Stock·NYSE·Industrials
Southwest Airlines Co. (LUV)
- Market cap
- $20.96B
- P/E
- 20.90
- Dividend yield
- 1.68%
- Street target
- $50.00median of 25 analysts
- 52-week range
- $29.26 $55.11
LUV stock forecast today
Where LUV stands today, and what CleaRank Financial AI makes of it.
LUV at a glance
Southwest Airlines Co. (LUV): Buy, 69/100 on CleaRank's AI score.
- Trend Mixed: the price is above its 50-day but below its 200-day moving average ($40.63 and $43.46).
- Earnings LUV beat estimates in 6 of its last 8 quarters, yet fell the next day after 3 of those beats.
- Insiders Insiders sold $307K and bought $713K over the last 18 months.
- Valuation P/E of 20.9 against 34.0 for the Industrials sector: a discount to peers (-39%).
Figures as of October 26, 2026.
CleaRank Financial AI
LUV carries a CleaRank rating of Buy and a model score of 69/100.
Valuation does the most to lift that score. The P/E of 20.90 is 38.5% below the sector median, a discount to peers, and the P/S of 0.65 is 83.8% below the sector median. Profitability pulls the score down the most, since return on equity of 13.94% trails the sector median. On trend, the price is 5.47% above its 50-day average of $40.63 but 1.40% below its 200-day average of $43.46, so the trend reads as mixed. The price has gained 33.07% over the past year.
Only on CleaRank
Figures we compute ourselves from LUV's own price, earnings and insider-filing history. Tap one to see it in context.
LUV stock price and trading
The chart, today's range and how far the price has moved over each period.
Trend checks
2/4Price above its 50-day average ›
The price of $42.85 is 5.5% above the 50-day simple moving average of $40.63.Price above its 200-day average ›
The price is 1.4% below the 200-day simple moving average of $43.46.50-day average above the 200-day ›
The 50-day average ($40.63) is 6.5% below the 200-day average ($43.46), the arrangement of a falling longer-term trend.In the upper half of its 52-week range ›
The price sits at 53% of its 52-week range, between $29.26 and $55.11.
LUV share price
Pick a period: each tab shows how far LUV has moved over it, to the last close.
Today's trading
Where LUV sits inside today's range and its 52-week range.
LUV fundamentals and valuation
Valuation against the sector, and the revenue and earnings behind it.
Valuation and quality checks
5/5P/E below the sector median ›
The trailing P/E of 20.90 is 38.5% below the Industrials median of 34.0.P/S below the sector median ›
The price-to-sales ratio of 0.66 is 83.4% below the sector median of 4.0.Profitable over the last 12 months ›
Net income over the last 12 months was $1.1B on revenue of $31.5B, a net margin of 3.3%.Beat estimates in most recent reports ›
LUV beat the EPS estimate in 6 of its last 8 reports.Pays a dividend ›
The trailing dividend yield is 1.68%, or $0.72 a share a year.
Key statistics
The headline figures for LUV.
As of October 26, 2026, LUV trades at $42.85, with a market value of $20.96B, a P/E ratio of 20.90 and a dividend yield of 1.68%.
What the numbers say
CleaRank Financial AI's reading of LUV's valuation, growth and risks.
LUV is valued at a trailing P/E of 20.90, which is 40.1% below the Industrials median of 34.0. The peer comparison on this page calls that a discount to peers. Measured on sales, the P/S of 0.66 is 83.4% below the sector median of 4.0. The company carries a market value of $21.0B, and its trailing earnings come to $2.05 per share.
Margins stand at a net margin of 3.34% and an operating margin of 4.49%. Shareholders' capital earns 13.94%, below the sector median of 17.8%, measured as return on equity. Debt-to-equity of 0.94 and a trailing dividend yield of 1.68% ($0.72 a share a year) round out the fundamentals.
LUV beat expectations by 13.79% in its October 21, 2026 report, posting EPS of $0.66 where analysts had estimated $0.58. In the first session after the report, the share price climbed 5.39%.
