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Southwest Airlines Co. (LUV)
Performance
Return for Risk
Dividends
Drawdowns
Volatility
Financials

Company Info

ISIN
US8447411088
CUSIP
844741108
Industry
Airlines
IPO Date
Jan 2, 1980

Highlights

Market Cap
$19.59B
Enterprise Value
$23.74B
EPS (TTM)
$0.83
PE Ratio
45.13
Total Revenue (TTM)
$28.06B
Gross Profit (TTM)
$4.89B
EBITDA (TTM)
$2.24B
Year Range
$23.82 - $55.11
Target Price
$45.77
ROA (TTM)
1.52%
ROE (TTM)
5.53%

Share Price Chart


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Performance

Performance Chart

The chart shows the growth of an initial investment of $10,000 in Southwest Airlines Co., comparing it to the performance of the S&P 500 index or another benchmark. All prices have been adjusted for splits and dividends.


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S&P 500 Index

Returns By Period

Southwest Airlines Co. (LUV) has returned -8.63% so far this year and 20.40% over the past 12 months. Over the last ten years, LUV has returned -0.40% per year, falling short of the S&P 500 Index benchmark, which averaged 12.29% annually.


Southwest Airlines Co.

1D
-1.65%
1M
-20.92%
YTD
-8.63%
6M
17.38%
1Y
20.40%
3Y*
8.22%
5Y*
-7.92%
10Y*
-0.40%

Benchmark (S&P 500 Index)

1D
0.11%
1M
-3.43%
YTD
-3.84%
6M
-1.98%
1Y
16.08%
3Y*
16.86%
5Y*
10.37%
10Y*
12.29%
*Multi-year figures are annualized to reflect compound growth (CAGR)

Monthly Returns

Based on dividend-adjusted daily data since Jan 2, 1980, LUV's average daily return is +0.07%, while the average monthly return is +1.47%. At this rate, your investment would double in approximately 4.0 years.

Historically, 54% of months were positive and 46% were negative. The best month was Jan 1991 with a return of +35.0%, while the worst month was Jul 1981 at -26.8%. The longest winning streak lasted 17 consecutive months, and the longest losing streak was 7 months.

On a daily basis, LUV closed higher 48% of trading days. The best single day was Jan 29, 2026 with a return of +18.7%, while the worst single day was Sep 17, 2001 at -24.1%.


JanFebMarAprMayJunJulAugSepOctNovDecTotal
202614.98%3.66%-23.40%0.08%-8.63%
2025-8.66%1.14%8.75%-16.74%19.38%-2.26%-4.65%6.37%-2.46%-5.05%14.88%19.25%25.62%
20243.50%14.65%-14.37%-11.13%3.47%7.27%-5.84%7.35%3.08%3.21%5.82%4.44%19.11%
20236.78%-6.12%-2.58%-6.91%-1.39%21.87%-5.66%-7.49%-13.84%-17.88%15.02%13.64%-11.82%
20224.48%-2.14%4.57%2.01%-1.84%-21.24%5.54%-3.73%-15.97%17.87%9.79%-15.64%-21.41%
2021-5.73%32.29%5.04%2.82%-2.10%-13.62%-4.84%-1.46%3.31%-8.07%-6.09%-3.51%-8.09%

Benchmark Metrics

Southwest Airlines Co. has an annualized alpha of 8.50%, beta of 1.00, and R² of 0.23 versus S&P 500 Index. Calculated based on daily prices since January 03, 1980.

  • This stock captured 119.37% of S&P 500 Index gains and 105.32% of its losses — amplifying both gains and losses, but participating more in upside than downside.
  • R² of 0.23 means this stock moves largely independently of S&P 500 Index — capture ratios reflect limited market correlation rather than active downside protection. Consider using a more representative benchmark.

Alpha
8.50%
Beta
1.00
0.23
Upside Capture
119.37%
Downside Capture
105.32%

Return for Risk

Risk / Return Rank

LUV ranks 54 for risk / return — on par with similar stocks. You're getting a typical balance of risk and reward. Not a standout, but not a red flag either — a reasonable choice if other factors align with your goals.


LUV Risk / Return Rank: 5454
Overall Rank
LUV Sharpe Ratio Rank: 5555
Sharpe Ratio Rank
LUV Sortino Ratio Rank: 5353
Sortino Ratio Rank
LUV Omega Ratio Rank: 5353
Omega Ratio Rank
LUV Calmar Ratio Rank: 5454
Calmar Ratio Rank
LUV Martin Ratio Rank: 5555
Martin Ratio Rank
The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

Return / Risk — by metrics

The table below present risk-adjusted performance metrics for Southwest Airlines Co. (LUV) and compare them to a chosen benchmark (S&P 500 Index).


LUVBenchmarkDifference

Sharpe ratio

Return per unit of total volatility

0.42

0.88

-0.46

Sortino ratio

Return per unit of downside risk

0.95

1.37

-0.42

Omega ratio

Gain probability vs. loss probability

1.13

1.21

-0.08

Calmar ratio

Return relative to maximum drawdown

0.64

1.39

-0.75

Martin ratio

Return relative to average drawdown

1.60

6.43

-4.83

Explore LUV risk-adjusted metrics in detail

Dive deeper into individual metrics with historical trends, benchmark comparisons, and performance across different time periods.

