Southwest Airlines Co. $LUV Shares Sold by Icon Advisers Inc. Co.

Key Points

• Icon Advisers cut its Southwest stake by 70.9% in Q3, selling 54,500 shares and leaving 22,400 shares valued at about $715,000, while institutional investors now own roughly 80.8% of LUV.
• Shares opened down about 5.5% at $41.47 as investors grappled with rising fuel costs, policy backlash and execution concerns; Southwest reported $0.58 EPS (vs. $0.56 est.) but missed revenue, set FY2026 guidance near $4.00 EPS and declared a $0.18 quarterly dividend (≈1.7% yield).

Icon Advisers Inc. Co. decreased its position in Southwest Airlines Co. (NYSE:LUV - Free Report) by 70.9% in the third quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 22,400 shares of the airline's stock after selling 54,500 shares during the period. Icon Advisers Inc. Co.'s holdings in Southwest Airlines were worth $715,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in LUV. Elevation Point Wealth Partners LLC purchased a new position in shares of Southwest Airlines in the second quarter worth about $25,000. Corsicana & Co. acquired a new stake in shares of Southwest Airlines during the third quarter worth about $27,000. Quent Capital LLC purchased a new stake in Southwest Airlines in the third quarter valued at approximately $27,000. Hantz Financial Services Inc. increased its holdings in Southwest Airlines by 81.4% in the 2nd quarter. Hantz Financial Services Inc. now owns 1,056 shares of the airline's stock worth $34,000 after buying an additional 474 shares during the period. Finally, Abich Financial Wealth Management LLC acquired a new position in Southwest Airlines in the 3rd quarter worth approximately $35,000. Institutional investors and hedge funds own 80.82% of the company's stock.

Southwest Airlines Stock Down 5.5%

Shares of LUV stock opened at $41.47 on Friday. Southwest Airlines Co. has a twelve month low of $23.82 and a twelve month high of $55.11. The stock has a market cap of $20.38 billion, a P/E ratio of 49.37, a P/E/G ratio of 0.31 and a beta of 1.10. The stock has a 50 day moving average of $46.70 and a 200 day moving average of $38.34. The company has a current ratio of 0.52, a quick ratio of 0.45 and a debt-to-equity ratio of 0.57.

Southwest Airlines (NYSE:LUV - Get Free Report) last released its quarterly earnings data on Wednesday, January 28th. The airline reported $0.58 EPS for the quarter, topping the consensus estimate of $0.56 by $0.02. The business had revenue of $7.44 billion for the quarter, compared to analyst estimates of $7.51 billion. Southwest Airlines had a return on equity of 6.18% and a net margin of 1.57%.The business's quarterly revenue was up 7.4% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.56 EPS. Southwest Airlines has set its FY 2026 guidance at 4.000- EPS and its Q1 2026 guidance at 0.450- EPS. As a group, sell-side analysts expect that Southwest Airlines Co. will post 1.55 EPS for the current year.

Southwest Airlines Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, April 2nd. Investors of record on Thursday, March 12th will be paid a $0.18 dividend. This represents a $0.72 annualized dividend and a dividend yield of 1.7%. The ex-dividend date is Thursday, March 12th. Southwest Airlines's payout ratio is currently 85.71%.

Southwest Airlines News Roundup

Here are the key news stories impacting Southwest Airlines this week:

• Positive Sentiment: Analyst support and upside targets — Several firms still carry Overweight/Outperform views and the recent compilation of analyst targets shows a median near $49, implying potential upside from current levels. Quiver Quant: Analyst Ratings & Targets
• Neutral Sentiment: Longer-term value debate — Some commentary argues the pullback could create a buying opportunity for investors focused on the airline’s multi-year recovery narrative, but this is contested and depends on fuel and execution risks. Yahoo Finance: Is LUV Still Attractive?
• Negative Sentiment: Geopolitical escalation raises fuel-cost and demand fears — Coverage links the U.S.–Israel–Iran tensions to a surge in crude/jet-fuel expectations and a sector-wide selloff, pressuring Southwest because fuel is a major cost and demand for discretionary travel can wobble in crises. Benzinga: Why LUV Is Falling
• Negative Sentiment: Broader oil-driven sector pain — Market notes and price-action analysis tie LUV’s drop to a crude-driven rout across carriers; higher fuel translates to margin risk and triggers rotation away from fuel-sensitive travel names. Quiver Quant: Oil Pressure on Airlines
• Negative Sentiment: Execution and sentiment concerns — Analysis highlights a “double whammy” of Southwest’s structural/logistics challenges (model overhaul) plus renewed fuel inflation that could squeeze margins and investor confidence. Forbes: How Low Can LUV Go?
• Negative Sentiment: Reputational/retail risk from policy changes — Coverage of new customer policies has sparked negative consumer reaction, which can weigh on demand and brand premium that historically differentiated Southwest. TheStreet: Policy Backlash
• Negative Sentiment: Mixed institutional activity & price-target shifts — Large institutional trimming and at least one price-target adjustment (Rothschild raised its target but kept a sell stance) add to near-term uncertainty about sentiment among big holders. Benzinga: Price Target Note

Wall Street Analyst Weigh In

LUV has been the subject of a number of recent research reports. Susquehanna raised their price target on shares of Southwest Airlines from $45.00 to $55.00 and gave the stock a "neutral" rating in a research report on Tuesday, February 3rd. TD Cowen raised shares of Southwest Airlines from a "hold" rating to a "buy" rating and upped their price objective for the company from $50.00 to $66.00 in a report on Friday, February 27th. Evercore increased their price objective on shares of Southwest Airlines from $40.00 to $45.00 and gave the stock an "in-line" rating in a research note on Thursday, January 29th. Sanford C. Bernstein raised their target price on shares of Southwest Airlines from $31.00 to $34.00 and gave the stock a "market perform" rating in a report on Thursday, November 20th. Finally, Wells Fargo & Company boosted their target price on shares of Southwest Airlines from $45.00 to $50.00 and gave the company an "equal weight" rating in a research report on Friday, January 30th. One investment analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating, eight have issued a Hold rating and four have issued a Sell rating to the company's stock. Based on data from MarketBeat.com, Southwest Airlines currently has an average rating of "Hold" and a consensus price target of $48.29.

About Southwest Airlines

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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