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Southwest Airlines (LUV) Rises Higher Than Market: Key Facts
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Southwest Airlines (LUV - Free Report) closed the most recent trading day at $29.34, moving +0.93% from the previous trading session. The stock's change was more than the S&P 500's daily gain of 0.39%. Meanwhile, the Dow gained 0.43%, and the Nasdaq, a tech-heavy index, added 0.2%.
Coming into today, shares of the airline had gained 25.52% in the past month. In that same time, the Transportation sector gained 7.8%, while the S&P 500 gained 5.28%.
Investors will be eagerly watching for the performance of Southwest Airlines in its upcoming earnings disclosure. On that day, Southwest Airlines is projected to report earnings of $0.14 per share, which would represent year-over-year growth of 136.84%. In the meantime, our current consensus estimate forecasts the revenue to be $6.75 billion, indicating a 9.3% growth compared to the corresponding quarter of the prior year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $1.39 per share and revenue of $25.99 billion, which would represent changes of +19.83% and +9.12%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for Southwest Airlines. These recent revisions tend to reflect the evolving nature of short-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
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.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 2.36% lower. Southwest Airlines is currently a Zacks Rank #3 (Hold).
In terms of valuation, Southwest Airlines is currently trading at a Forward P/E ratio of 20.92. This signifies a premium in comparison to the average Forward P/E of 7.04 for its industry.
We can additionally observe that LUV currently boasts a PEG ratio of 1.28. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. LUV's industry had an average PEG ratio of 0.3 as of yesterday's close.
The Transportation - Airline industry is part of the Transportation sector. This industry, currently bearing a Zacks Industry Rank of 191, finds itself in the bottom 25% echelons of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Southwest Airlines (LUV) Rises Higher Than Market: Key Facts
Southwest Airlines (LUV - Free Report) closed the most recent trading day at $29.34, moving +0.93% from the previous trading session. The stock's change was more than the S&P 500's daily gain of 0.39%. Meanwhile, the Dow gained 0.43%, and the Nasdaq, a tech-heavy index, added 0.2%.
Coming into today, shares of the airline had gained 25.52% in the past month. In that same time, the Transportation sector gained 7.8%, while the S&P 500 gained 5.28%.
Investors will be eagerly watching for the performance of Southwest Airlines in its upcoming earnings disclosure. On that day, Southwest Airlines is projected to report earnings of $0.14 per share, which would represent year-over-year growth of 136.84%. In the meantime, our current consensus estimate forecasts the revenue to be $6.75 billion, indicating a 9.3% growth compared to the corresponding quarter of the prior year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $1.39 per share and revenue of $25.99 billion, which would represent changes of +19.83% and +9.12%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for Southwest Airlines. These recent revisions tend to reflect the evolving nature of short-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
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.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 2.36% lower. Southwest Airlines is currently a Zacks Rank #3 (Hold).
In terms of valuation, Southwest Airlines is currently trading at a Forward P/E ratio of 20.92. This signifies a premium in comparison to the average Forward P/E of 7.04 for its industry.
We can additionally observe that LUV currently boasts a PEG ratio of 1.28. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. LUV's industry had an average PEG ratio of 0.3 as of yesterday's close.
The Transportation - Airline industry is part of the Transportation sector. This industry, currently bearing a Zacks Industry Rank of 191, finds itself in the bottom 25% echelons of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.