LUV Logo

LUV Stock Forecast: Southwest Airlines Co. Price Predictions for 2026

Home โ€บ Stocks โ€บ United States | NYSE | Industrials | Airlines

$40.92

-0.90 (-2.15%)

LUV Stock Forecast 2026-2027

$40.92
Current Price
$20.10B
Market Cap
25 Ratings
Buy 11
Hold 9
Sell 5
Wall St Analyst Ratings

Distance to LUV Price Targets

+46.6%
To High Target of $60.00
+10.0%
To Median Target of $45.00
-40.4%
To Low Target of $24.40

LUV Price Momentum

-1.9%
1 Week Change
+3.8%
1 Month Change
+65.3%
1 Year Change
-1.0%
Year-to-Date Change
-25.7%
From 52W High of $55.11
+71.8%
From 52W Low of $23.82
๐Ÿ“Š TOP ANALYST CALLS

Did LUV Make This Month's Elite Buy List?

We don't follow just any analyst โ€” only the top 3% with a proven track record make our cut. See if Southwest Airlines is one of their latest high-conviction picks.

Join 5,000+ investors getting our data-driven analysis. Unsubscribe anytime.

Latest LUV Stock Price Targets & Analyst Predictions

Based on our analysis of 35 Wall Street analysts, LUV has a neutral consensus with a median price target of $45.00 (ranging from $24.40 to $60.00). The overall analyst rating is Buy (6.8/10). Currently trading at $40.92, the median forecast implies a 10.0% upside. This outlook is supported by 11 Buy, 9 Hold, and 5 Sell ratings.

The most optimistic forecast comes from Jamie Baker at JP Morgan, projecting a 46.6% upside.

Please note that analyst price targets are forward-looking estimates subject to substantial market, economic, and company-specific risks. Past performance does not guarantee future results, and actual stock performance may materially differ from these projections. Investors should conduct their own due diligence and consider their investment objectives and risk tolerance before making investment decisions.

LUV Analyst Ratings

11
Buy
9
Hold
5
Sell

LUV Price Target Range

Low
$24.40
Average
$45.00
High
$60.00
Current: $40.92

Latest LUV Stock Forecasts by Analyst

These are the latest 20 analyst ratings and price targets for LUV.

Date Firm Analyst Rating Change Price Target
Mar 26, 2026 Freedom Broker Sergey Glinyanov Buy Maintains $41.00
Mar 23, 2026 UBS Atul Maheswari Buy Maintains $56.00
Mar 20, 2026 Citigroup John Godyn Neutral Maintains $44.00
Mar 16, 2026 UBS Atul Maheswari Buy Maintains $59.00
Mar 16, 2026 Wells Fargo Christian Wetherbee Equal-Weight Maintains $44.00
Mar 12, 2026 Jefferies Sheila Kahyaoglu Hold Maintains $41.00
Mar 12, 2026 Evercore ISI Group Duane Pfennigwerth In-Line Maintains $43.00
Mar 9, 2026 TD Cowen Tom Fitzgerald Buy Maintains $55.00
Mar 5, 2026 Rothschild & Co James Goodall Sell Maintains $35.00
Feb 27, 2026 TD Cowen Tom Fitzgerald Buy Upgrade $66.00
Feb 17, 2026 UBS Atul Maheswari Buy Upgrade $73.00
Feb 3, 2026 Susquehanna Christopher Stathoulopoulos Neutral Maintains $55.00
Feb 2, 2026 Jefferies Sheila Kahyaoglu Hold Maintains $48.00
Feb 2, 2026 UBS Atul Maheswari Neutral Maintains $51.00
Jan 30, 2026 Freedom Broker Buy Maintains $N/A
Jan 30, 2026 Goldman Sachs Catherine O'Brien Sell Maintains $32.00
Jan 30, 2026 BMO Capital Michael Goldie Outperform Upgrade $57.50
Jan 30, 2026 TD Cowen Tom Fitzgerald Hold Maintains $50.00
Jan 30, 2026 B of A Securities Andrew Didora Underperform Maintains $42.00
Jan 30, 2026 Wells Fargo Christian Wetherbee Equal-Weight Maintains $50.00

Southwest Airlines Co. (LUV) Competitors

The following stocks are similar to Southwest Airlines based on their market capitalization and industry sector. These similar stocks potentially provide investors with alternative investment opportunities within the same market segment.

