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Southwest Airlines Co Stock Research

LUV

30.48USD+0.75(+2.52%)Market Closed

Market Summary

USD30.48+0.75
Market Closed
2.52%

LUV Alerts

LUV Stock Price

LUV RSI Chart

LUV Valuation

Market Cap

18.1B

Price/Earnings (Trailing)

18.91

Price/Sales (Trailing)

0.76

EV/EBITDA

6.98

Price/Free Cashflow

4.77

LUV Price/Sales (Trailing)

LUV Profitability

EBT Margin

3.06%

Return on Equity

8.95%

Return on Assets

2.7%

Free Cashflow Yield

20.97%

LUV Fundamentals

LUV Revenue

Revenue (TTM)

23.8B

Revenue Y/Y

22.19%

Revenue Q/Q

-0.77%

LUV Earnings

Earnings (TTM)

956.0M

Earnings Y/Y

-423.53%

Earnings Q/Q

-179.42%

Price Action

52 Week Range

29.4150.10
(Low)(High)

Last 7 days

-12.3%

Last 30 days

-15.2%

Last 90 days

-20.3%

Trailing 12 Months

-29.3%

LUV Financial Health

Current Ratio

1.43

Debt/Equity

0.75

Debt/Cashflow

0.47

LUV Investor Care

Dividend Yield

0.59%

Dividend/Share (TTM)

0.18

Shares Dilution (1Y)

0.17%

Diluted EPS (TTM)

0.87

Peers (Alternatives to Southwest Airlines)

View All Peers In Detail
NameMkt Capsorted ascendingRevenuePrice %, 1MReturns, 1YP/EP/SRev 1-YrInc 1-Yr
LARGE-CAP
53.1B
94.1B
-7.73% -9.22%
15.93
0.56
5.07% -32.20%
24.5B
50.6B
-13.91% -4.68%
298.7
0.53
69.18% 370.71%
18.1B
23.8B
-15.23% -29.32%
18.91
0.76
50.82% -2.15%
14.3B
45.0B
-12.30% 12.81%
19.34
0.32
82.49% 137.53%
9.2B
49.0B
-16.05% -10.98%
72.34
0.19
63.88% 106.37%
MID-CAP
5.2B
9.6B
-19.50% -21.96%
89.01
0.54
56.19% -87.87%
2.9B
4.5B
0.24% 21.66%
8.22
0.64
12.86% -27.86%
2.3B
9.2B
-18.97% -49.38%
-6.41
0.25
51.67% -98.90%
SMALL-CAP
1.9B
5.1B
-12.90% -19.64%
-3.36
0.37
56.88% -17.26%
1.6B
2.3B
-7.92% -42.53%
624.1
0.68
34.77% -98.36%
1.5B
2.0B
-17.79% -34.57%
7.55
0.73
17.94% -14.19%
933.4M
3.0B
-5.79% -29.21%
12.8
0.31
10.74% -34.81%
431.7M
2.6B
-21.20% -51.47%
-1.8
0.16
65.43% -65.83%
96.0M
530.4M
-27.99% -40.19%
-0.54
0.18
5.88% -1403.68%
59.3M
224.4M
-8.70% 0.43%
-23.56
0.26
30.18% -139.59%

