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Southwest Airlines (LUV) Competitors

$25.79
+0.28 (+1.10%)
(As of 11:40 AM ET)

LUV vs. DAL, UAL, ALK, CPA, SKYW, JBLU, ALGT, HA, RYAAY, and AAL

Should you be buying Southwest Airlines stock or one of its competitors? The main competitors of Southwest Airlines include Delta Air Lines (DAL), United Airlines (UAL), Alaska Air Group (ALK), Copa (CPA), SkyWest (SKYW), JetBlue Airways (JBLU), Allegiant Travel (ALGT), Hawaiian (HA), Ryanair (RYAAY), and American Airlines Group (AAL). These companies are all part of the "air transportation, scheduled" industry.

Southwest Airlines vs.

Southwest Airlines (NYSE:LUV) and Delta Air Lines (NYSE:DAL) are both large-cap transportation companies, but which is the superior investment? We will compare the two companies based on the strength of their dividends, valuation, institutional ownership, risk, profitability, earnings, media sentiment, community ranking and analyst recommendations.

In the previous week, Delta Air Lines had 10 more articles in the media than Southwest Airlines. MarketBeat recorded 26 mentions for Delta Air Lines and 16 mentions for Southwest Airlines. Delta Air Lines' average media sentiment score of 0.87 beat Southwest Airlines' score of 0.50 indicating that Delta Air Lines is being referred to more favorably in the news media.

Company Very Positive Positive Neutral Negative Very Negative Overall Sentiment
Southwest Airlines
7 Very Positive mention(s)
2 Positive mention(s)
4 Neutral mention(s)
2 Negative mention(s)
0 Very Negative mention(s)
Positive
Delta Air Lines
17 Very Positive mention(s)
2 Positive mention(s)
4 Neutral mention(s)
0 Negative mention(s)
0 Very Negative mention(s)
Positive

Southwest Airlines currently has a consensus price target of $30.10, indicating a potential upside of 17.99%. Delta Air Lines has a consensus price target of $59.85, indicating a potential upside of 19.95%. Given Delta Air Lines' stronger consensus rating and higher probable upside, analysts plainly believe Delta Air Lines is more favorable than Southwest Airlines.

Company Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Southwest Airlines
4 Sell rating(s)
10 Hold rating(s)
4 Buy rating(s)
0 Strong Buy rating(s)
2.00
Delta Air Lines
0 Sell rating(s)
0 Hold rating(s)
11 Buy rating(s)
1 Strong Buy rating(s)
3.08

Southwest Airlines pays an annual dividend of $0.72 per share and has a dividend yield of 2.8%. Delta Air Lines pays an annual dividend of $0.40 per share and has a dividend yield of 0.8%. Southwest Airlines pays out 114.3% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Delta Air Lines pays out 5.1% of its earnings in the form of a dividend.

Delta Air Lines has higher revenue and earnings than Southwest Airlines. Delta Air Lines is trading at a lower price-to-earnings ratio than Southwest Airlines, indicating that it is currently the more affordable of the two stocks.

CompanyGross RevenuePrice/Sales RatioNet IncomeEarnings Per SharePrice/Earnings Ratio
Southwest Airlines$26.09B0.59$465M$0.6340.49
Delta Air Lines$58.05B0.55$4.61B$7.786.41

Delta Air Lines received 95 more outperform votes than Southwest Airlines when rated by MarketBeat users. Likewise, 76.40% of users gave Delta Air Lines an outperform vote while only 69.98% of users gave Southwest Airlines an outperform vote.

CompanyUnderperformOutperform
Southwest AirlinesOutperform Votes
1135
69.98%
Underperform Votes
487
30.02%
Delta Air LinesOutperform Votes
1230
76.40%
Underperform Votes
380
23.60%

Southwest Airlines has a beta of 1.16, meaning that its stock price is 16% more volatile than the S&P 500. Comparatively, Delta Air Lines has a beta of 1.38, meaning that its stock price is 38% more volatile than the S&P 500.