Southwest Airlines Co. (LUV) Financial Data

Southwest Airlines Co. has a market capitalization of $20.10B with a P/E ratio of 51.8x. The company generates $28.06B in trailing twelve-month revenue with a 1.6% profit margin.

Revenue growth is +7.4% quarter-over-quarter, while maintaining an operating margin of +5.1% and return on equity of +4.8%.

Valuation Metrics

Market Cap $20.10B
Enterprise Value $22.85B
P/E Ratio 51.8x
PEG Ratio 1.2x
Price/Sales 0.7x

Growth & Margins

Revenue Growth (YoY) +7.4%
Gross Margin +20.3%
Operating Margin +5.1%
Net Margin +1.6%
EPS Growth +23.8%

Financial Health

Cash/Price Ratio +16.1%
Current Ratio 0.5x
Debt/Equity 74.9x
ROE +4.8%
ROA +1.0%
๐Ÿ’ก SKIP THE NOISE

97% of Analyst Ratings Go Nowhere

We filter thousands of calls to find the few that actually matter. Get the top analyst buy ratings โ€” tracked and updated every Monday and Thursday.

Join 5,000+ investors getting our data-driven analysis. Unsubscribe anytime.

Southwest Airlines Co. logo

Southwest Airlines Co. (LUV) Business Model

About Southwest Airlines Co.

What They Do

Major low-cost passenger airline serving various markets.

Business Model

The company operates a low-cost airline model, generating revenue primarily through ticket sales for its scheduled flights. They utilize a single-aircraft-type fleet of Boeing 737s, which streamlines operations and reduces costs. Additionally, Southwest Airlines earns income from ancillary services such as EarlyBird Check-In, bag fees, and their Rapid Rewards loyalty program, enhancing profitability beyond just ticket sales.

Additional Information

Founded in 1967 and headquartered in Dallas, Texas, Southwest Airlines emphasizes operational reliability and customer-friendly policies, such as no assigned seating and recent offerings of assigned seating and basic economy fares. They serve both leisure and business travelers, focusing on high-frequency service and maintaining a competitive edge in the airline industry.

Company Information

Sector

Industrials

Industry

Airlines

Employees

77,397

CEO

Mr. Robert E. Jordan

Country

United States

IPO Year

1980

Southwest Airlines Co. (LUV) Latest News & Analysis

Featured Analysis
Powered by Zacks Investment Research

Southwest Airlines to Report Q1 Earnings: What's in the Cards?

LUV's Q1 revenues are likely to have benefited from resilient travel demand and improved pricing power, with rising fuel and labor costs acting as the key challenges.

Apr 17, 2026 By Zacks Equity Research Analyst Blog

Will American Airlines (AAL) Report Negative Earnings Next Week? What You Should Know

American Airlines (AAL) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.

Apr 16, 2026 By Zacks Equity Research Tale of the Tape

Southwest Airlines (LUV) Earnings Expected to Grow: Should You Buy?

Southwest (LUV) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.

Apr 15, 2026 By Zacks Equity Research Tale of the Tape

Latest News

LUV stock latest news image
Quick Summary

Southwest Airlines is transforming its business model to align with legacy carriers, targeting $2B in annual revenue growth by 2026 through new revenue initiatives, while maintaining strong financial health.

Why It Matters

Southwest Airlines' strategic shift to align with legacy carriers and focus on revenue growth enhances its profitability outlook, supports margin expansion, and positions it favorably against rising fuel costs.

Source: Seeking Alpha
Market Sentiment: Positive
LUV stock latest news image
Quick Summary

Southwest Airlines (LUV) is expected to show significant performance insights for Q1 2026, with analysts focusing on key metrics beyond standard revenue and earnings estimates.

Why It Matters

Insight into key metrics beyond estimates can reveal underlying performance trends for Southwest (LUV), impacting investor sentiment and stock valuation for the upcoming quarter.

Source: Zacks Investment Research
Market Sentiment: Neutral
LUV stock latest news image
Quick Summary

Airline stocks rose as oil prices dropped after Iran confirmed the Strait of Hormuz is open to commercial vessels, easing concerns over potential disruptions to global oil supply.