LUV beat the EPS estimate in 6 of its last 8 reports; even so, 3 of those 6 beats were followed by a lower share price the next session. Earlier, the stock rose 18.70% after the January 28, 2026 report, a beat of 1.75%. Looking ahead, analysts expect EPS of $2.75 this fiscal year and $4.15 the year after (growth of 51.1%).
Daily swings are the main risk to plan around. On an average session LUV moves 2.09%, and its beta against the S&P 500 is 1.16. Today's price also sits 22.25% under the 52-week high of $55.11.
LUV against the Industrials sector
How LUV compares with the median Industrials stock CleaRank tracks.
Price to earnings vs sector: LUV trades at a notable discount to sector peers (-39%), which may indicate undervaluation or specific company headwinds.
Return vs XLI: Since May 14, 2025, LUV has gained 36.6% against a gain of 18.8% for XLI.
Performance against XLI
LUV and the Industrials sector fund over the same days.
Revenue and earnings
How much LUV sells, and how much of it becomes profit.
The quarterly bars end with Q2 '26 (the quarter to June 30, 2026); LUV reported again on October 21, 2026, and that quarter is not in our statement data yet. The 12-month figures come from the statistics feed and may include it.
Revenue growth: Revenue grew 2.1% in FY2025 to $28.1B, from $27.5B a year earlier.
Profit margin: The net margin was 1.6% in FY2025, down from 1.7% the year before.
Profitable: LUV earned $441M in FY2025.
Earnings reality check
Did LUV beat what analysts expected, and how did the stock react?
Earnings record: LUV beat the analyst estimate in 6 of the last 8 quarters.
Market reaction: The stock fell in the first session after 3 of those 6 beats, so a beat has not been enough on its own.
| Report | Estimate | Actual | Surprise | First session | 5 sessions |
|---|---|---|---|---|---|
| Oct 21, 2026after close | $0.58 | $0.66 | +13.79% | +5.39% | - |
| Jul 22, 2026after close | $0.52 | $0.94 | +80.77% | -6.19% | -6.88% |
| Apr 22, 2026after close | $0.47 | $0.45 | -4.26% | -4.07% | -5.41% |
| Jan 28, 2026after close | $0.57 | $0.58 | +1.75% | +18.70% | +28.71% |
| Oct 22, 2025after close | -$0.04 | $0.11 | +375.00% | -6.25% | -9.18% |
| Jul 23, 2025after close | $0.51 | $0.43 | -15.69% | -11.16% | -17.98% |
| Apr 23, 2025after close | -$0.19 | -$0.13 | +31.58% | +3.68% | +9.56% |
| Jan 30, 2025after close | $0.46 | $0.56 | +21.74% | -1.76% | -0.54% |
As of October 26, 2026, LUV has beaten the analyst EPS estimate in 6 of its last 8 reported quarters and fell in the first trading session after 3 of those beats; its latest report, on October 21, 2026, came in 13.79% above the estimate and the stock moved +5.39% in the first session.
The first session is the first full trading day on the news: the report day itself for a report before the open, the next day for one after the close. Surprise is actual EPS against the consensus estimate.
LUV AI analysis and technical indicators
CleaRank's score and reasoning, the indicators behind it, and what the price moves with.
Momentum checks
2/2RSI not overbought or oversold ›
The 14-day RSI is 58.8, in neutral territory.RSI above 50 ›
An RSI of 58.8 is above the 50 midpoint, so buyers have had the upper hand over the last 14 days.
CleaRank Financial AI analysis of LUV
The score, the reasoning behind it, and what could move the price next.
LUV is caught between its two moving averages. At $42.85, the price is 1.40% below its 200-day average of $43.46 but 5.47% above its 50-day average of $40.63. The 50-day average is 6.51% below the 200-day average, a gap that suggests the recent recovery has yet to climb back to the longer-run trend. Across the 52-week range, which runs from $29.26 up to $55.11, the stock currently sits at 53% of the way up.
Short-term and long-term readings disagree. Over the past month the price gained 0.40%, but over the past three months it lost 5.58%, while the past year brought a rise of 33.07%.
Earnings beat ›
The October 21, 2026 report beat the EPS estimate by 13.79%, and the share price rose 5.39% in the first session after it.
