Fiscal Year: January - December
Southwest Airlines Co. (LUV), listed on the NYSE, has a market capitalization of $18.46B. As of Apr 05, 2026, the stock is trading at $37.60 per share@else an unavailable price , offering investors a clear view of its current market value. Southwest Airlines Co. is a prominent player in the industry sector, attracting both institutional and retail investors due to its performance and potential.
With a P/E ratio of 47.47, investors can assess the stock's valuation in comparison to its earnings. A P/E ratio is a crucial indicator for value investors, showing whether the stock is over or undervalued relative to its current earnings. Southwest Airlines Co. also offers a dividend yield of 1.91%, making it an attractive option for income-focused investors who seek regular dividends.
Our Discounted Cash Flow (DCF) analysis reveals that Southwest Airlines Co. (LUV) may be undervalued compared to its intrinsic worth. However, to see the exact DCF fair value, please Login or Upgrade for access.
The proprietary SS Score for Southwest Airlines Co. is a unique metric that analyzes the company's financial health and growth potential. The score takes into account critical factors such as revenue growth, net income, free cash flow (FCF) compound annual growth rate (CAGR), the trend of shares outstanding, and the debt-to-FCF ratio. This helps investors to make a more informed decision, as an undervalued stock might still have poor financial fundamentals.
To view the detailed SS Score for Southwest Airlines Co., Login or Upgrade for access.
The Price to Free Cash Flow (P/FCF) ratio for Southwest Airlines Co. is N/A , offering insights into how much investors are paying for the company's free cash flow. A lower P/FCF ratio typically suggests that the stock is undervalued, while a higher ratio may indicate overvaluation.
In summary, Southwest Airlines Co. (LUV) has shown consistent financial performance, as illustrated by the financial charts above, which track its revenue growth, net income, free cash flow, and shares outstanding over the past several years. These metrics provide investors with key insights into the company's past and projected future performance. Investors should use the SS Score alongside the DCF Fair Value to make better-informed decisions about whether to buy or hold the stock.
*This analysis is for informational purposes only and does not constitute investment advice. Always read the company's 10-K filings and do your own research before making any investment decisions.
Whether Southwest Airlines Co. (LUV) is a good stock to buy depends on various factors, including its financial health, market conditions, and your investment strategy. Our analysis indicates that the stock may be undervalued compared to its intrinsic value. However, it is important to assess the SS Score and review the company's fundamentals before making any investment decisions.
The fair value of Southwest Airlines Co. (LUV) is determined through our Discounted Cash Flow (DCF) analysis. This value represents the intrinsic worth of the stock based on its expected future cash flows. To view the specific fair value, consider subscribing to our service for complete access.
The SS Score is a proprietary financial quality metric that assesses factors such as revenue growth, net income, free cash flow growth, and debt levels. It helps investors evaluate the overall financial health of Southwest Airlines Co.. To access the full SS Score, consider upgrading your subscription.
Southwest Airlines Co. is a significant player in the industry sector, with a market capitalization of $18.46B and a competitive P/E ratio of 47.47. Investors should compare these metrics with industry peers to gauge whether Southwest Airlines Co. is outperforming or underperforming within its sector.
United Airlines amd JetBlue have raised baggage fees. Expect higher travel costs to reverberate through the industry.
Yahoo Finance's Jared Blikre and Ines Ferré chat with Yahoo Finance Executive Editor Brian Sozzi about plunging airline stocks in the face of rising fuel costs as the Iran war continues to rumble on. ...
Airline stocks were falling amid renewed worries about rising fuel costs, and how that could eventually hurt travel demand.
@morningstar's Nicolas Owens sees travel only seeing significant pullbacks if jet fuel prices stay high for a long period of time. However, Nicolas sees volatility gripping the industry long-term if a...
Southwest Airlines stock price has plunged harder than its American peers during the ongoing Iran war as a key strategy decision made last year backfired. LUV has dropped by 25.3% in the last 30 days,...
When United Airlines CEO Scott Kirby wrote to employees about the oil price surge earlier this month, the most telling line was not about fuel bills or flight cuts. It was about opportunity.
Global airlines have begun to hike fares and cut capacity to cope with the sudden surge in the oil price, but the industry's ability to remain profitable may depend on whether consumers pull back on ...
Southwest Airlines picked the wrong time to give up its fuel hedging program.
