Southwest Airlines (NYSE:LUV) Raised to Buy at Goldman Sachs Group

Goldman Sachs Group upgraded shares of Southwest Airlines (NYSE:LUV) from a sell rating to a buy rating in a research report released on Sunday morning, BenzingaRatingsTable reports. They currently have $47.00 target price on the airline’s stock, up from their prior target price of $35.00.

A number of other brokerages also recently weighed in on LUV. ValuEngine raised shares of Southwest Airlines from a hold rating to a buy rating in a report on Monday, June 1st. Barclays reissued a hold rating on shares of Southwest Airlines in a report on Tuesday, March 24th. Seaport Global Securities assumed coverage on shares of Southwest Airlines in a report on Wednesday, June 17th. They issued a buy rating and a $44.00 price target on the stock. Deutsche Bank cut their price target on shares of Southwest Airlines from $45.00 to $44.00 and set a buy rating on the stock in a report on Wednesday, April 29th. Finally, Raymond James cut their price target on shares of Southwest Airlines from $47.00 to $45.00 and set a strong-buy rating on the stock in a report on Monday, June 22nd. One analyst has rated the stock with a sell rating, eight have issued a hold rating, fifteen have given a buy rating and one has given a strong buy rating to the company. The stock presently has an average rating of Buy and an average target price of $49.62.

LUV opened at $34.18 on Friday. The company has a debt-to-equity ratio of 0.38, a current ratio of 0.69 and a quick ratio of 0.64. The company has a market capitalization of $16.26 billion, a price-to-earnings ratio of 10.05 and a beta of 1.26. The firm’s fifty day moving average price is $32.46 and its two-hundred day moving average price is $42.34. Southwest Airlines has a 1 year low of $22.47 and a 1 year high of $58.83.

Southwest Airlines (NYSE:LUV) last posted its quarterly earnings data on Tuesday, April 28th. The airline reported ($0.15) earnings per share (EPS) for the quarter, topping the Zacks’ consensus estimate of ($0.48) by $0.33. The firm had revenue of $4.23 billion for the quarter, compared to the consensus estimate of $4.55 billion. Southwest Airlines had a net margin of 8.46% and a return on equity of 18.92%. The business’s revenue for the quarter was down 17.8% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.70 EPS. As a group, equities analysts anticipate that Southwest Airlines will post -4.8 EPS for the current year.

In other news, EVP Andrew M. Watterson sold 8,275 shares of the company’s stock in a transaction dated Friday, May 29th. The stock was sold at an average price of $31.85, for a total transaction of $263,558.75. Following the sale, the executive vice president now directly owns 52,911 shares in the company, valued at $1,685,215.35. The sale was disclosed in a document filed with the SEC, which is available at this link. Corporate insiders own 0.28% of the company’s stock.

Several hedge funds have recently bought and sold shares of LUV. Atlas Private Wealth Management bought a new position in shares of Southwest Airlines in the fourth quarter worth approximately $30,000. Bray Capital Advisors bought a new position in shares of Southwest Airlines in the first quarter worth approximately $30,000. Islay Capital Management LLC bought a new position in shares of Southwest Airlines in the fourth quarter worth approximately $32,000. Arkadios Wealth Advisors increased its position in shares of Southwest Airlines by 426.3% in the first quarter. Arkadios Wealth Advisors now owns 900 shares of the airline’s stock worth $32,000 after purchasing an additional 729 shares during the last quarter. Finally, RPG Investment Advisory LLC increased its position in shares of Southwest Airlines by 131.3% in the first quarter. RPG Investment Advisory LLC now owns 925 shares of the airline’s stock worth $33,000 after purchasing an additional 525 shares during the last quarter. Institutional investors own 82.84% of the company’s stock.

About Southwest Airlines

Southwest Airlines Co operates a passenger airline that provides scheduled air transportation services in the United States and near-international markets. As of December 31, 2018, the company operated a total of 750 Boeing 737 aircraft; and served 99 destinations in 40 states, the District of Columbia, and the Commonwealth of Puerto Rico, as well as 10 near-international countries, including Mexico, Jamaica, the Bahamas, Aruba, the Dominican Republic, Costa Rica, Belize, Cuba, the Cayman Islands, and Turks and Caicos.

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Analyst Recommendations for Southwest Airlines (NYSE:LUV)

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