Wells Fargo has initiated coverage on Southwest Airlines Co (LUV) with an Equal-Weight rating, marking its first assessment of the airline's investment potential. This rating reflects the firm's analysis of the company's business, industry dynamics, and growth prospects.
Headquartered in Dallas, Texas, Southwest Airlines operates a fleet of over 803 Boeing 737 aircraft, serving 117 destinations across the U.S., Puerto Rico, and ten near-international countries. The airline offers various fare products, including Wanna Get Away and Business Select, along with ancillary services such as EarlyBird Check-In and Upgraded Boarding. The Rapid Rewards loyalty program allows members to earn points for every dollar spent on base fares.
As of December 17, 2025, the stock is priced at $41.48. With a market capitalization of $16.5 billion, Southwest Airlines has a P/E ratio of 43.56 and an EPS of 0.65. The company is expected to report earnings on July 22, 2026, with estimates of $1.09 per share and $8.1 billion in revenue.
Analyst ratings can provide valuable insights, but they are based on assumptions that may not always hold true. Investors should consider a range of factors, including company fundamentals and industry trends, when making decisions. Analyst opinions can change as new information becomes available, highlighting the importance of a comprehensive approach to investment analysis.