Travel-related stocks such as airlines and cruise companies rallied Monday after President Donald Trump postponed his deadline for more strikes in Iran, saying the two countries had held “very good an...
Carriers such as Delta Air Lines, Inc (NYSE:DAL), United Airlines Holdings, Inc. (NASDAQ:UAL) and Southwest Airlines Co. (NYSE:LUV) are already responding by raising fares, adding surcharges and cutti...
Sam Vadas explains why airline stocks like Delta (DAL) and American Airlines (AAL) took off on today's session and previews Wednesday's interest rate decision from the Fed. ======== Schwab Network ===...
Southwest Airlines Co. (LUV) Presents at JPMorgan Industrials Conference 2026 Transcript
Southwest Airlines will no longer serve Chicago O'Hare and Washington Dulles starting June 4. It will still fly from Chicago Midway, Baltimore/Washington International, and Reagan National.
The chief executive officers of major U.S. airlines urged Congress on Sunday to move quickly to end a 29-day partial government shutdown that has forced 50,000 airport security officers to work with...
Oil's surge back to $100 per barrel is smashing the post‑pandemic recovery trade in airline stocks, sending major U.S. carriers' shares down through key technical support levels as the Iran war repric...
The Jets airline ETF has broken below some key chart levels, which signals there's now more to the selloff than just rising oil prices.
DALLAS, March 10, 2026 /PRNewswire/ -- Southwest Airlines Co. (NYSE: LUV) has been invited to speak at the J.P. Morgan Industrials Conference.
A surge in jet fuel prices, driven by the ongoing U.S.-Israeli war on Iran, has upended the global aviation industry, prompting airlines to raise fares and revise financial outlooks.
West Texas Intermediate crude has jumped into the $100-per-barrel range after supply disruptions in the Strait of Hormuz and escalating conflict in the Middle East, marking a roughly 60% move over the...
United (UAL), American (AAL), and Southwest Airlines (LUV) among related travel stocks all experienced price turbulence as tensions flare between the U.S. and Iran. David Nelson explains how "demand d...
Airline stocks were set to continue their recent sharp selloff amid fears that travel demand will drop as the escalating Middle East conflict sends crude oil prices above $100 a barrel.
Surging oil prices are upending the stock market. But so far, one sector seems to be getting hit harder than others—the travel industry.
Southwest Airlines Co (NYSE: LUV) is trading lower Friday afternoon as investors react to a sharp escalation in the U.S.–Israel–Iran conflict, fueling worries about jet-fuel costs and demand for discr...
Below estimates were sourced from SimplyWallSt and are intended for educational purposes only as a baseline for the analysis.
| Year | FCF Estimate | % | # Analysts |
|---|---|---|---|
| 2025 | -503.93M | -68.35% | Est @-68.3% |
| 2026 | 584.14M | -215.92% | Analyst x5 |
| 2027 | 1,116.59M | 91.15% | Analyst x7 |
| 2028 | 1,593.61M | 42.72% | Analyst x3 |
| 2029 | 3,002.00M | 88.38% | Analyst x1 |
| 2030 | 3,502.00M | 16.66% | Analyst x1 |
| 2031 | 3,789.08M | 8.20% | Est @8.2% |
| 2032 | 4,035.46M | 6.50% | Est @6.5% |
| 2033 | 4,250.35M | 5.33% | Est @5.3% |
| 2034 | 4,428.57M | 4.19% | Est @4.2% |
Below are the FCF estimates with the discount factor and the calculated present value with the terminal value that led the results above.
| Year | FCF | Discount Factor | PV of Future FCF |
|---|---|---|---|
| 2023A | -358.00M | 1.00 | -358.00M |
| 2024A | -1.59B | 1.00 | -1.59B |
| 2025E | -503.93M | 1.09 | -463.70M |
| 2026E | 584.14M | 1.18 | 494.61M |
| 2027E | 1.12B | 1.28 | 869.98M |
| 2028E | 1.59B | 1.39 | 1.14B |
| 2029E | 3.00B | 1.52 | 1.98B |
| 2030E | 3.50B | 1.65 | 2.13B |
| 2031E | 3.79B | 1.79 | 2.12B |
| 2032E | 4.04B | 1.95 | 2.07B |
| 2033E | 4.25B | 2.11 | 2.01B |
| 2034E | 4.43B | 2.30 | 1.93B |
| Terminal | 73.51B | 2.30 | 31.99B |
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