Southwest Airlines Co. (LUV) is a Airlines, Airports & Air Services company in the Industrials sector, currently trading at $41.26. It has a SharesGrow Score of 52/100, indicating a mixed investment profile with 2 out of 7 criteria passed.
SharesGrow calculates the intrinsic value of LUV = $62.96 (+52.6% from the current price, the stock appears undervalued). Analyst consensus target is LUV = $51 (+24.3% upside).
Valuation: LUV trades at a trailing Price-to-Earnings (P/E) of 46.8 (S&P 500 average ~25) with a forward Price/Earnings-to-Growth (PEG) of 0.79.
Financials: revenue is $28.1B, +5.7%/yr average growth. Net income is $441M, growing at -6.3%/yr. Net profit margin is 1.6% (thin). Gross margin is 17.4% (-2.6 pp trend).
Balance sheet: total debt is $6.0B against $8.0B equity (Debt-to-Equity (D/E) ratio 0.75, moderate). Current ratio is 0.52 (tight liquidity). Debt-to-assets is 20.6%. Total assets: $29.1B.
Analyst outlook: 19 / 44 analysts rate LUV as buy (43%) — mixed sentiment.
SharesGrow 7-Criteria breakdown: Value 67/100 (Pass), Growth 40/100 (Partial), Past 100/100 (Pass), Health 33/100 (Fail), Moat 47/100 (Partial), Future 46/100 (Partial), Income 30/100 (Fail).
