LUV vs. UAL

Last updated Apr 1, 2026

Compare and contrast key facts about Southwest Airlines Co. (LUV) and United Airlines Holdings, Inc. (UAL).

Performance

LUV vs. UAL - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Southwest Airlines Co. (LUV) and United Airlines Holdings, Inc. (UAL). The values are adjusted to include any dividend payments, if applicable.

LUV vs. UAL - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
LUV Southwest Airlines Co.	-8.70%	25.62%	19.11%	-11.82%	-21.41%	-8.09%	-13.32%	17.72%	-28.21%	32.40%
UAL United Airlines Holdings, Inc.	-17.66%	15.16%	135.34%	9.44%	-13.89%	1.23%	-50.90%	5.21%	24.23%	-7.52%

Fundamentals

Market Cap LUV : $19.57B UAL : $30.11B
EPS LUV : $0.83 UAL : $10.25
PE Ratio LUV : 45.10 UAL : 8.98
PS Ratio LUV : 0.71 UAL : 0.51
PB Ratio LUV : 2.45 UAL : 1.97
Total Revenue (TTM) LUV : $28.06B UAL : $59.07B
Gross Profit (TTM) LUV : $4.89B UAL : $37.88B
EBITDA (TTM) LUV : $2.24B UAL : $7.54B

Returns By Period

In the year-to-date period, LUV achieves a -8.70% return, which is significantly higher than UAL's -17.66% return. Over the past 10 years, LUV has underperformed UAL with an annualized return of -0.50%, while UAL has yielded a comparatively higher 4.96% annualized return.

LUV

• 1D: 3.53%
• 1M: -23.40%
• YTD: -8.70%
• 6M: 18.76%
• 1Y: 14.14%
• 3Y*: 7.24%
• 5Y*: -7.93%
• 10Y*: -0.50%

UAL

• 1D: 8.05%
• 1M: -13.39%
• YTD: -17.66%
• 6M: -4.59%
• 1Y: 33.34%
• 3Y*: 27.66%
• 5Y*: 9.75%
• 10Y*: 4.96%

*Multi-year figures are annualized to reflect compound growth (CAGR)

Return for Risk

LUV vs. UAL — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

LUV

LUV Risk / Return Rank: 52
LUV Sharpe Ratio Rank: 53
LUV Sortino Ratio Rank: 50
LUV Omega Ratio Rank: 51
LUV Calmar Ratio Rank: 53
LUV Martin Ratio Rank: 54

UAL

UAL Risk / Return Rank: 65
UAL Sharpe Ratio Rank: 63
UAL Sortino Ratio Rank: 63
UAL Omega Ratio Rank: 61
UAL Calmar Ratio Rank: 66
UAL Martin Ratio Rank: 70

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.

LUV vs. UAL - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Southwest Airlines Co. (LUV) and United Airlines Holdings, Inc. (UAL). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	LUV	UAL	Difference
Sharpe ratio Return per unit of total volatility	0.29	0.58	-0.29
Sortino ratio Return per unit of downside risk	0.77	1.25	-0.48
Omega ratio Gain probability vs. loss probability	1.10	1.16	-0.05
Calmar ratio Return relative to maximum drawdown	0.42	1.13	-0.71
Martin ratio Return relative to average drawdown	1.03	3.29	-2.26
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

LUV vs. UAL - Sharpe Ratio Comparison

The current LUV Sharpe Ratio is 0.29, which is lower than the UAL Sharpe Ratio of 0.58. The chart below compares the historical Sharpe Ratios of LUV and UAL, offering insights into how both investments have performed under varying market conditions. These values are calculated using daily returns over the previous 12 months.

Sharpe Ratios by Period

	LUV	UAL	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.29	0.58	-0.29
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.21	0.20	-0.42
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	-0.01	0.10	-0.11
Sharpe Ratio (All Time) Calculated using the full available price history	0.33	0.09	+0.25

Correlation

The correlation between LUV and UAL is 0.67, which is considered to be moderate. This suggests that the two assets have some degree of positive relationship in their price movements. Moderate correlation can be acceptable for portfolio diversification, offering a balance between risk and potential returns.

Dividends

LUV vs. UAL - Dividend Comparison

LUV's dividend yield for the trailing twelve months is around 1.92%, while UAL has not paid dividends to shareholders.

	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
LUV Southwest Airlines Co.	1.92%	1.74%	2.14%	3.12%	0.00%	0.00%	0.39%	1.30%	1.30%	0.73%	0.75%	0.66%
UAL United Airlines Holdings, Inc.	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Drawdowns

LUV vs. UAL - Drawdown Comparison

The maximum LUV drawdown since its inception was -78.25%, smaller than the maximum UAL drawdown of -93.50%. Use the drawdown chart below to compare losses from any high point for LUV and UAL.

Drawdown Indicators

	LUV	UAL	Difference
Max Drawdown Largest peak-to-trough decline	-78.25%	-93.50%	+15.25%
Max Drawdown (1Y) Largest decline over 1 year	-33.49%	-27.50%	-5.99%
Max Drawdown (5Y) Largest decline over 5 years	-64.57%	-49.19%	-15.38%
Max Drawdown (10Y) Largest decline over 10 years	-64.76%	-79.40%	+14.64%
Current Drawdown Current decline from peak	-37.07%	-21.66%	-15.41%
Average Drawdown Average peak-to-trough decline	-29.12%	-37.44%	+8.32%
Ulcer Index Depth and duration of drawdowns from previous peaks	13.71%	9.46%	+4.25%

Volatility

LUV vs. UAL - Volatility Comparison

Southwest Airlines Co. (LUV) and United Airlines Holdings, Inc. (UAL) have volatilities of 15.68% and 16.13%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	LUV	UAL	Difference
Volatility (1M) Calculated over the trailing 1-month period	15.68%	16.13%	-0.45%
Volatility (6M) Calculated over the trailing 6-month period	33.42%	34.59%	-1.17%
Volatility (1Y) Calculated over the trailing 1-year period	48.84%	57.42%	-8.58%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	37.63%	48.00%	-10.37%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	37.30%	51.49%	-14.19%

Financials

LUV vs. UAL - Profitability Comparison

The chart below illustrates the profitability comparison between Southwest Airlines Co. and United Airlines Holdings, Inc. over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

LUV - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Apr 2026, Southwest Airlines Co. reported a gross profit of 1.51B and revenue of 7.44B. Therefore, the gross margin over that period was 20.3%.

UAL - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Apr 2026, United Airlines Holdings, Inc. reported a gross profit of 9.88B and revenue of 15.40B. Therefore, the gross margin over that period was 64.1%.

LUV - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Apr 2026, Southwest Airlines Co. reported an operating income of 391.00M and revenue of 7.44B, resulting in an operating margin of 5.3%.

UAL - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Apr 2026, United Airlines Holdings, Inc. reported an operating income of 1.39B and revenue of 15.40B, resulting in an operating margin of 9.0%.

LUV - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Apr 2026, Southwest Airlines Co. reported a net income of 323.00M and revenue of 7.44B, resulting in a net margin of 4.3%.

UAL - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Apr 2026, United Airlines Holdings, Inc. reported a net income of 1.04B and revenue of 15.40B, resulting in a net margin of 6.8%.