Southwest Airlines (NYSE:LUV) Given New $45.00 Price Target at Argus

Southwest Airlines (NYSE:LUV) had its target price trimmed by Argus from $55.00 to $45.00 in a research report released on Friday,MarketScreener reports. The firm currently has a buy rating on the airline’s stock.

Several other research firms have also recently issued reports on LUV. Zacks Research cut Southwest Airlines from a “strong-buy” rating to a “hold” rating in a research note on Wednesday, March 11th. TD Cowen decreased their price target on Southwest Airlines from $56.00 to $46.00 and set a “buy” rating for the company in a research note on Thursday, April 2nd. Wall Street Zen cut Southwest Airlines from a “buy” rating to a “hold” rating in a research note on Saturday, March 14th. HSBC raised Southwest Airlines from a “reduce” rating to a “hold” rating and increased their price target for the stock from $24.40 to $36.10 in a research note on Friday. Finally, The Goldman Sachs Group decreased their price target on Southwest Airlines from $32.00 to $30.00 and set a “sell” rating for the company in a research note on Wednesday, April 1st. Nine equities research analysts have rated the stock with a Buy rating, nine have given a Hold rating and four have assigned a Sell rating to the company. Based on data from MarketBeat, the company presently has an average rating of “Hold” and an average target price of $44.31.

Southwest Airlines Price Performance

Shares of LUV opened at $39.46 on Friday. Southwest Airlines has a 12 month low of $25.89 and a 12 month high of $55.11. The company has a market cap of $19.38 billion, a P/E ratio of 25.46, a PEG ratio of 0.43 and a beta of 1.19. The stock has a fifty day moving average price of $42.72 and a 200 day moving average price of $40.19. The company has a debt-to-equity ratio of 0.66, a current ratio of 0.48 and a quick ratio of 0.45.

Southwest Airlines (NYSE:LUV) last released its quarterly earnings results on Wednesday, April 22nd. The airline reported $0.45 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.45. Southwest Airlines had a return on equity of 10.66% and a net margin of 2.83%.The company had revenue of $7.25 billion during the quarter, compared to analysts’ expectations of $8.46 billion. During the same quarter in the prior year, the business posted ($0.13) earnings per share. The company’s revenue for the quarter was up 12.8% compared to the same quarter last year. Southwest Airlines has set its Q2 2026 guidance at 0.350-0.650 EPS. On average, research analysts forecast that Southwest Airlines will post 2.71 earnings per share for the current year.

Southwest Airlines Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Thursday, April 2nd. Investors of record on Thursday, March 12th were paid a dividend of $0.18 per share. The ex-dividend date of this dividend was Thursday, March 12th. This represents a $0.72 annualized dividend and a yield of 1.8%. Southwest Airlines’s dividend payout ratio (DPR) is currently 85.71%.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the company. SHP Wealth Management bought a new position in Southwest Airlines during the fourth quarter valued at about $25,000. GHP Investment Advisors Inc. bought a new position in Southwest Airlines during the fourth quarter valued at about $26,000. Entrust Financial LLC bought a new position in Southwest Airlines during the fourth quarter valued at about $26,000. Los Angeles Capital Management LLC bought a new position in Southwest Airlines during the fourth quarter valued at about $26,000. Finally, Quent Capital LLC bought a new position in Southwest Airlines during the third quarter valued at about $27,000. Institutional investors own 80.82% of the company’s stock.

Southwest Airlines News Roundup

Here are the key news stories impacting Southwest Airlines this week:

• Positive Sentiment: Raymond James raised its price target to $55 and kept an Outperform rating, citing margin strength — a bullish analyst action that likely supported the stock. Raymond James raises Southwest stock price target
• Positive Sentiment: Evercore nudged its target higher to $44, and several reports note other firms (and some analysts aggregated by Benzinga) have lifted their forecasts after Q1 — signaling improving analyst confidence in longer‑term recovery. Evercore adjusts price target
• Positive Sentiment: Q1 revenue topped estimates (record quarterly revenue reported), which investors viewed as evidence that the company’s initiatives are driving higher unit revenue. Zacks: Q1 revenue beat
• Neutral Sentiment: Q1 results were mixed: EPS roughly met consensus ($0.45) while revenue beat — a near-term neutral read that keeps investor focus on guidance and fuel trends. Q1 earnings snapshot
• Neutral Sentiment: Management’s earnings call highlighted progress from recent initiatives but reiterated exposure to jet fuel; the transcript provides detail for investors assessing execution vs. cost risk. Earnings call transcript
• Negative Sentiment: Southwest set Q2 adjusted EPS guidance with a midpoint below Street estimates and said updating FY guidance wouldn’t be productive amid macro uncertainty — a clear near‑term negative and the main reason some traders sold into the print. Analysts boost forecasts following Q1
• Negative Sentiment: Surging jet fuel costs are flagged as a material risk that could put full‑year guidance at risk — this cost pressure is cited across media and is weighing on near‑term profitability expectations. Fuel costs risk
• Negative Sentiment: Some analysts trimmed targets or gave cautious ratings (Argus cut its target to $45 from $55; HSBC moved to Hold with a $36.10 target), reflecting mixed views that can cap upside. Argus adjusts price target

About Southwest Airlines

Southwest Airlines Co is a U.S.-based low-cost carrier that operates a point-to-point domestic and near-international airline network. Headquartered in Dallas, Texas, the company primarily flies Boeing 737 aircraft and offers no-frills, single-class service designed to keep fares competitive. Southwest’s operating model emphasizes high aircraft utilization, quick turnaround times and an open seating policy, allowing customers to board and select seats on a first-come, first-served basis.

Founded in 1967 by Herb Kelleher and Rollin King as Air Southwest Company, Southwest began commercial service in 1971, initially connecting Dallas, Houston and San Antonio.