Southwest Airlines (NYSE:LUV) Price Target Lowered to $59.00 at Morgan Stanley

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Southwest Airlines (NYSE:LUV) had its price objective lowered by Morgan Stanley from $64.00 to $59.00 in a research note released on Wednesday, AnalystRatings.com reports. The firm currently has an overweight rating on the airline’s stock.

Other research analysts have also issued reports about the company. Imperial Capital reaffirmed an in-line rating and issued a $55.00 price objective (up from $52.00) on shares of Southwest Airlines in a report on Friday, April 26th. Argus lowered Southwest Airlines from a buy rating to a hold rating in a report on Tuesday, August 13th. Zacks Investment Research lowered Southwest Airlines from a hold rating to a sell rating in a report on Thursday, May 16th. Barclays decreased their price objective on Southwest Airlines from $65.00 to $60.00 and set an equal weight rating on the stock in a report on Friday, April 26th. Finally, ValuEngine raised Southwest Airlines from a sell rating to a hold rating in a report on Tuesday, April 16th. Three research analysts have rated the stock with a sell rating, nine have assigned a hold rating and five have given a buy rating to the company. The stock currently has an average rating of Hold and an average target price of $57.15.

Shares of NYSE LUV opened at $49.79 on Wednesday. The company has a debt-to-equity ratio of 0.37, a current ratio of 0.64 and a quick ratio of 0.59. The stock’s fifty day moving average price is $51.63 and its two-hundred day moving average price is $52.41. Southwest Airlines has a one year low of $44.28 and a one year high of $64.02. The firm has a market cap of $25.91 billion, a price-to-earnings ratio of 11.74, a P/E/G ratio of 1.06 and a beta of 1.50.

Southwest Airlines (NYSE:LUV) last issued its quarterly earnings data on Thursday, July 25th. The airline reported $1.37 EPS for the quarter, beating analysts’ consensus estimates of $1.35 by $0.02. Southwest Airlines had a return on equity of 24.12% and a net margin of 10.73%. The firm had revenue of $5.91 billion for the quarter, compared to analyst estimates of $5.94 billion. During the same period in the prior year, the firm posted $1.26 EPS. The company’s revenue for the quarter was up 2.9% on a year-over-year basis. On average, equities analysts anticipate that Southwest Airlines will post 4.29 earnings per share for the current fiscal year.

The business also recently announced a quarterly dividend, which will be paid on Wednesday, September 11th. Stockholders of record on Wednesday, August 21st will be issued a dividend of $0.18 per share. This represents a $0.72 annualized dividend and a dividend yield of 1.45%. The ex-dividend date of this dividend is Tuesday, August 20th. Southwest Airlines’s dividend payout ratio (DPR) is currently 16.98%.

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. Ballentine Partners LLC grew its holdings in shares of Southwest Airlines by 4.3% during the 1st quarter. Ballentine Partners LLC now owns 4,802 shares of the airline’s stock worth $250,000 after purchasing an additional 199 shares in the last quarter. Haverford Financial Services Inc. boosted its stake in Southwest Airlines by 1.2% in the first quarter. Haverford Financial Services Inc. now owns 16,400 shares of the airline’s stock valued at $851,000 after buying an additional 200 shares in the last quarter. Executive Wealth Management LLC boosted its stake in Southwest Airlines by 19.8% in the second quarter. Executive Wealth Management LLC now owns 1,233 shares of the airline’s stock valued at $63,000 after buying an additional 204 shares in the last quarter. Sfmg LLC boosted its stake in Southwest Airlines by 2.3% in the second quarter. Sfmg LLC now owns 9,098 shares of the airline’s stock valued at $484,000 after buying an additional 207 shares in the last quarter. Finally, Raymond James Trust N.A. boosted its stake in Southwest Airlines by 2.1% in the first quarter. Raymond James Trust N.A. now owns 10,238 shares of the airline’s stock valued at $532,000 after buying an additional 209 shares in the last quarter. 84.25% of the stock is currently owned by institutional investors.

Southwest Airlines Company Profile

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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