Zacks: Brokerages Expect Southwest Airlines Co (LUV) Will Post Quarterly Sales of $5.78 Billion

Analysts predict that Southwest Airlines Co (NYSE:LUV) will announce sales of $5.78 billion for the current quarter, according to Zacks. Five analysts have made estimates for Southwest Airlines’ earnings. The lowest sales estimate is $5.75 billion and the highest is $5.83 billion. Southwest Airlines posted sales of $5.74 billion in the same quarter last year, which would indicate a positive year-over-year growth rate of 0.7%. The firm is expected to issue its next quarterly earnings results on Thursday, July 26th.

According to Zacks, analysts expect that Southwest Airlines will report full-year sales of $22.12 billion for the current financial year, with estimates ranging from $22.00 billion to $22.21 billion. For the next financial year, analysts anticipate that the company will post sales of $23.58 billion per share, with estimates ranging from $23.35 billion to $23.93 billion. Zacks’ sales averages are an average based on a survey of research firms that cover Southwest Airlines.

Southwest Airlines (NYSE:LUV) last released its earnings results on Thursday, April 26th. The airline reported $0.75 EPS for the quarter, beating the Thomson Reuters’ consensus estimate of $0.74 by $0.01. The firm had revenue of $4.94 billion during the quarter, compared to analyst estimates of $5 billion. Southwest Airlines had a return on equity of 23.25% and a net margin of 16.95%. The business’s quarterly revenue was up 1.9% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.61 earnings per share.



Several equities research analysts have commented on LUV shares. Vetr lowered Southwest Airlines from a “strong-buy” rating to a “buy” rating and set a $63.03 price target for the company. in a research note on Tuesday, February 27th. Zacks Investment Research lowered Southwest Airlines from a “buy” rating to a “hold” rating in a research note on Tuesday, March 13th. UBS Group dropped their price target on Southwest Airlines from $75.00 to $70.00 and set a “buy” rating for the company in a research note on Thursday, March 22nd. Buckingham Research upgraded Southwest Airlines from a “neutral” rating to a “buy” rating and set a $106.00 price target for the company in a research note on Thursday, March 22nd. They noted that the move was a valuation call. Finally, Morgan Stanley dropped their price target on Southwest Airlines from $74.00 to $72.00 and set an “overweight” rating for the company in a research note on Monday, March 26th. Three investment analysts have rated the stock with a sell rating, four have issued a hold rating and seventeen have given a buy rating to the stock. Southwest Airlines currently has an average rating of “Buy” and a consensus price target of $67.04.

Southwest Airlines stock traded up $0.24 during trading on Friday, hitting $52.18. The company’s stock had a trading volume of 8,637,099 shares, compared to its average volume of 6,598,190. The firm has a market capitalization of $30.11 billion, a P/E ratio of 14.91, a PEG ratio of 0.95 and a beta of 1.14. The company has a current ratio of 0.67, a quick ratio of 0.61 and a debt-to-equity ratio of 0.50. Southwest Airlines has a 1-year low of $49.76 and a 1-year high of $66.99.

The business also recently announced a quarterly dividend, which will be paid on Wednesday, June 27th. Stockholders of record on Wednesday, June 6th will be paid a $0.16 dividend. The ex-dividend date of this dividend is Tuesday, June 5th. This represents a $0.64 dividend on an annualized basis and a dividend yield of 1.23%. This is a positive change from Southwest Airlines’s previous quarterly dividend of $0.13. Southwest Airlines’s dividend payout ratio (DPR) is 18.29%.

Several hedge funds have recently bought and sold shares of LUV. Boston Partners grew its stake in shares of Southwest Airlines by 85.7% in the first quarter. Boston Partners now owns 8,483,493 shares of the airline’s stock valued at $485,934,000 after buying an additional 3,914,892 shares in the last quarter. Rockefeller Capital Management L.P. purchased a new position in Southwest Airlines in the first quarter valued at about $207,785,000. American Century Companies Inc. boosted its holdings in Southwest Airlines by 1,919.4% in the first quarter. American Century Companies Inc. now owns 2,613,827 shares of the airline’s stock valued at $149,720,000 after purchasing an additional 2,484,390 shares during the last quarter. Bank of New York Mellon Corp boosted its holdings in Southwest Airlines by 39.1% in the fourth quarter. Bank of New York Mellon Corp now owns 8,286,126 shares of the airline’s stock valued at $542,326,000 after purchasing an additional 2,328,296 shares during the last quarter. Finally, Anchor Bolt Capital LP boosted its holdings in Southwest Airlines by 221.9% in the fourth quarter. Anchor Bolt Capital LP now owns 1,346,350 shares of the airline’s stock valued at $88,119,000 after purchasing an additional 928,147 shares during the last quarter. Institutional investors and hedge funds own 80.20% of the company’s stock.

Southwest Airlines Company Profile

Southwest Airlines Co operates a passenger airline that provides scheduled air transportation services in the United States and near-international markets. As of December 31, 2017, the company operated a total of 706 Boeing 737 aircraft; and served 100 destinations in 40 states, the District of Columbia, and the Commonwealth of Puerto Rico, as well as 10 near-international countries, including Mexico, Jamaica, the Bahamas, Aruba, the Dominican Republic, Costa Rica, Belize, Cuba, the Cayman Islands, Turks, and Chaos.

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Earnings History and Estimates for Southwest Airlines (NYSE:LUV)

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