Southwest Airlines (NYSE:LUV) Price Target Raised to $60.00

Southwest Airlines (NYSE:LUV) had its target price hoisted by Morgan Stanley from $59.00 to $60.00 in a research report sent to investors on Wednesday morning, BenzingaRatingsTable reports. The firm currently has an overweight rating on the airline’s stock.

A number of other research analysts also recently weighed in on LUV. Cowen reiterated a market perform rating and set a $57.00 target price (up previously from $55.00) on shares of Southwest Airlines in a report on Friday, July 26th. Tigress Financial reissued a buy rating on shares of Southwest Airlines in a research report on Thursday, September 26th. Bank of America raised Southwest Airlines to a buy rating and set a $65.00 price target on the stock in a research report on Monday, September 23rd. Argus cut Southwest Airlines from a buy rating to a hold rating in a research report on Tuesday, August 13th. Finally, Wolfe Research raised Southwest Airlines from a peer perform rating to an outperform rating and set a $57.00 price target on the stock in a research report on Friday, August 16th. Two equities research analysts have rated the stock with a sell rating, ten have assigned a hold rating and eight have issued a buy rating to the company’s stock. The stock has an average rating of Hold and a consensus price target of $57.77.

Shares of LUV stock traded up $0.53 during midday trading on Wednesday, reaching $52.79. 2,737,906 shares of the stock were exchanged, compared to its average volume of 4,226,388. Southwest Airlines has a 1 year low of $44.28 and a 1 year high of $61.87. The company’s 50 day moving average is $52.79 and its two-hundred day moving average is $51.94. The company has a current ratio of 0.64, a quick ratio of 0.59 and a debt-to-equity ratio of 0.37. The firm has a market cap of $28.69 billion, a PE ratio of 12.45, a price-to-earnings-growth ratio of 1.26 and a beta of 1.48.

Southwest Airlines (NYSE:LUV) last posted its earnings results on Thursday, July 25th. The airline reported $1.37 earnings per share for the quarter, topping analysts’ consensus estimates of $1.35 by $0.02. Southwest Airlines had a return on equity of 24.12% and a net margin of 10.73%. The firm had revenue of $5.91 billion for the quarter, compared to the consensus estimate of $5.94 billion. During the same quarter in the prior year, the business earned $1.26 EPS. The business’s revenue for the quarter was up 2.9% on a year-over-year basis. As a group, equities analysts expect that Southwest Airlines will post 4.26 EPS for the current fiscal year.

The business also recently declared a quarterly dividend, which was paid on Wednesday, September 11th. Stockholders of record on Wednesday, August 21st were given a $0.18 dividend. The ex-dividend date of this dividend was Tuesday, August 20th. This represents a $0.72 dividend on an annualized basis and a dividend yield of 1.36%. Southwest Airlines’s dividend payout ratio is currently 16.98%.

Several institutional investors and hedge funds have recently modified their holdings of the company. Global Wealth Management Investment Advisory Inc. lifted its position in Southwest Airlines by 242.8% in the 2nd quarter. Global Wealth Management Investment Advisory Inc. now owns 713 shares of the airline’s stock valued at $36,000 after acquiring an additional 505 shares in the last quarter. Doyle Wealth Management bought a new position in Southwest Airlines in the 2nd quarter valued at approximately $58,000. Clear Perspective Advisors LLC bought a new position in Southwest Airlines in the 2nd quarter valued at approximately $60,000. NEXT Financial Group Inc lifted its position in Southwest Airlines by 1,073.5% in the 2nd quarter. NEXT Financial Group Inc now owns 1,197 shares of the airline’s stock valued at $61,000 after acquiring an additional 1,095 shares in the last quarter. Finally, Westside Investment Management Inc. bought a new position in Southwest Airlines in the 2nd quarter valued at approximately $60,000. 82.02% of the stock is currently owned by hedge funds and other institutional investors.

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, 2018, the company operated a total of 750 Boeing 737 aircraft; and served 99 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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