B of A Securities Reiterates 'Sell' Rating on Southwest Airlines
B of A Securities maintains its sell rating for Southwest Airlines with a $45 price target, a 11.28% downside from the current price.
Key Points
- B of A Securities reiterated its sell rating on Southwest Airlines (NYSE:LUV) with a target price of $45 on July 1, 2026.
- B of A Securities's $45 price target implies 11.28% downside from Southwest Airlines Co.'s ($LUV) current $50.72 share price.
- Southwest Airlines has a market cap of about $25.1 billion and a P/E ratio of 34.28, with shares trading near $51.30 on Wednesday.
- Other analysts have mixed ratings, with Citigroup and Jefferies holding, while Barclays and UBS rate the stock as a buy.
Important disclosure: Podchat is not a registered investment adviser, broker-dealer, or financial planner. This article is for informational and educational purposes only and is not a recommendation to buy, sell, or hold any security. Content may be generated by automated systems using public filings, market data, and third-party sources, and may contain errors or omissions. Investing involves risk, including possible loss of principal. Past performance, insider activity, analyst ratings, price targets, sentiment scores, and hypothetical or backtested results are not guarantees of future performance. Please do your own research and consult a qualified professional before making investment decisions.
On July 1, 2026, B of A Securities reiterated its 'sell' rating on Southwest Airlines Co. (NYSE:LUV), maintaining a price target of $45. This comes as Southwest shares traded around $51.30 on Wednesday.
B of A Securities vs. the S&P 500
Hypothetical, simulated performance of disclosed positions vs. the S&P 500. Not realized profit and not investment advice. Past performance does not indicate future results. Details.
Southwest Airlines Co. Stock Up 28.0%
Shares of NYSE:LUV traded near $51.30 on Wednesday. Southwest Airlines has a market cap of approximately $25.1 billion, with a P/E ratio of 34.28 and a forward P/E of 11.31. The stock's 52-week range is between $28.98 and $55.11, with a 50-day moving average of $42.34 and a 200-day moving average of $39.97. The company's beta is 1.156, indicating a moderate level of volatility compared to the market.
$LUV price target
Past daily closes and this analyst's 12-month price target. Not investment advice.
Recent Earnings
Southwest Airlines reported revenues of about $28.88 billion, reflecting a growth of 12.8%. The company achieved an earnings per share (EPS) of $1.50, with a net margin of 2.83% and a return on equity (ROE) of 10.06%. The next earnings release is scheduled for July 22, 2026.
Dividend
Southwest Airlines offers an annual dividend rate of $0.72, yielding 1.4%. The dividend payout ratio stands at 48%.
Insider Buying and Selling at Southwest Airlines Co.
Several insiders, including Christopher Reynolds, Pierre Breber, Patricia Watson, David Hess, David Grissen, and Lisa Atherton, each purchased 4,108 shares on May 7, 2026. These transactions were not part of a pre-planned trading scheme.
Analysts Set New Price Targets
On July 1, 2026, B of A Securities maintained its 'sell' rating with a $45 price target. Citigroup maintained a 'hold' rating with a $55 target on June 26, while Barclays upheld a 'buy' rating with a $65 target on June 25. UBS also maintained a 'buy' rating, setting a target of $61 on June 23. Overall, the consensus is a 'hold', with an average target price of $47.51 based on 23 analyst opinions.
About Southwest Airlines
Southwest Airlines Co., headquartered in Dallas, Texas, is a major U.S. airline providing scheduled air transportation. The company operates a fleet of Boeing 737 aircraft, serving 117 destinations across the U.S. and internationally. Led by CEO Robert E. Jordan, Southwest employs over 73,000 people and offers a variety of services, including a loyalty program, in-flight entertainment, and various ancillary services.
Bottom Line
B of A Securities' reiteration of a 'sell' rating highlights continued caution among analysts regarding Southwest Airlines' stock. Investors often track these ratings as part of their broader investment considerations. It's important to remember that these ratings reflect past performance and market conditions as of the date of the analyst report.
Get Southwest Airlines Co. alerts
New 13F filings, insider trades, and analyst moves on $LUV, sent to your inbox. Free, and you can unsubscribe anytime.
This instant news alert was generated by automated narrative technology and financial data from Podchat and public regulatory filings. It is for informational purposes only and is not financial advice.