Financials for Southwest Airlines

Income Statement (Last 12 Months)
(In Millions)
* denotes actual numbers (not divided by Millions)
Description(%) Q/Q2022Q42022Q32022Q22022Q12021Q4
Revenue4.9%23,81422,69321,15218,43215,790
Operating Expenses8.1%22,79721,09619,21717,06114,069
EBITDA-13.2%2,3842,7482,9622,427-
EBITDA Margin-17.3%0.10*0.12*0.14*0.13*-
Earnings Before Taxes-33.2%7281,0901,3378031,325
EBT Margin-36.4%0.03*0.05*0.06*0.04*-
Interest Expenses-13.1%305351331340336
Net Income-23.2%9561,2441,4131,283977
Net Income Margin-26.8%0.04*0.05*0.05*0.03*-
Free Cahsflow9.6%3,7903,4582,6492,748-
Balance Sheet
(In Millions)
Description(%) Q/Q2022Q42022Q32022Q22022Q12021Q4
Assets-1.6%35,36935,94638,30237,26236,320
  Current Assets-9.8%14,80816,41819,39618,82218,036
    Cash Equivalents-9.1%9,49210,44313,23413,09812,480
  Net PPE4.8%16,33715,59414,93714,842-
  Goodwill0%970970970970970
  Current Liabilities-0.4%10,37810,41611,71110,0699,164
  Long Term Debt-3.2%8,0468,3158,87710,30910,274
Shareholder's Equity-2.2%10,68710,92411,12010,41710,414
  Retained Earnings-2.0%16,26116,58816,31115,55115,774
  Additional Paid-In Capital1.2%4,0373,9893,9663,9404,224
Accumulated Depreciation2.2%13,50113,21612,94512,732-
Shares Outstanding0%593593592--
Cashflow (Last 12 Months)
(In Millions)
* denotes actual numbers (not divided by Millions)
Description(%) Q/Q2022Q42022Q32022Q22022Q12021Q4
Cashflow From Operations9.6%3,7903,4582,6492,7482,322
Cashflow From Investing-25.0%-3,746-2,997-2,289-1,203-1,264
Cashflow From Financing-1.1%-3,032-2,998-1,250-418359
  Dividend PaymentsNaN%0.000.00---
  Buy BacksNaN%0.000.00---

Risks for LUV

What is the probability of a big loss on LUV?

85.4%


Probability that Southwest Airlines stock will be more than 20% underwater in next one year

46.9%


Probability that Southwest Airlines stock will be more than 30% underwater in next one year.

21.9%


Probability that Southwest Airlines stock will be more than 40% underwater in next one year.
*Calculated based on probability distribution of losses observed in actual data in the last 5 years.

How does LUV drawdown profile look like?

Y-axis is the maximum loss one would have experienced if Southwest Airlines was unfortunately bought at previous high price.

Drawdowns

Returns for LUV

Cumulative Returns on LUV

9.9%


10-Year Cumulative Returns

-4.9%


7-Year Cumulative Returns

-12.9%


5-Year Cumulative Returns

-10.4%


3-Year Cumulative Returns

What are the long-term rolling returns for LUV?

FIve years rolling returns for Southwest Airlines.

Annualized Returns

Which funds bought or sold LUV recently?

View All Details
Datesorted ascendingFund NameType% Chg$ Change$ Held% Portfolio
2023-03-15
B. Riley Wealth Advisors, Inc.
added
16.22
132,932
629,932
0.02%
2023-03-10
VICTORY CAPITAL MANAGEMENT INC
added
13.99
1,743,120
8,873,120
0.01%
2023-03-06
Rockefeller Capital Management L.P.
sold off
-100
-18,000
-
-%
2023-03-06
Rockefeller Capital Management L.P.
added
277
6,299,000
8,319,000
0.04%
2023-03-03
TIAA, FSB
reduced
-12.05
-20,337
479,663
-%
2023-03-02
Leading Edge Financial Planning LLC
new
-
398,453
398,453
0.34%
2023-02-28
Voya Investment Management LLC
reduced
-6.06
231,240
9,228,240
0.01%
2023-02-27
Kalos Management, Inc.
unchanged
-
8,771
353,771
0.80%
2023-02-24
NATIXIS
reduced
-90.23
-12,753,900
1,519,090
0.01%
2023-02-24
SRS Capital Advisors, Inc.
reduced
-61.94
-90,421
64,579
0.01%

1–10 of 41

Latest Funds Activity

Are funds buying LUV calls or puts?
Calls
Puts
Are funds bullish or bearish(Calls - Puts)?
Net Call Options
No. of funds that own LUV
No. of Funds

Southwest Airlines News

Seeking Alpha

United Airlines: Recent Sell-Off Creates A Buying Opportunity ....