Source: Earnings report, October 21, 2026Rating reaffirmed ›
UBS kept its Buy rating on October 23, 2026.
Source: Analyst action, UBS, October 23, 2026
- Keep an eye on the two closest levels: the 200-day SMA at $43.46 sits above the price, and the 20-day EMA at $41.02 sits below it.
- Readings above 70 or below 30 would signal stretched momentum in either direction.
- In the first session after the October 21, 2026 report, the share price went up 5.39%. Over the last 8 reports, LUV has beaten estimates 6 times.
The trend is mixed: LUV is above its 50-day average at $40.63 but below its 200-day average at $43.46. A close above the 200-day would turn both signals up, and a close below the 50-day would turn both down. In the meantime the price sits between the 20-day EMA ($41.02) underneath and the 200-day SMA ($43.46) overhead.
Technical indicators
Momentum and trend for LUV, from its daily closes.
As of October 26, 2026, with LUV at $42.85, its 14-day RSI is 58.8 (neutral territory), its 50-day simple moving average is $40.63 and its 200-day is $43.46.
Calculated by CleaRank on daily closes as of October 26, 2026: Wilder's 14-day RSI, 50- and 200-day simple moving averages, MACD line (12, 26). How we calculate these
What LUV moves with
Correlation of daily returns over one year: +1 moves in step, 0 has no link, -1 moves the opposite way.
As of October 26, 2026, LUV's 1-year correlation of daily returns is +0.51 with S&P 500 (SPY), +0.42 with Nasdaq 100 (QQQ), +0.07 with Bitcoin (BTC) and +0.08 with gold (XAU).
LUV price target and analyst forecast
The analysts' target range and how their ratings split.
Analysts checks
1/3Most analysts rate it a buy ›
11 of 25 analysts rate it a buy or strong buy, 11 a hold and 3 a sell.Median target above the price ›
The median 12-month target of $50.00 is 16.7% above the price.More buy ratings than three months ago ›
11 of 25 rate it a buy now, against 11 of 25 three months ago.
LUV Wall Street View
12-month price targets
Ratings
Recent rating actions
| Date | Firm | Action | Rating |
|---|---|---|---|
| Oct 23, 2026 | UBS | Maintains | Buy |
| Oct 23, 2026 | JP Morgan | Maintains | Overweight |
| Oct 16, 2026 | UBS | Maintains | Buy |
| Oct 7, 2026 | Susquehanna | Maintains | Neutral |
| Oct 2, 2026 | TD Cowen | Maintains | Buy |
| Sep 28, 2026 | BMO Capital | Maintains | Outperform |
As of October 26, 2026, 25 Wall Street analysts cover LUV: 11 rate it a buy or strong buy, 11 a hold and 3 a sell or strong sell. Their 12-month price targets range from $34.00 to $65.00. The median LUV price target is $50.00, 16.7% above the price of $42.85.
Source: TwelveData analyst consensus. Targets and ratings belong to the analysts, not to CleaRank.
LUV trade plan: entry, stop loss and targets
Entry, stop and target levels from the moving averages and recent volatility. Educational, not advice.
LUV trade plan
Entry, stop and target levels, sized to your account. Change the bias or the risk and every level updates.
Long entry pick an entry style
Risk management
Profit targets (Based on Conservative Entry)
These levels come from LUV's moving averages and recent volatility, not from a forecast. Educational levels, not financial advice; the full disclaimer is at the foot of the page.
Risk profile
How much LUV tends to move, against the market and on its own.
LUV price history and drawdowns
LUV's worst falls and recoveries, what $10,000 became, and which months have been kind to it.
Track record checks
0/4Average daily move under 2% ›
The price has moved 2.09% on an average day (30-day standard deviation of daily returns).Recovered from its worst fall ›
The worst fall was 63.1%, from December 2017 to November 2023; the price is still 27.3% below that peak.Most 1-year holds ended higher ›
46% of 1-year holding periods in the last 10 years ended with a gain.Beat the S&P 500 since the chart begins ›
$10,000 invested in October 2016 is now worth $12,354, against $42,015 in the S&P 500 (SPY).
