Inceptionr LLC Has $313,000 Stock Holdings in Southwest Airlines Co. $LUV

Key Points

• Inceptionr LLC cut its Southwest Airlines stake by 75.8% in the first quarter, selling 26,082 shares and retaining 8,336 shares valued at approximately $313,000. Institutional investors and hedge funds collectively own 80.82% of LUV.
• Southwest reported quarterly earnings of $0.94 per share, exceeding the $0.52 analyst consensus, while revenue rose 16.4% year over year to $8.72 billion. The company also maintains a quarterly dividend of $0.18 per share, equivalent to a 1.6% yield.
• Analyst sentiment is mixed, with nine Buy, nine Hold, and four Sell ratings; the consensus rating is Hold with an average price target of $49.55. LUV opened at $45.36, compared with its 52-week range of $28.98 to $55.11.

Inceptionr LLC decreased its position in Southwest Airlines Co. (NYSE:LUV - Free Report) by 75.8% during the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 8,336 shares of the airline's stock after selling 26,082 shares during the quarter. Inceptionr LLC's holdings in Southwest Airlines were worth $313,000 as of its most recent SEC filing.

Other institutional investors and hedge funds have also modified their holdings of the company. Gibbs Wealth Management raised its holdings in Southwest Airlines by 86.7% in the 1st quarter. Gibbs Wealth Management now owns 29,879 shares of the airline's stock worth $1,123,000 after acquiring an additional 13,874 shares during the period. Sei Investments Co. boosted its holdings in Southwest Airlines by 105.3% during the first quarter. Sei Investments Co. now owns 592,515 shares of the airline's stock valued at $22,261,000 after acquiring an additional 303,922 shares during the period. Cetera Investment Advisers boosted its holdings in Southwest Airlines by 2.0% during the first quarter. Cetera Investment Advisers now owns 175,125 shares of the airline's stock valued at $6,579,000 after acquiring an additional 3,366 shares during the period. First Trust Advisors LP boosted its holdings in Southwest Airlines by 29.0% during the first quarter. First Trust Advisors LP now owns 651,106 shares of the airline's stock valued at $24,462,000 after acquiring an additional 146,559 shares during the period. Finally, Bellwether Advisors LLC acquired a new stake in shares of Southwest Airlines in the first quarter valued at about $1,355,000. 80.82% of the stock is currently owned by institutional investors and hedge funds.

Southwest Airlines Stock Up 0.6%

Shares of LUV opened at $45.36 on Tuesday. The company has a debt-to-equity ratio of 0.54, a quick ratio of 0.42 and a current ratio of 0.49. The company has a 50-day simple moving average of $46.16 and a 200-day simple moving average of $44.32. Southwest Airlines Co. has a 52 week low of $28.98 and a 52 week high of $55.11. The firm has a market capitalization of $22.17 billion, a P/E ratio of 27.83, a P/E/G ratio of 0.38 and a beta of 1.12.

Southwest Airlines (NYSE:LUV - Get Free Report) last released its earnings results on Wednesday, July 22nd. The airline reported $0.94 earnings per share for the quarter, topping analysts' consensus estimates of $0.52 by $0.42. Southwest Airlines had a return on equity of 14.15% and a net margin of 2.78%.The business had revenue of $8.72 billion for the quarter, compared to the consensus estimate of $8.58 billion. During the same period last year, the business earned $0.43 earnings per share. The firm's revenue for the quarter was up 16.4% compared to the same quarter last year. 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. On average, equities research analysts expect that Southwest Airlines Co. will post 3.59 earnings per share for the current year.

Southwest Airlines Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, July 2nd. Stockholders of record on Thursday, June 11th were issued a dividend of $0.18 per share. This represents a $0.72 annualized dividend and a dividend yield of 1.6%. The ex-dividend date of this dividend was Thursday, June 11th. Southwest Airlines's dividend payout ratio (DPR) is presently 44.17%.

Analyst Upgrades and Downgrades

A number of research firms have recently commented on LUV. Morgan Stanley lifted their price objective on Southwest Airlines from $60.00 to $65.00 and gave the stock an "overweight" rating in a research note on Monday, July 6th. BNP Paribas Exane raised their target price on Southwest Airlines from $24.00 to $33.00 and gave the company an "underperform" rating in a report on Tuesday, April 21st. UBS Group lifted their price target on Southwest Airlines from $53.00 to $61.00 and gave the stock a "buy" rating in a research report on Tuesday, June 23rd. Barclays lifted their price target on Southwest Airlines from $56.00 to $65.00 and gave the stock an "overweight" rating in a research report on Thursday, June 25th. Finally, BMO Capital Markets increased their price objective on Southwest Airlines from $58.50 to $60.00 and gave the company an "outperform" rating in a research report on Friday. Nine equities research analysts have rated the stock with a Buy rating, nine have issued a Hold rating and four have given a Sell rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of "Hold" and an average price target of $49.55.

Southwest Airlines 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.

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