Seeking Alpha,
3 hours ago

Stock Traders Daily

Pittsburgh Business Times

Investopedia

Investor's Business Daily

Schedule 13G FIlings of Southwest Airlines

Date FiledName of FilerPercent of ClassNo. of SharesForm Type
Feb 13, 2023
blackrock inc.
6.0%
35,569,761
SC 13G/A
Feb 09, 2023
primecap management co/ca/
8.79%
52,198,099
SC 13G/A
Feb 09, 2023
vanguard group inc
11.05%
65,581,138
SC 13G/A
Feb 11, 2022
state street corp
6.83%
40,425,713
SC 13G/A
Feb 10, 2022
primecap management co/ca/
9.17%
54,290,429
SC 13G/A
Feb 01, 2022
blackrock inc.
5.5%
32,756,987
SC 13G
Jan 10, 2022
vanguard group inc
10.44%
61,814,978
SC 13G/A
Feb 12, 2021
state street corp
7.26%
42,844,329
SC 13G
Feb 12, 2021
primecap management co/ca/
11.05%
65,213,818
SC 13G/A
Feb 10, 2021
vanguard group inc
8.74%
51,587,663
SC 13G/A

LUV Fair Value

Southwest Airlines fair value in different scenarios

The table shows the Fair Value estimates for Southwest Airlines for various scenarios. Disclaimer: These are just estimations from a model. None of the models are good at predicting the future. Please dont buy or sell stocks based on these outputs.
Fair ValueVery PessimisticPessimisticBase CaseOptimisticVery Optimistic
Very Low Inflation

7.92

-74.02%

10.84

-64.44%

18.58

-39.04%

32.18

5.58%

51.69

69.59%
Current Inflation

17.33

-43.14%

23.48

-22.97%

30.97

1.61%

41.72

36.88%

47.96

57.35%
Very High Inflation

6.53

-78.58%

8.63

-71.69%

14.05

-53.90%

23.69

-22.28%

37.41

22.74%

Historical Southwest Airlines Fair Value Estimates


Very Pessimistic Case
Pessimistic Case
Fair Value
Optimistic Case
Very Optimistic Case
Closing Stock Price

Recent SEC filings of Southwest Airlines

View All Filings
Date Filed Form Type Document
Mar 14, 2023
8-K
Current Report
Feb 23, 2023
4
Insider Trading
Feb 23, 2023
4
Insider Trading
Feb 23, 2023
4
Insider Trading
Feb 23, 2023
4
Insider Trading
Feb 23, 2023
4
Insider Trading
Feb 23, 2023
4
Insider Trading
Feb 23, 2023
4
Insider Trading
Feb 17, 2023
3
Insider Trading
Feb 13, 2023
SC 13G/A
Major Ownership Report

Latest Insider Trading transactions for LUV

Filter Transactions
Datesorted ascendingNameBuy/Sell$ ValueAvg. Price# SharesTitle
2023-02-21
KELLY GARY C
sold (taxes)
-769,728
33.76
-22,800
executive chairman
2023-02-21
Watterson Andrew M
sold (taxes)
-269,270
33.76
-7,976
chief operating officer
2023-02-21
Green Ryan C.
sold (taxes)
-40,039
33.76
-1,186
evp, chief commercial officer
2023-02-21
Romo Tammy
sold (taxes)
-315,960
33.76
-9,359
evp & cfo
2023-02-21
Shaw Mark R
sold (taxes)
-268,054
33.76
-7,940
evp, cl&r officer
2023-02-21
Jordan Robert E
sold (taxes)
-402,824
33.76
-11,932
ceo, president
2023-02-21
Rutherford Linda B.
sold (taxes)
-107,222
33.76
-3,176
chief admin & comm. officer
2023-02-01
Shaw Mark R
acquired
-
-
25,900
evp, cl&r officer
2023-02-01
KELLY GARY C
acquired
-
-
53,326
executive chairman
2023-02-01
Green Ryan C.
acquired
-
-
23,681
evp, chief commercial officer

1–10 of 50

Robert E. Jordan
55100
Southwest Airlines Co. operates as a passenger airline company that provide scheduled air transportation services in the United States and near-international markets. As of December 31, 2021, the company operated a total fleet of 728 Boeing 737 aircrafts; and served 121 destinations in 42 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. It also provides inflight entertainment and connectivity services on Wi-Fi enabled aircrafts; and Rapid Rewards loyalty program that enables program members to earn points for dollars spent on Southwest base fares. In addition, the company offers a suite of digital platforms to support customers' travel needs, including websites and apps; and SWABIZ, an online booking tool. Further, it provides ancillary services, such as Southwest's EarlyBird Check-In, upgraded boarding, and transportation of pets and unaccompanied minors. The company was incorporated in 1967 and is headquartered in Dallas, Texas.