Why It Matters

Eased oil prices and reduced geopolitical tensions support airline profitability, boosting stock performance and investor confidence in the sector.

Source: Proactive Investors
Market Sentiment: Positive
LUV stock latest news image
Quick Summary

The S&P 500 rebounded from a 9% decline in just 11 trading sessions, the quickest recovery since at least 1990, and reached a new record high within 54 sessions.

Why It Matters

The S&P 500's rapid recovery signifies strong market resilience, potentially boosting investor confidence and indicating positive economic momentum, which can influence investment strategies.

Source: Forbes
Market Sentiment: Positive
LUV stock latest news image
Quick Summary

Airlines are raising prices and reducing perks amid high demand, indicating airfare is unlikely to decrease soon, according to Points Guy Founder Brian Kelly.

Why It Matters

Rising airfare and reduced perks indicate strong demand, suggesting airlines can maintain profitability despite cost increases, impacting stock performance and investor sentiment in the sector.

Source: Bloomberg Markets and Finance
Market Sentiment: Negative
LUV stock latest news image
Quick Summary

United Airlines and Royal Caribbean stocks are among the top gainers in the S&P 500, buoyed by investor confidence in Trump's potential to achieve peace.

Why It Matters

United Airlines and Royal Caribbean shares rising indicates investor optimism, potentially signaling increased travel and leisure demand, which can boost revenue and stock performance in these sectors.

Source: Market Watch
Market Sentiment: Positive

Frequently Asked Questions About LUV Stock

What is Southwest Airlines Co.'s (LUV) stock forecast for 2026?

Based on our analysis of 35 Wall Street analysts, Southwest Airlines Co. (LUV) has a median price target of $45.00. The highest price target is $60.00 and the lowest is $24.40.

Is LUV stock a good investment in 2026?

According to current analyst ratings, LUV has 11 Buy ratings, 9 Hold ratings, and 5 Sell ratings. The stock is currently trading at $40.92. Always conduct your own research and consider your investment goals before making investment decisions.

What is the long-term price prediction for LUV stock?

Wall Street analysts predict LUV stock could reach $45.00 in the next 12 months. This represents a 10.0% increase from the current price of $40.92. Please note that this is a projection by Wall Street analysts and not a guarantee.

What is Southwest Airlines Co.'s business model?

The company operates a low-cost airline model, generating revenue primarily through ticket sales for its scheduled flights. They utilize a single-aircraft-type fleet of Boeing 737s, which streamlines operations and reduces costs. Additionally, Southwest Airlines earns income from ancillary services such as EarlyBird Check-In, bag fees, and their Rapid Rewards loyalty program, enhancing profitability beyond just ticket sales.

What is the highest forecasted price for LUV Southwest Airlines Co.?

The highest price target for LUV is $60.00 from Jamie Baker at JP Morgan, which represents a 46.6% increase from the current price of $40.92.

What is the lowest forecasted price for LUV Southwest Airlines Co.?

The lowest price target for LUV is $24.40 from at , which represents a -40.4% decrease from the current price of $40.92.

What is the overall LUV consensus from analysts for Southwest Airlines Co.?

The overall analyst consensus for LUV is neutral. Out of 35 Wall Street analysts, 11 rate it as Buy, 9 as Hold, and 5 as Sell, with a median price target of $45.00.

How accurate are LUV stock price projections?

Stock price projections, including those for Southwest Airlines Co., are based on various factors including financial models, market conditions, and analyst forecasts. While these predictions provide valuable insights, they should be considered alongside your own research and risk tolerance.

Important Disclaimer

The information provided by Ticker Nerd is for educational and informational purposes only. It should not be considered financial or investment advice. Past performance is not indicative of future results. Always conduct your own research and consult with a qualified financial advisor before making any investment decisions. Analyst ratings and price forecasts are sourced from Wall St analysts and other experts. These projections are speculative and do not guarantee future stock performance.

Last updated: April 22, 2026 11:32 AM UTC
Serious About Growing Your Portfolio?

We highlight 2 high-upside stocks each month – no fluff.

Missedย NVDA?
Donโ€™t Miss the Next One.

Join 5,000+ investors using Ticker Nerd’s Market Radar to stay ahead of major market moves, analyst upgrades, and trending opportunities โ€” for free.