Renaissance Technologies LLC Invests $7.42 Million in Southwest Airlines Co. $LUV

Renaissance Technologies LLC bought a new position in Southwest Airlines Co. (NYSE:LUV) during the 1st quarter, Holdings Channel reports. The fund bought 197,380 shares of the airline’s stock, valued at approximately $7,416,000.

A number of other hedge funds also recently bought and sold shares of the business. Franklin Resources Inc. lifted its holdings in Southwest Airlines by 7.0% in the 4th quarter. Franklin Resources Inc. now owns 40,200,530 shares of the airline’s stock worth $1,661,488,000 after buying an additional 2,626,853 shares during the period. Invesco Ltd. increased its stake in shares of Southwest Airlines by 9.2% during the third quarter. Invesco Ltd. now owns 6,837,197 shares of the airline’s stock valued at $218,175,000 after buying an additional 577,326 shares during the period. Morgan Stanley increased its stake in shares of Southwest Airlines by 4.1% during the fourth quarter. Morgan Stanley now owns 6,228,475 shares of the airline’s stock valued at $257,423,000 after buying an additional 244,891 shares during the period. Dimensional Fund Advisors LP increased its stake in shares of Southwest Airlines by 2.1% during the first quarter. Dimensional Fund Advisors LP now owns 5,763,154 shares of the airline’s stock valued at $216,472,000 after buying an additional 117,833 shares during the period. Finally, Norges Bank bought a new position in shares of Southwest Airlines during the fourth quarter valued at approximately $172,038,000. Hedge funds and other institutional investors own 80.82% of the company’s stock.

Southwest Airlines Trading Up 4.5%

NYSE LUV opened at $46.99 on Tuesday. The firm has a market capitalization of $22.99 billion, a PE ratio of 28.83, a P/E/G ratio of 0.39 and a beta of 1.14. The stock’s 50 day moving average is $46.73 and its 200 day moving average is $44.40. Southwest Airlines Co. has a twelve month low of $28.98 and a twelve month high of $55.11. The company has a quick ratio of 0.42, a current ratio of 0.49 and a debt-to-equity ratio of 0.54.

Southwest Airlines (NYSE:LUV) last posted its quarterly earnings data on Wednesday, July 22nd. The airline reported $0.94 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.52 by $0.42. The business had revenue of $8.72 billion during the quarter, compared to the consensus estimate of $8.58 billion. Southwest Airlines had a return on equity of 14.15% and a net margin of 2.78%.The firm’s quarterly revenue was up 16.4% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.43 earnings per share. Southwest Airlines has set its FY 2026 guidance at 3.250-4.250 EPS and its Q3 2026 guidance at 0.500-0.750 EPS. Research analysts forecast that Southwest Airlines Co. will post 3.49 earnings per share for the current fiscal year.

Southwest Airlines Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, September 24th. Investors of record on Thursday, September 3rd will be paid a $0.18 dividend. This represents a $0.72 annualized dividend and a dividend yield of 1.5%. The ex-dividend date is Thursday, September 3rd. Southwest Airlines’s dividend payout ratio (DPR) is presently 44.17%.

Wall Street Analysts Forecast Growth

LUV has been the subject of a number of research analyst reports. The Goldman Sachs Group raised their price target on Southwest Airlines from $30.00 to $35.00 and gave the stock a “sell” rating in a research note on Thursday, July 2nd. Barclays upped their price objective on shares of Southwest Airlines from $56.00 to $65.00 and gave the stock an “overweight” rating in a report on Thursday, June 25th. Jefferies Financial Group raised their target price on shares of Southwest Airlines from $44.00 to $50.00 and gave the stock a “hold” rating in a research report on Wednesday, July 1st. Evercore lifted their target price on shares of Southwest Airlines from $44.00 to $52.00 in a research note on Thursday, June 25th. Finally, Citigroup reduced their price target on shares of Southwest Airlines from $55.00 to $50.00 and set a “neutral” rating on the stock in a research report on Friday, July 24th. Nine investment analysts have rated the stock with a Buy rating, nine have issued a Hold rating and four have issued a Sell rating to the company’s stock. According to MarketBeat, Southwest Airlines currently has a consensus rating of “Hold” and a consensus target price of $49.55.

Southwest Airlines Company Profile

Southwest Airlines Co is a U.S.-based low-cost carrier that operates a point-to-point domestic and near-international airline network. Headquartered in Dallas, Texas, the company primarily flies Boeing 737 aircraft and offers no-frills, single-class service designed to keep fares competitive. Southwest’s operating model emphasizes high aircraft utilization, quick turnaround times and an open seating policy, allowing customers to board and select seats on a first-come, first-served basis.

Founded in 1967 by Herb Kelleher and Rollin King as Air Southwest Company, Southwest began commercial service in 1971, initially connecting Dallas, Houston and San Antonio.