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Southwest Airlines (LUV) Stock Moves -1.34%: What You Should Know

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Southwest Airlines (LUV - Free Report) closed at $60.94 in the latest trading session, marking a -1.34% move from the prior day. This change was narrower than the S&P 500's daily loss of 1.48%. At the same time, the Dow lost 0.46%, and the tech-heavy Nasdaq lost 3.02%.

Coming into today, shares of the airline had gained 17.79% in the past month. In that same time, the Transportation sector gained 6.08%, while the S&P 500 gained 1.23%.

Investors will be hoping for strength from LUV as it approaches its next earnings release. In that report, analysts expect LUV to post earnings of -$1.92 per share. This would mark a year-over-year decline of 1180%. Meanwhile, our latest consensus estimate is calling for revenue of $1.98 billion, down 53.15% from the prior-year quarter.

LUV's full-year Zacks Consensus Estimates are calling for earnings of -$1.85 per share and revenue of $13.99 billion. These results would represent year-over-year changes of +70.26% and +54.65%, respectively.

Investors should also note any recent changes to analyst estimates for LUV. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 4.01% lower. LUV is currently a Zacks Rank #4 (Sell).

The Transportation - Airline industry is part of the Transportation sector. This group has a Zacks Industry Rank of 228, putting it in the bottom 11% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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