LUV Drawdowns & Recovery
As of October 26, 2026, LUV's worst peak-to-trough fall over the last 10 years with dividends reinvested was -63.1% (December 2017 to November 2023); it is still 27.3% below that peak, and 46% of 1-year holding periods ended with a gain.
From weekly closing values with dividends reinvested. A drawdown is the fall from the highest value reached so far to a later low.
Growth of $10,000
What $10,000 put into LUV in October 2016 is worth now, against the same amount in the S&P 500.
Against the market: LUV trailed the S&P 500 over this period: $12,354 against $42,015.
A $10,000 investment in LUV in October 2016 would be worth about $12,354 today with dividends reinvested, compared with about $42,015 for the same investment in the S&P 500 benchmark (also with dividends reinvested).
Seasonal patterns
Which calendar months have been kind to LUV, and which have not.
Strongest month, November: an average of +7.54%, up in 9 of 10 years.
Weakest month, March: an average of -6.33%, up in 3 of 10 years.
This month, October: has averaged -2.64%, up in 5 of 9 years. Past seasonality does not repeat on schedule.
Over the last 10 years, LUV's strongest calendar month has been November (average +7.54%, up in 9 of 10 years) and its weakest March (average -6.33%, up in 3 of 10 years).
Average return for each calendar month over the last 10 years, from weekly closing prices with dividends included.
LUV stock price prediction 2030
Thousands of simulated paths from the price history. A range of outcomes, not a forecast.
Monte Carlo projection
Thousands of simulated paths for $10,000 in LUV, from its own past volatility. The shaded area holds 80% of them.
CleaRank's 4-year Monte Carlo simulation, based on 10 years of price history, projects that a $10,000 investment in LUV today could grow to about $11,527 by 2030 in the base case, with a 90th-percentile outcome near $30,285 and a 10th-percentile outcome around $4,387. The simulation models price only; at today's 1.68% yield, dividends would add to these figures. Projections are statistical simulations, not guarantees.
LUV Stock Price Prediction 2030: Simulated Scenarios
The same simulation in share prices, year by year.
CleaRank's simulation projects a price near $49.39 for LUV by 2030 in the base case, from $42.85 today (1.2x over 4 years). The 10th-percentile path ends near $18.80. These are outcomes of a Monte Carlo simulation run on LUV's historical return distribution, not price targets, and they assume no dividends are reinvested.
| Year | 10th percentile | Base case | 90th percentile | range base today |
|---|---|---|---|---|
| 2027 | $27.39 | $44.40 | $71.97 | |
| 2028 | $23.24 | $46.01 | $91.08 | |
| 2029 | $20.65 | $47.67 | $110 | |
| 2030 | $18.80 | $49.39 | $130 |
Method: a lognormal simulation of LUV's own volatility and capped historical trend, re-run daily; base case is the median path, the outer columns the 10th and 90th percentiles. How the simulation works
LUV insider trading
What the people running the company have bought and sold.
LUV insider trading
Shares the company's directors and officers bought and sold, from their own filings.
Month by month
Open-market purchases above the line, sales below.
Net insider buying: Insiders bought $713K on the open market and sold $307K.
As of October 26, 2026, LUV insiders reported 2 open-market sales worth $307K and 5 open-market purchases worth $713K over the last 18 months; grants and option exercises are not counted.