LUV Income Statement

2022-09-30
Condensed Consolidated Statement of Comprehensive Income - USD ($)
shares in Millions, $ in Millions
3 Months Ended9 Months Ended
Sep. 30, 2022
Sep. 30, 2021
Sep. 30, 2022
Sep. 30, 2021
OPERATING REVENUES:    
Total operating revenues$ 6,220$ 4,679$ 17,642$ 10,739
OPERATING EXPENSES, NET:    
Salaries, wages, and benefits2,3222,1226,7715,518
Payroll support and voluntary Employee programs, net0(776)0(2,963)
Fuel and oil1,7509904,3902,261
Maintenance materials and repairs204250624646
Landing fees and airport rentals3953761,1281,092
Depreciation and amortization335322984949
Other operating expenses8196622,3431,710
Total operating expenses, net5,8253,94616,2409,213
OPERATING INCOME3957331,4021,526
OTHER EXPENSES (INCOME):    
Interest expense86115272343
Capitalized interest(11)(9)(31)(27)
Interest income(70)(2)(101)(6)
Loss on extinguishment of debt761219212
Other (gains) losses, net(39)1757(44)
Total other expenses (income)42133389278
INCOME BEFORE INCOME TAXES3536001,0131,248
PROVISION FOR INCOME TAXES76154254339
NET INCOME$ 277$ 446$ 759$ 909
Net income per share, basic (in USD per share)$ 0.47$ 0.75$ 1.28$ 1.54
Net income per share, diluted (in USD per share)$ 0.44$ 0.73$ 1.21$ 1.49
COMPREHENSIVE INCOME$ (223)$ 577$ 676$ 1,300
WEIGHTED AVERAGE SHARES OUTSTANDING    
Basic (in shares)593592593591
Diluted (in shares)639607643610
Revision of Prior Period, Reclassification, Adjustment    
OTHER EXPENSES (INCOME):    
Other (gains) losses, net $ 12 $ 12
Passenger    
OPERATING REVENUES:    
Total operating revenues$ 5,6134,227$ 15,8679,508
Freight    
OPERATING REVENUES:    
Total operating revenues4447133140
Other    
OPERATING REVENUES:    
Total operating revenues$ 563$ 405$ 1,642$ 1,091

LUV Balance Sheet

2022-09-30
Condensed Consolidated Balance Sheet - USD ($)
$ in Millions
Sep. 30, 2022
Dec. 31, 2021
Current assets:  
Cash and cash equivalents$ 10,443$ 12,480
Short-term investments3,2303,024
Accounts and other receivables1,3161,357
Inventories of parts and supplies, at cost776537
Prepaid expenses and other current assets653638
Total current assets16,41818,036
Property and equipment, at cost:  
Flight equipment22,50521,226
Ground property and equipment6,7276,342
Deposits on flight equipment purchase contracts5870
Assets constructed for others196
Property and equipment, at cost29,83827,574
Less allowance for depreciation and amortization13,50112,732
Property and equipment, net16,33714,842
Goodwill970970
Operating lease right-of-use assets1,4491,590
Other assets772882
Total assets35,94636,320
Current liabilities:  
Accounts payable1,5531,282
Accrued liabilities1,8811,624
Current operating lease liabilities233239
Air traffic liability6,3685,566
Current maturities of long-term debt381453
Total current liabilities10,4169,164
Long-term debt less current maturities8,31510,274
Air traffic liability - noncurrent2,0572,159
Deferred income taxes1,9951,770
Noncurrent operating lease liabilities1,1831,315
Other noncurrent liabilities1,0561,224
Stockholders' equity:  
Common stock888888
Capital in excess of par value3,9894,224
Retained earnings16,58815,774
Accumulated other comprehensive income305388
Treasury stock, at cost(10,846)(10,860)
Total stockholders' equity10,92410,414
Total liabilities and stockholders' equity$ 35,946$ 36,320