Dividends

Dividend History

Southwest Airlines Co. provided a 1.91% dividend yield over the last twelve months, with an annual payout of $0.72 per share.


0.00%0.50%1.00%1.50%2.00%2.50%3.00%3.50%$0.00$0.20$0.40$0.60$0.8020152016201720182019202020212022202320242025
Dividends
Dividend Yield
PeriodTTM20252024202320222021202020192018201720162015
Dividend$0.72$0.72$0.72$0.90$0.00$0.00$0.18$0.70$0.61$0.48$0.38$0.29

Dividend yield

1.91%1.74%2.14%3.12%0.00%0.00%0.39%1.30%1.30%0.73%0.75%0.66%

Monthly Dividends

The table displays the monthly dividend distributions for Southwest Airlines Co.. The dividends shown in the table have been adjusted to account for any splits that may have occurred.


JanFebMarAprMayJunJulAugSepOctNovDecTotal
2026$0.00$0.00$0.18$0.00$0.18
2025$0.00$0.00$0.18$0.00$0.00$0.18$0.00$0.00$0.18$0.00$0.00$0.18$0.72
2024$0.00$0.00$0.18$0.00$0.00$0.18$0.00$0.00$0.18$0.00$0.00$0.18$0.72
2023$0.18$0.00$0.18$0.00$0.00$0.18$0.00$0.00$0.18$0.00$0.00$0.18$0.90
2022$0.00$0.00$0.00$0.00$0.00$0.00$0.00$0.00$0.00$0.00$0.00$0.00$0.00
2021$0.00$0.00$0.00$0.00$0.00$0.00$0.00$0.00$0.00$0.00$0.00$0.00$0.00

Dividend Yield & Payout


Dividend Yield

Southwest Airlines Co. has a dividend yield of 1.91%, which is quite average when compared to the overall market.

Payout Ratio

Southwest Airlines Co. has a payout ratio of 90.48%, which is above the market average. This might signify the company's strong earnings or financial health. However, it could also hint at a more mature business phase with potentially slower growth.

Drawdowns

Drawdowns Chart

The Drawdowns chart displays portfolio losses from any high point along the way. Drawdowns are calculated considering price movements and all distributions paid, if any.


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Worst Drawdowns

The table below displays the maximum drawdowns of the Southwest Airlines Co.. A maximum drawdown is a measure of risk, indicating the largest reduction in portfolio value due to a series of losing trades.

The maximum drawdown for the Southwest Airlines Co. was 78.25%, occurring on Mar 5, 2009. Recovery took 1257 trading sessions.

The current Southwest Airlines Co. drawdown is 37.02%.


Depth

Start

To Bottom

Bottom

To Recover

End

Total

-78.25%Jan 8, 20012050Mar 5, 20091257Mar 4, 20143307
-66.1%Jul 25, 19831109Dec 10, 1987794Jan 31, 19911903
-64.76%Jan 3, 20181467Oct 31, 2023
-59.29%Feb 4, 1994221Dec 20, 1994755Dec 15, 1997976
-49.38%Jun 1, 198183Sep 25, 1981237Sep 2, 1982320

Volatility

Volatility Chart

The chart below shows the rolling one-month volatility.


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Financials

Financial Performance

The chart below illustrates the trends in the financial health of Southwest Airlines Co. over time, highlighting three key metrics: Total Revenue, Earnings Before Interest and Taxes (EBIT), and Net Income.


Annual
Quarterly

0.0

Valuation

The Valuation section provides an overview of how Southwest Airlines Co. is priced in the market compared to other companies in the Airlines industry. It includes key financial ratios that help investors assess whether the stock is undervalued or overvalued.


PE Ratio

The chart displays the Price-to-Earnings (P/E) ratio for LUV, comparing it with other companies in the Airlines industry. Currently, LUV has a P/E ratio of 45.1. This P/E ratio is significantly higher than those of industry peers. This could indicate that the stock is overvalued or that investors expect strong future growth.

PS Ratio

This chart shows the Price-to-Sales (P/S) ratio for LUV relative to other companies in the Airlines industry. Currently, LUV has a P/S ratio of 0.7. This P/S ratio is high relative to other companies in the industry. It could mean the stock is overvalued, or that investors expect strong future growth and profitability.

PB Ratio

The chart illustrates the Price-to-Book (P/B) ratio for LUV in comparison with other companies in the Airlines industry. Currently, LUV has a P/B value of 2.5. This P/B ratio is higher than most companies in the industry. It may suggest the stock is overvalued or that investors expect the company to generate high returns on its assets.

Income Statement



TTM
Revenue

Total Revenue

Cost Of Revenue

Gross Profit

Operating Expenses

Selling, General & Admin Expenses

R&D Expenses

Depreciation And Amortization

Total Operating Expenses

Income

Income Before Tax

Operating Income

EBITDA

EBIT

Earnings From Continuing Operations

Net Income

Income Tax Expense

Other Non-Operating Income (Expenses)

Extraordinary Items

Discontinued Operations

Effect Of Accounting Charges

Non Recurring

Minority Interest

Other Items

Interest Income

Interest Expense

Net Interest Income

Values in undefined except per share items