Southwest Airlines Co. (NYSE:LUV) to Post Q2 2025 Earnings of $0.65 Per Share, Zacks Research Forecasts

Southwest Airlines Co. (NYSE:LUV) – Research analysts at Zacks Research boosted their Q2 2025 EPS estimates for Southwest Airlines in a note issued to investors on Tuesday, October 15th. Zacks Research analyst S. Goswami now forecasts that the airline will post earnings per share of $0.65 for the quarter, up from their previous forecast of $0.59. The consensus estimate for Southwest Airlines’ current full-year earnings is $0.54 per share. Zacks Research also issued estimates for Southwest Airlines’ Q2 2026 earnings at $0.73 EPS.

Southwest Airlines (NYSE:LUV) last issued its earnings results on Thursday, July 25th. The airline reported $0.58 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.51 by $0.07. Southwest Airlines had a net margin of 0.41% and a return on equity of 5.92%. The firm had revenue of $7.40 billion during the quarter, compared to analysts’ expectations of $7.32 billion. During the same quarter last year, the company posted $1.09 earnings per share. The firm’s revenue was up 5.2% compared to the same quarter last year.

Other research analysts have also recently issued research reports about the stock. TD Cowen raised their target price on shares of Southwest Airlines from $19.00 to $25.00 and gave the stock a “hold” rating in a report on Monday, September 30th. Sanford C. Bernstein dropped their price target on shares of Southwest Airlines from $26.00 to $24.00 and set a “market perform” rating on the stock in a research report on Monday, August 5th. Jefferies Financial Group upgraded shares of Southwest Airlines from an “underperform” rating to a “hold” rating and raised their price target for the company from $24.00 to $32.00 in a research report on Wednesday, October 9th. BNP Paribas upgraded shares of Southwest Airlines to a “strong sell” rating in a research report on Thursday, September 19th. Finally, Evercore ISI upgraded shares of Southwest Airlines from an “in-line” rating to an “outperform” rating and raised their price target for the company from $30.00 to $35.00 in a research report on Tuesday, September 3rd. Three 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 company. According to MarketBeat.com, Southwest Airlines presently has a consensus rating of “Hold” and a consensus target price of $30.33.

Southwest Airlines Trading Up 1.4 %

Shares of Southwest Airlines stock opened at $30.93 on Wednesday. The company has a debt-to-equity ratio of 0.48, a current ratio of 0.90 and a quick ratio of 0.85. The firm has a fifty day moving average price of $28.76 and a 200 day moving average price of $28.03. Southwest Airlines has a 1 year low of $21.91 and a 1 year high of $35.18. The stock has a market cap of $18.51 billion, a PE ratio of 49.10, a price-to-earnings-growth ratio of 12.06 and a beta of 1.17.

Southwest Airlines Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, September 25th. Stockholders of record on Wednesday, September 4th were given a $0.18 dividend. The ex-dividend date of this dividend was Wednesday, September 4th. This represents a $0.72 annualized dividend and a dividend yield of 2.33%. Southwest Airlines’s dividend payout ratio (DPR) is 114.29%.

Insider Transactions at Southwest Airlines

In other Southwest Airlines news, Director Rakesh Gangwal purchased 643,788 shares of the firm’s stock in a transaction dated Tuesday, October 1st. The shares were purchased at an average cost of $29.98 per share, with a total value of $19,300,764.24. Following the completion of the purchase, the director now owns 3,606,311 shares in the company, valued at approximately $108,117,203.78. This represents a 0.00 % increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available through this link. Insiders own 0.33% of the company’s stock.

Hedge Funds Weigh In On Southwest Airlines

Hedge funds and other institutional investors have recently modified their holdings of the business. nVerses Capital LLC purchased a new position in Southwest Airlines during the third quarter worth about $1,079,000. Opal Wealth Advisors LLC raised its stake in Southwest Airlines by 99.4% during the third quarter. Opal Wealth Advisors LLC now owns 8,271 shares of the airline’s stock worth $245,000 after purchasing an additional 4,124 shares during the period. Paladin Wealth LLC purchased a new position in Southwest Airlines during the third quarter worth about $457,000. CVA Family Office LLC raised its stake in Southwest Airlines by 60.6% during the third quarter. CVA Family Office LLC now owns 1,661 shares of the airline’s stock worth $49,000 after purchasing an additional 627 shares during the period. Finally, Exchange Traded Concepts LLC purchased a new position in Southwest Airlines during the third quarter worth about $313,000. 80.82% of the stock is owned by hedge funds and other institutional investors.

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.