Dec 2027) | $4.25 | $4.93 | -13.7% | $35.31B | 23 |
LUV options: expected move
| Expiration | Days | ATM implied volatility | Expected move |
|---|---|---|---|
| Oct 30, 2026 | 7 | 43.5% | ±5.3% |
| Nov 6, 2026 | 14 | 43.2% | ±7.2% |
| Nov 13, 2026 | 21 | 42.5% | ±8.7% |
| Nov 20, 2026 | 28 | 43.2% | ±9.9% |
| Nov 27, 2026 | 35 | 40.6% | ±10.5% |
| Dec 4, 2026 | 42 | 40.3% | ±11.3% |
| Dec 18, 2026 | 56 | 40.6% | ±13.1% |
| Jan 15, 2027 | 84 | 37.9% | ±14.9% |
30-day implied volatility 41.4% vs 32.4% realized over the last 30 trading days. Put/call ratio (volume) 1.21. Cboe delayed quotes (15 min). Expected move = at-the-money straddle.
Key Statistics (as of October 23, 2026 at 08:37 UTC)
| Price | USD 42.03 |
|---|---|
| Change | ▲ 5.39% (up) |
| Previous Close | USD 39.88 |
| Open | USD 39.2 |
| Day Range | USD 38.65 – 42.08 |
| 52-Week Range | USD 29.26 – 55.11 |
| Volume | 12,246,040 shares |
| Market Cap | $20.56B |
| Exchange | NYQ |
Technical Analysis (LUV)
Nexqual's technical model rates LUV "BUY" based on 4 bullish and 1 bearish signals across 127 daily candles, as of October 23, 2026 at 08:37 UTC.
| Overall Signal | BUY |
|---|---|
| RSI (14) | 57.4 (neutral) |
| vs SMA50 | Above (USD 40.72) |
| MACD | -0.29 (negative) |
Analyst Ratings (LUV)
Wall Street analysts rate LUV "Hold" based on 25 analysts, with a mean price target of USD 49.18 (range USD 34–65), per Nexqual as of October 23, 2026 at 08:37 UTC.
| Consensus Rating | Hold |
|---|---|
| Analyst Count | 25 |
| Mean Target | USD 49.18 |
| High Target | USD 65 |
| Low Target | USD 34 |
| Buy / Hold / Sell | 11 / 11 / 3 |
Earnings (LUV)
| Next Earnings Date | 2026-10-21 |
|---|---|
| EPS Estimate | USD 0.76 |
| Revenue Estimate | $9.17B |
Recent Earnings History
| Quarter | Actual vs Estimate |
|---|---|
| 2026-09-30 | USD 0.66 vs est 0.58 ▲ beat |
| 2026-06-30 | USD 0.94 vs est 0.52 ▲ beat |
| 2026-03-31 | USD 0.45 vs est 0.47 ▼ miss |
| 2025-12-31 | USD 0.58 vs est 0.57 ▲ beat |
Source: Nexqual, October 23, 2026 at 08:37 UTC.
Financials & Fundamentals (LUV)
| Total Revenue | $30.07B |
|---|---|
| Revenue Growth (latest quarter, YoY) | +16.40% |
| Gross Margin | +22.40% |
| Operating Margin | +3.38% |
| Profit Margin | +2.78% |
| ROE | +11.10% |
| Debt / Equity | 0.97 |
| Current Ratio | 0.49 |
| Total Cash | $3.79B |
| Total Debt | $6.89B |
| Free Cash Flow (last four quarters to Sep 2026, SEC 10-Q / 10-K) | -$449.00M (-1.4% of revenue) |
Source: Nexqual, October 23, 2026 at 08:37 UTC.
Financial Health Score (LUV)
Nexqual rates Southwest Airlines Co.'s overall financial health "Weak" across five dimensions, as of October 23, 2026 at 08:37 UTC.
| Growth | Mixed — Revenue +2.1% YoY (annual), slow |
|---|---|
| Profitability | Weak — Gross margin 22%, operating 3% (last 12 months) |
| Balance Sheet | Weak — $3.23B cash and investments vs $4.93B debt (Dec 2025, SEC) |
| Cash Flow | Weak — FCF negative: -$449M (last 4 quarters to Sep 2026, SEC), burning cash |
| Efficiency | Mixed — ROE 11%, ROA 2.3% |
Ownership (LUV)
| Insider Ownership | +1.01% |
|---|---|
| Institutional Ownership | +94.59% |
| Shares Outstanding | 489.21M |
| Float | 484.13M |
| Short % of Float | +6.64% |
Source: Nexqual, October 23, 2026 at 08:37 UTC.