| Date | Insider | Type | Shares | Value |
|---|---|---|---|---|
| Sep 15, 2026 | Jimmy Ryan Martinez
Officer
|
Grant | 2.7K | - |
| Aug 10, 2026 | Varun Krishna
Director
|
Grant | 3.8K | - |
| Aug 10, 2026 | Jason T Liberty
Director
|
Grant | 3.8K | - |
| Aug 5, 2026 | Tom Doxey
Chief Financial Officer
|
Grant | 6.3K | - |
| Aug 5, 2026 | Justin Jones
Officer
|
Grant | 8.6K | - |
| Aug 5, 2026 | Robert E Jordan
Chief Executive Officer
|
Grant | 28.3K | - |
| Aug 5, 2026 | Anthony Roach
Officer
|
Grant | 9.5K | - |
| Aug 5, 2026 | Andrew M Watterson
Chief Operating Officer
|
Grant | 3.0K | - |
| Aug 5, 2026 | Lauren Tauscher Woods
Chief Technology Officer
|
Grant | 7.6K | - |
| May 7, 2026 | Lisa M Atherton
Director
|
Grant | 4.1K | - |
| May 7, 2026 | Pierre R. Breber
Director
|
Grant | 4.1K | - |
| May 7, 2026 | Douglas H Brooks
Director
|
Grant | 4.1K | - |
| May 7, 2026 | Sarah Feinberg
Director
|
Grant | 4.1K | - |
| May 7, 2026 | Robert L Fornaro
Director
|
Grant | 4.1K | - |
| May 7, 2026 | David J Grissen
Director
|
Grant | 4.1K | - |
| May 7, 2026 | David P Hess
Director
|
Grant | 4.1K | - |
| May 7, 2026 | Christopher P. Reynolds
Director
|
Grant | 4.1K | - |
| May 7, 2026 | Patricia A Watson
Director
|
Grant | 4.1K | - |
| Apr 7, 2026 | Lisa M Atherton
Director
|
Sell | 118 | $4.5K |
| Mar 16, 2026 | Tom Doxey
Chief Financial Officer
|
Grant | 28.2K | - |
| Mar 16, 2026 | Justin Jones
Officer
|
Grant | 23.9K | - |
| Mar 16, 2026 | Robert E Jordan
Chief Executive Officer
|
Grant | 92.9K | - |
| Mar 16, 2026 | Jimmy Ryan Martinez
Officer
|
Grant | 7.3K | - |
| Mar 16, 2026 | Anthony Roach
Officer
|
Grant | 22.1K | - |
| Mar 16, 2026 | Andrew M Watterson
Chief Operating Officer
|
Grant | 35.1K | - |
| Mar 16, 2026 | Lauren Tauscher Woods
Chief Technology Officer
|
Grant | 19.0K | - |
| Dec 5, 2025 | Justin Jones
Officer
|
Sell | 8.1K | $302.1K |
| Dec 2, 2025 | Douglas H Brooks
Director
|
Grant | 3.7K | - |
| Aug 6, 2025 | Gregg A Saretsky
Director
|
Buy | 3.3K | $100.4K |
| Aug 5, 2025 | Sarah Feinberg
Director
|
Buy | 1.5K | $45.0K |
| May 14, 2025 | Lisa M Atherton
Director
|
Grant | 5.4K | - |
| May 14, 2025 | Pierre R. Breber
Director
|
Grant | 5.4K | - |
| May 14, 2025 | Douglas H Brooks
Director
|
Grant | 5.4K | - |
| May 14, 2025 | C David Cush
Director
|
Grant | 5.4K | - |
| May 14, 2025 | Sarah Feinberg
Director
|
Grant | 5.4K | - |
| May 14, 2025 | Robert L Fornaro
Director
|
Grant | 5.4K | - |
| May 14, 2025 | Rakesh Gangwal
Director
|
Grant | 5.4K | - |
| May 14, 2025 | David J Grissen
Director
|
Grant | 5.4K | - |
| May 14, 2025 | David P Hess
Director
|
Grant | 5.4K | - |
| May 14, 2025 | Christopher P. Reynolds
Director
|
Grant | 5.4K | - |
| May 14, 2025 | Gregg A Saretsky
Director
|
Grant | 5.4K | - |
| May 14, 2025 | Patricia A Watson
Director
|
Grant | 5.4K | - |
| Apr 30, 2025 | Gregg A Saretsky
Director
|
Buy | 3.7K | $100.2K |
| Apr 29, 2025 | Pierre R. Breber
Director
|
Buy | 10.0K | $268.9K |
| Apr 28, 2025 | David P Hess
Director
|
Buy | 7.5K | $198.9K |
Source: TwelveData, from SEC Form 4 filings
LUV stock forecast: questions people ask
Answered from the figures on this page, as of October 26, 2026.