Southwest Airlines (LUV) Cut to Sell at ValuEngine

ValuEngine lowered shares of Southwest Airlines (NYSE:LUV) from a hold rating to a sell rating in a research note published on Monday.

Other research analysts have also issued reports about the company. Imperial Capital reiterated an in-line rating and issued a $62.00 price objective (up from $56.00) on shares of Southwest Airlines in a research report on Tuesday, December 4th. Credit Suisse Group reiterated a hold rating and issued a $56.00 price objective (down from $60.00) on shares of Southwest Airlines in a research report on Thursday, February 21st. Macquarie lowered Southwest Airlines from an outperform rating to a neutral rating in a research report on Friday, February 22nd. Cowen restated a market perform rating and set a $58.00 price target (up from $54.00) on shares of Southwest Airlines in a research report on Friday, January 25th. Finally, Vertical Research started coverage on Southwest Airlines in a research report on Monday, February 4th. They set a buy rating for the company. Three equities research analysts have rated the stock with a sell rating, seven have assigned a hold rating and eleven have assigned a buy rating to the company. Southwest Airlines currently has a consensus rating of Hold and a consensus target price of $61.76.

Shares of Southwest Airlines stock opened at $51.16 on Monday. The company has a market capitalization of $27.97 billion, a P/E ratio of 12.07, a price-to-earnings-growth ratio of 0.86 and a beta of 1.51. Southwest Airlines has a fifty-two week low of $44.28 and a fifty-two week high of $64.02. The company has a quick ratio of 0.58, a current ratio of 0.64 and a debt-to-equity ratio of 0.45.



Southwest Airlines (NYSE:LUV) last issued its quarterly earnings data on Thursday, January 24th. The airline reported $1.17 earnings per share for the quarter, topping the consensus estimate of $1.06 by $0.11. The company had revenue of $5.70 billion during the quarter, compared to analyst estimates of $5.68 billion. Southwest Airlines had a return on equity of 24.56% and a net margin of 11.22%. The firm’s revenue for the quarter was up 8.5% compared to the same quarter last year. During the same period in the prior year, the business posted $0.77 earnings per share. Equities research analysts predict that Southwest Airlines will post 5.12 EPS for the current year.

The company also recently declared a quarterly dividend, which will be paid on Wednesday, March 27th. Stockholders of record on Wednesday, March 6th will be given a dividend of $0.16 per share. The ex-dividend date is Tuesday, March 5th. This represents a $0.64 annualized dividend and a dividend yield of 1.25%. Southwest Airlines’s dividend payout ratio is currently 15.09%.

Several institutional investors and hedge funds have recently added to or reduced their stakes in LUV. Cerity Partners LLC boosted its holdings in Southwest Airlines by 4.6% in the fourth quarter. Cerity Partners LLC now owns 5,179 shares of the airline’s stock valued at $241,000 after purchasing an additional 228 shares during the period. Dorsey & Whitney Trust CO LLC boosted its holdings in Southwest Airlines by 4.3% in the fourth quarter. Dorsey & Whitney Trust CO LLC now owns 5,590 shares of the airline’s stock valued at $259,000 after purchasing an additional 231 shares during the period. Fulton Bank N.A. boosted its holdings in Southwest Airlines by 0.8% in the fourth quarter. Fulton Bank N.A. now owns 29,372 shares of the airline’s stock valued at $1,366,000 after purchasing an additional 237 shares during the period. Cypress Capital Group boosted its holdings in Southwest Airlines by 2.4% in the fourth quarter. Cypress Capital Group now owns 11,471 shares of the airline’s stock valued at $533,000 after purchasing an additional 273 shares during the period. Finally, Cornerstone Advisors Inc. boosted its holdings in Southwest Airlines by 6.8% in the third quarter. Cornerstone Advisors Inc. now owns 4,572 shares of the airline’s stock valued at $286,000 after purchasing an additional 292 shares during the period. Institutional investors and hedge funds own 79.84% of the company’s stock.

Southwest Airlines Company Profile

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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