Southwest Airlines (LUV) Price Target Lowered to $65.00 at Buckingham Research

Southwest Airlines (NYSE:LUV) had its target price decreased by Buckingham Research from $73.00 to $65.00 in a research note issued to investors on Friday. The firm presently has a “buy” rating on the airline’s stock. Buckingham Research’s target price would indicate a potential upside of 31.10% from the company’s previous close.

A number of other equities research analysts have also weighed in on the stock. Imperial Capital reaffirmed an “outperform” rating and set a $66.00 target price (up previously from $60.00) on shares of Southwest Airlines in a research note on Thursday, September 27th. Morgan Stanley reaffirmed a “buy” rating on shares of Southwest Airlines in a research note on Tuesday, August 14th. Macquarie raised shares of Southwest Airlines to an “outperform” rating in a research note on Tuesday, September 18th. Argus raised shares of Southwest Airlines from a “hold” rating to a “buy” rating and set a $73.00 price objective on the stock in a research note on Friday, September 7th. Finally, Zacks Investment Research raised shares of Southwest Airlines from a “hold” rating to a “buy” rating and set a $69.00 price objective on the stock in a research note on Wednesday, October 3rd. Five analysts have rated the stock with a hold rating and fifteen have assigned a buy rating to the stock. Southwest Airlines presently has an average rating of “Buy” and an average price target of $67.78.

Southwest Airlines stock traded down $0.33 during trading hours on Friday, reaching $49.58. The stock had a trading volume of 657,743 shares, compared to its average volume of 5,204,073. The firm has a market cap of $33.16 billion, a PE ratio of 14.16, a price-to-earnings-growth ratio of 1.24 and a beta of 1.06. Southwest Airlines has a 52 week low of $49.02 and a 52 week high of $66.99. The company has a quick ratio of 0.64, a current ratio of 0.70 and a debt-to-equity ratio of 0.48.



Southwest Airlines (NYSE:LUV) last announced its earnings results on Thursday, October 25th. The airline reported $1.08 earnings per share for the quarter, beating analysts’ consensus estimates of $1.06 by $0.02. The firm had revenue of $5.58 billion for the quarter, compared to analyst estimates of $5.56 billion. Southwest Airlines had a net margin of 16.90% and a return on equity of 22.16%. During the same quarter in the previous year, the firm posted $0.88 EPS. As a group, sell-side analysts expect that Southwest Airlines will post 4.16 earnings per share for the current fiscal year.

In other Southwest Airlines news, EVP Andrew M. Watterson sold 6,130 shares of the company’s stock in a transaction that occurred on Friday, August 17th. The shares were sold at an average price of $59.28, for a total transaction of $363,386.40. Following the completion of the sale, the executive vice president now directly owns 16,597 shares of the company’s stock, valued at $983,870.16. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, SVP Mark R. Shaw sold 4,910 shares of the company’s stock in a transaction that occurred on Monday, July 30th. The shares were sold at an average price of $58.35, for a total transaction of $286,498.50. Following the sale, the senior vice president now directly owns 11,546 shares of the company’s stock, valued at $673,709.10. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 11,470 shares of company stock valued at $674,941. 0.23% of the stock is owned by corporate insiders.

A number of hedge funds have recently made changes to their positions in LUV. ACG Wealth boosted its holdings in Southwest Airlines by 18.6% in the third quarter. ACG Wealth now owns 45,188 shares of the airline’s stock valued at $2,822,000 after purchasing an additional 7,098 shares in the last quarter. Salem Investment Counselors Inc. lifted its holdings in shares of Southwest Airlines by 3,172.6% during the second quarter. Salem Investment Counselors Inc. now owns 22,843 shares of the airline’s stock worth $1,162,000 after purchasing an additional 22,145 shares during the period. Wills Financial Group Inc. purchased a new position in Southwest Airlines in the second quarter worth $1,222,000. Independent Advisor Alliance purchased a new position in Southwest Airlines in the second quarter worth $366,000. Finally, CSat Investment Advisory L.P. purchased a new position in Southwest Airlines in the second quarter worth $1,177,000. 78.03% of the stock is owned by institutional investors and hedge funds.

About Southwest Airlines

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, 2017, the company operated a total of 706 Boeing 737 aircraft; and served 100 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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