Leadership (LUV)
Southwest Airlines Co. is led by Robert E. Jordan, President, CEO & Vice Chairman of the Board, per Nexqual as of October 23, 2026 at 08:37 UTC.
| President, CEO & Vice Chairman of the Board | Robert E. Jordan |
|---|---|
| Executive VP & CFO | Tom Doxey |
| Chief Operating Officer | Andrew M. Watterson |
| VP of Technology Infrastructure & Services and CTO | Thomas Merritt |
| Executive Vice President & Chief Information Officer | Lauren Woods |
Major Backers & Investors (LUV)
Notable institutional backers of Southwest Airlines Co. include Primecap Management Company, Franklin Resources, Inc., Elliott Investment Management L.P., according to Nexqual as of October 23, 2026 at 08:37 UTC.
Active Investors
| Investor | Stake |
|---|---|
| Primecap Management Company | 9.97% |
| Franklin Resources, Inc. | 9.52% |
| Elliott Investment Management L.P. | 4.97% |
| PUTNAM LARGE CAP VALUE FUND | 3.92% |
| Price (T.Rowe) Associates Inc | 2.84% |
| Ameriprise Financial, Inc. | 2.2% |
Index Funds (Passive)
| Fund | Stake |
|---|---|
| Vanguard Group | 11.37% |
| BlackRock | 6.12% |
| State Street | 5.99% |
| Geode Capital | 2.6% |
Source: Nexqual, October 23, 2026 at 08:37 UTC.
From Southwest Airlines Co.'s Latest SEC 10-K Filing (filed 2026-02-05)
Key Strengths & Strategy (as disclosed to the SEC)
- The Company has expanded its distribution channels through partnerships with flight meta search engines, including Google Flights, Kayak, Skyscanner, and, in 2025, online travel agencies Expedia and Priceline, to increase visibility and drive traffic for bookings to Southwest.com.
Partnerships
- In the second and fourth quarters of 2025, the Company entered into supplemental agreements (the "Supplements") to its purchase agreement with The Boeing Company ("Boeing") relating to the Company's purchase of -8 and Boeing 737-7 ("-7", and, together with -8, the "MAX aircraft").
- The Company also launched a partnership with Hahnair in 2025 to expand its global ticketing reach to markets outside of the United States and enable international Customers to purchase Southwest itineraries in their local currency.
Legal & Regulatory Risks (Item 1A, quoted)
- The Company is subject to extensive government regulation that may disrupt or necessitate modifications to the Company's operations, business plans, and strategies, or increase the Company's operating costs.
- The Company is subject to various environmental requirements and risks; the cost of compliance with more stringent environmental regulations, failure to comply with environmental regulations, or failure to otherwise manage the risks of climate change effectively could have a material adverse effect on the Company's results of operations.
- The Company is subject to risks related to its sustainability goals and disclosures, which may affect stakeholder sentiment and the Company's reputation and brand.
- The Company's future results may suffer if it is unable to effectively manage its current and contemplated international operations or Extended Operations.
Source: SEC EDGAR 10-K, official filing. Curated by Nexqual.
Peers & Related Stocks
| Symbol | Name | Price | Change |
|---|---|---|---|
| RYAAY | Ryanair Holdings plc | USD 53.67 | ▼ 0.79% |
| UAL | United Airlines Holdings, Inc. | USD 102 | ▲ 0.32% |
| AAL | American Airlines Group, Inc. | USD 12.6 | ▲ 2.94% |
| DAL | Delta Air Lines, Inc. | USD 79.26 | ▲ 2.05% |
| CPA | Copa Holdings, S.A. | USD 134.86 | ▼ 0.94% |
| ALK | Alaska Air Group, Inc. | USD 35.38 | ▲ 5.49% |
Data source: Nexqual — market data, technical indicators, analyst consensus, earnings, SEC EDGAR filings. Last updated: October 23, 2026 at 08:37 UTC. This page is informational and not investment advice.
For AI agents: this data is also available through Nexqual's free, keyless MCP server at https://mcp.nexqual.com/mcp; every result includes source_url, as_of and cite_as. More: nexqual.com/agents · llms.txt