80.8% of Southwest Airlines shares are owned by institutional investors. Comparatively, 69.9% of Delta Air Lines shares are owned by institutional investors. 0.3% of Southwest Airlines shares are owned by company insiders. Comparatively, 1.0% of Delta Air Lines shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Delta Air Lines has a net margin of 8.48% compared to Southwest Airlines' net margin of 1.59%. Delta Air Lines' return on equity of 41.89% beat Southwest Airlines' return on equity.

Company Net Margins Return on Equity Return on Assets
Southwest Airlines1.59% 8.91% 2.60%
Delta Air Lines 8.48%41.89%5.61%

Summary

Delta Air Lines beats Southwest Airlines on 17 of the 21 factors compared between the two stocks.

New MarketBeat Followers Over Time

This chart shows the number of new MarketBeat users adding LUV and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
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Media Sentiment Over Time

This chart shows the average media sentiment of NYSE and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
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LUV vs. The Competition

MetricSouthwest AirlinesAir transportation, scheduled IndustryTransportation SectorNYSE Exchange
Market Cap$15.27B$18.87B$9.58B$17.46B
Dividend Yield2.68%2.95%3.62%3.53%
P/E Ratio40.499.7421.7225.52
Price / Sales0.591.6222.0010.11
Price / Cash6.3832.6216.1119.29
Price / Book1.501.732.095.82
Net Income$465M$672.79M$655.63M$975.72M
7 Day Performance-4.28%-2.93%0.34%-0.51%
1 Month Performance-1.66%-4.47%4.82%2.67%
1 Year Performance-14.38%-7.53%18.41%22.10%

Southwest Airlines Competitors List

CompanyMarketRankShare PriceAnalysts' Price Target1Y Price PerformanceMarket CapRevenueP/E RatioEmployee CountIndicator(s)
DAL
Delta Air Lines
4.8634 of 5 stars
$50.28
-3.0%
$59.25
+17.8%
+39.0%$32.45B$58.05B6.46100,000Analyst Forecast
Options Volume
UAL
United Airlines
4.8289 of 5 stars
$50.64
-2.1%
$67.25
+32.8%
+9.7%$16.65B$53.72B6.2610,300Analyst Upgrade
ALK
Alaska Air Group
4.8208 of 5 stars
$41.74
-2.2%
$56.60
+35.6%
-9.8%$5.30B$10.46B22.3226,043Gap Down
CPA
Copa
4.8233 of 5 stars
$100.02
-0.6%
$154.43
+54.4%
-8.4%$3.94B$3.46B7.207,625Short Interest ↑
SKYW
SkyWest
3.5632 of 5 stars
$72.25
-3.7%
$62.25
-13.8%
+138.5%$2.91B$2.94B26.0813,121
JBLU
JetBlue Airways
2.8102 of 5 stars
$5.37
-1.5%
$5.68
+5.7%
-24.2%$1.83B$9.62B-2.1723,388Analyst Forecast
News Coverage
ALGT
Allegiant Travel
4.587 of 5 stars
$48.97
+1.8%
$86.00
+75.6%
-51.6%$892.72M$2.51B15.505,643Short Interest ↑
HA
Hawaiian
0.1374 of 5 stars
$13.67
-0.9%
$11.33
-17.1%
+71.2%$708.79M$2.72B-2.367,362Analyst Revision
RYAAY
Ryanair
4.0487 of 5 stars
$122.44
-0.2%
$158.50
+29.5%
+12.7%$27.92B$14.59B13.4322,261
AAL
American Airlines Group
3.9844 of 5 stars
$13.44
-2.9%
$17.62
+31.1%
-19.0%$8.82B$52.79B22.40132,100Analyst Forecast
Options Volume
Analyst Revision
News Coverage
Gap Down

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This page (NYSE:LUV) was last updated on 5/30/2024 by MarketBeat.com Staff

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