12 analysts have expressed a variety of opinions on Southwest Airlines LUV over the past quarter, offering a diverse set of opinions from bullish to bearish.
In the table below, you'll find a summary of their recent ratings, revealing the shifting sentiments over the past 30 days and comparing them to the previous months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 1 | 2 | 8 | 1 | 0 |
| Last 30D | 0 | 0 | 1 | 0 | 0 |
| 1M Ago | 0 | 0 | 0 | 0 | 0 |
| 2M Ago | 0 | 1 | 5 | 1 | 0 |
| 3M Ago | 1 | 1 | 2 | 0 | 0 |
Analysts have set 12-month price targets for Southwest Airlines, revealing an average target of $28.32, a high estimate of $38.00, and a low estimate of $20.00. This current average has decreased by 5.76% from the previous average price target of $30.05.
Deciphering Analyst Ratings: An In-Depth Analysis
The perception of Southwest Airlines by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Stephen Trent | Citigroup | Raises | Neutral | $29.00 | $27.50 |
| Achal Kumar | HSBC | Announces | Hold | $27.80 | - |
| David Vernon | Bernstein | Lowers | Market Perform | $26.00 | $27.00 |
| Christopher Stathoulopoulos | Susquehanna | Lowers | Neutral | $25.00 | $27.00 |
| Sheila Kahyaoglu | Jefferies | Lowers | Underperform | $20.00 | $28.00 |
| Helane Becker | TD Cowen | Lowers | Hold | $25.00 | $26.00 |
| Savanthi Syth | Raymond James | Lowers | Outperform | $30.00 | $33.00 |
| Brandon Oglenski | Barclays | Lowers | Equal-Weight | $26.00 | $30.00 |
| Christopher Stathoulopoulos | Susquehanna | Lowers | Neutral | $27.00 | $30.00 |
| Ravi Shanker | Morgan Stanley | Lowers | Overweight | $38.00 | $40.00 |
| Brandon Oglenski | Barclays | Lowers | Equal-Weight | $30.00 | $32.00 |
| Atul Maheswari | UBS | Announces | Buy | $36.00 | - |
Key Insights:
- Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Southwest Airlines. This information offers a snapshot of how analysts perceive the current state of the company.
- Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Southwest Airlines compared to the broader market.
- Price Targets: Understanding forecasts, analysts offer estimates for Southwest Airlines's future value. Examining the current and prior targets provides insight into analysts' changing expectations.
To gain a panoramic view of Southwest Airlines's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.
Stay up to date on Southwest Airlines analyst ratings.
About Southwest Airlines
Southwest Airlines is the largest domestic air carrier in the United States by passengers boarded. Southwest operates over 800 aircraft in an all-Boeing 737 fleet. Despite offering some longer routes and a few perks for business travelers, the airline predominantly specializes in short-haul, leisure flights operated in a single, open-seating cabin configuration in a point-to-point network.
Unraveling the Financial Story of Southwest Airlines
Market Capitalization: Surpassing industry standards, the company's market capitalization asserts its dominance in terms of size, suggesting a robust market position.
Revenue Growth: Southwest Airlines's remarkable performance in 3 months is evident. As of 31 March, 2024, the company achieved an impressive revenue growth rate of 10.92%. This signifies a substantial increase in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Industrials sector.
Net Margin: Southwest Airlines's net margin is impressive, surpassing industry averages. With a net margin of -3.65%, the company demonstrates strong profitability and effective cost management.
Return on Equity (ROE): Southwest Airlines's ROE excels beyond industry benchmarks, reaching -2.23%. This signifies robust financial management and efficient use of shareholder equity capital.
Return on Assets (ROA): Southwest Airlines's ROA excels beyond industry benchmarks, reaching -0.64%. This signifies efficient management of assets and strong financial health.
Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.9.
Understanding the Relevance of Analyst Ratings
Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.
Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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