Ceredex Value Advisors LLC Takes Position in Southwest Airlines Co. $LUV

Ceredex Value Advisors LLC acquired a new position in Southwest Airlines Co. (NYSE:LUV) in the 2nd quarter, Holdings Channel reports. The institutional investor acquired 382,300 shares of the airline’s stock, valued at approximately $19,658,000.

Other large investors have also recently bought and sold shares of the company. SHP Wealth Management acquired a new position in shares of Southwest Airlines during the fourth quarter valued at $25,000. Entrust Financial LLC acquired a new stake in Southwest Airlines in the fourth quarter worth about $26,000. Los Angeles Capital Management LLC acquired a new stake in Southwest Airlines in the fourth quarter worth about $26,000. Scarborough Advisors LLC bought a new stake in Southwest Airlines during the 1st quarter worth about $28,000. Finally, DV Equities LLC bought a new stake in Southwest Airlines during the 4th quarter worth about $30,000. Institutional investors and hedge funds own 80.82% of the company’s stock.

Southwest Airlines Stock Performance

Shares of LUV opened at $39.87 on Friday. The firm has a market cap of $19.50 billion, a P/E ratio of 24.46, a PEG ratio of 0.37 and a beta of 1.14. Southwest Airlines Co. has a twelve month low of $29.26 and a twelve month high of $55.11. The company has a debt-to-equity ratio of 0.54, a quick ratio of 0.42 and a current ratio of 0.49. The firm’s 50 day moving average price is $47.38 and its two-hundred day moving average price is $44.56.

Southwest Airlines (NYSE:LUV) last posted its quarterly earnings data on Wednesday, July 22nd. The airline reported $0.94 EPS for the quarter, beating the consensus estimate of $0.52 by $0.42. The business had revenue of $8.72 billion for the quarter, compared to analysts’ expectations of $8.58 billion. Southwest Airlines had a net margin of 2.78% and a return on equity of 14.15%. The firm’s revenue was up 16.4% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.43 EPS. Southwest Airlines has set its FY 2026 guidance at 3.250-4.250 EPS and its Q3 2026 guidance at 0.500-0.750 EPS. On average, analysts forecast that Southwest Airlines Co. will post 3.41 EPS for the current fiscal year.

Southwest Airlines Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Thursday, September 24th. Stockholders of record on Thursday, September 3rd will be issued a $0.18 dividend. This represents a $0.72 dividend on an annualized basis and a dividend yield of 1.8%. The ex-dividend date is Thursday, September 3rd. Southwest Airlines’s payout ratio is 44.17%.

Analyst Ratings Changes

A number of research analysts have issued reports on LUV shares. BMO Capital Markets raised their target price on shares of Southwest Airlines from $58.50 to $60.00 and gave the company an “outperform” rating in a research note on Friday, July 24th. Citigroup dropped their price target on shares of Southwest Airlines from $55.00 to $50.00 and set a “neutral” rating for the company in a research note on Friday, July 24th. Wells Fargo & Company increased their price objective on shares of Southwest Airlines from $44.00 to $50.00 and gave the company an “equal weight” rating in a report on Tuesday, June 30th. Barclays increased their price objective on shares of Southwest Airlines from $56.00 to $65.00 and gave the company an “overweight” rating in a report on Thursday, June 25th. Finally, JPMorgan Chase & Co. lowered their target price on shares of Southwest Airlines from $60.00 to $59.00 and set an “overweight” rating for the company in a report on Friday, July 24th. Nine investment analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and four have given a Sell rating to the company’s stock. According to data from MarketBeat, Southwest Airlines currently has an average rating of “Hold” and an average target price of $49.55.

Southwest Airlines Company Profile

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.