Zacks Research Has Positive Outlook for LUV Q2 Earnings

Southwest Airlines Co. (NYSE:LUV) – Investment analysts at Zacks Research lifted their Q2 2027 earnings per share estimates for shares of Southwest Airlines in a research report issued on Wednesday, November 4th. Zacks Research analyst Team now forecasts that the airline will post earnings per share of $1.19 for the quarter, up from their previous forecast of $1.16. Zacks Research currently has a “Strong Sell” rating on the stock. The consensus estimate for Southwest Airlines’ current full-year earnings is $2.77 per share. Zacks Research also issued estimates for Southwest Airlines’ Q3 2027 earnings at $1.11 EPS.

Southwest Airlines (NYSE:LUV) last issued its earnings results on Wednesday, October 21st. The airline reported $0.66 EPS for the quarter, beating analysts’ consensus estimates of $0.57 by $0.09. Southwest Airlines had a return on equity of 18.05% and a net margin of 3.34%. The business had revenue of $8.42 billion during the quarter, compared to analyst estimates of $8.25 billion. During the same period in the previous year, the company posted $0.11 EPS. The firm’s revenue was up 21.2% compared to the same quarter last year.

Other equities analysts have also issued reports about the company. Susquehanna lowered their target price on Southwest Airlines from $50.00 to $45.00 and set a “neutral” rating on the stock in a research report on Wednesday, October 7th. Tigress Financial assumed coverage on shares of Southwest Airlines in a research note on Friday, October 30th. They set a “buy” rating and a $62.00 price target for the company. BMO Capital Markets lowered their price objective on shares of Southwest Airlines from $60.00 to $50.00 and set an “outperform” rating on the stock in a report on Monday, September 28th. Citigroup dropped their price objective on shares of Southwest Airlines from $55.00 to $50.00 and set a “neutral” rating on the stock in a research note on Friday, July 24th. Finally, Barclays reduced their price objective on shares of Southwest Airlines from $65.00 to $58.00 and set an “overweight” rating for the company in a report on Friday, September 11th. Eleven equities research analysts have rated the stock with a Buy rating, eight have issued a Hold rating and four have assigned a Sell rating to the company. According to MarketBeat.com, Southwest Airlines presently has a consensus rating of “Hold” and a consensus target price of $48.20.

Southwest Airlines Trading Up 6.9%

Shares of Southwest Airlines stock opened at $46.45 on Thursday. The company has a debt-to-equity ratio of 0.51, a quick ratio of 0.40 and a current ratio of 0.47. Southwest Airlines has a 52 week low of $29.80 and a 52 week high of $55.11. The stock has a 50 day moving average price of $40.99 and a two-hundred day moving average price of $43.52. The stock has a market capitalization of $22.74 billion, a PE ratio of 22.33, a price-to-earnings-growth ratio of 0.63 and a beta of 1.23.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the stock. Archer Investment Corp purchased a new stake in Southwest Airlines in the 2nd quarter valued at $32,000. Fiduciary Financial Advisors bought a new position in Southwest Airlines during the 2nd quarter valued at $32,000. Scarborough Advisors LLC bought a new position in Southwest Airlines during the 1st quarter valued at $28,000. Grove Bank & Trust boosted its holdings in Southwest Airlines by 109.4% during the 2nd quarter. Grove Bank & Trust now owns 871 shares of the airline’s stock worth $45,000 after acquiring an additional 455 shares during the last quarter. Finally, MidFirst Bank purchased a new position in Southwest Airlines during the 2nd quarter worth $48,000. Hedge funds and other institutional investors own 80.82% of the company’s stock.

Southwest Airlines Company Profile

Southwest Airlines Co is a major U.S. passenger airline headquartered in Dallas, Texas. The company provides scheduled air transportation for leisure and business travelers, with service connecting cities throughout the United States and selected destinations in Mexico, the Caribbean, and Central America.

Southwest is known for its predominantly domestic network and point-to-point operating model. In addition to passenger flights, the company offers ancillary services and air cargo transportation.