Melius Upgrades Southwest Airlines (NYSE:LUV) to Hold

Southwest Airlines (NYSE:LUV) was upgraded by investment analysts at Melius from a “sell” rating to a “hold” rating in a research note issued on Thursday, Marketbeat.com reports.

LUV has been the subject of several other research reports. UBS Group raised shares of Southwest Airlines from a “sell” rating to a “neutral” rating and raised their target price for the stock from $29.00 to $36.00 in a report on Thursday. Barclays raised their target price on shares of Southwest Airlines from $32.00 to $35.00 and gave the stock an “equal weight” rating in a report on Friday, December 6th. Susquehanna reduced their target price on shares of Southwest Airlines from $38.00 to $34.00 and set a “neutral” rating for the company in a report on Tuesday, February 4th. Morgan Stanley reissued an “overweight” rating and set a $42.00 target price on shares of Southwest Airlines in a report on Wednesday, December 11th. Finally, Citigroup reissued a “sell” rating and set a $29.50 target price (down previously from $31.50) on shares of Southwest Airlines in a report on Thursday, January 16th. Five equities research analysts have rated the stock with a sell rating, ten have issued a hold rating and four have given a buy rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of “Hold” and a consensus target price of $32.43.

Southwest Airlines Stock Up 3.8 %

Shares of LUV stock opened at $33.63 on Thursday. Southwest Airlines has a fifty-two week low of $23.58 and a fifty-two week high of $36.12. The firm has a market capitalization of $19.93 billion, a PE ratio of 46.71, a P/E/G ratio of 0.97 and a beta of 1.10. The company has a debt-to-equity ratio of 0.49, a quick ratio of 0.85 and a current ratio of 0.92. The stock’s 50-day simple moving average is $31.10 and its 200-day simple moving average is $31.31.

Southwest Airlines (NYSE:LUV) last issued its quarterly earnings results on Thursday, January 30th. The airline reported $0.56 earnings per share for the quarter, topping the consensus estimate of $0.45 by $0.11. Southwest Airlines had a net margin of 1.69% and a return on equity of 5.77%. Equities analysts expect that Southwest Airlines will post 1.55 earnings per share for the current year.

Insider Transactions at Southwest Airlines

In related news, Director C. David Cush bought 5,000 shares of the business’s stock in a transaction dated Wednesday, March 12th. The stock was acquired at an average price of $30.03 per share, with a total value of $150,150.00. Following the completion of the purchase, the director now directly owns 19,011 shares of the company’s stock, valued at approximately $570,900.33. This trade represents a 35.69 % increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is available through the SEC website. Corporate insiders own 0.33% of the company’s stock.

Hedge Funds Weigh In On Southwest Airlines

Institutional investors and hedge funds have recently bought and sold shares of the business. Kestra Investment Management LLC acquired a new position in Southwest Airlines during the fourth quarter worth about $26,000. Raleigh Capital Management Inc. boosted its holdings in Southwest Airlines by 186.7% in the 4th quarter. Raleigh Capital Management Inc. now owns 883 shares of the airline’s stock valued at $30,000 after purchasing an additional 575 shares during the last quarter. Sanctuary Wealth Management L.L.C. boosted its holdings in Southwest Airlines by 196.3% in the 4th quarter. Sanctuary Wealth Management L.L.C. now owns 889 shares of the airline’s stock valued at $30,000 after purchasing an additional 589 shares during the last quarter. TD Private Client Wealth LLC raised its stake in shares of Southwest Airlines by 41.1% in the 3rd quarter. TD Private Client Wealth LLC now owns 1,184 shares of the airline’s stock valued at $35,000 after acquiring an additional 345 shares during the period. Finally, VSM Wealth Advisory LLC purchased a new stake in shares of Southwest Airlines in the 4th quarter valued at approximately $42,000. 80.82% of the stock is currently owned by institutional investors and hedge funds.

Southwest Airlines Company Profile

Southwest Airlines Co operates as a passenger airline company that provides scheduled air transportation services in the United States and near-international markets. As of December 31, 2023, the company operated a total fleet of 817 Boeing 737 aircraft; and served 121 destinations in 42 states, the District of Columbia, and the Commonwealth of Puerto Rico, as well as ten near-international countries, including Mexico, Jamaica, the Bahamas, Aruba, the Dominican Republic, Costa Rica, Belize, Cuba, the Cayman Islands, and Turks and Caicos.