FrançaisAre analysts right about Southwest Airlines (LUV)?
📈 See the interactive version (live chart) →
Historical analyst accuracy
For Southwest Airlines, we replayed every analyst price target of the past 12 months and measured the real outcome: 36% were profitable, average return +6% (207 calls). At 3 months: +2% average return (44% profitable). The higher the %, the more often analysts were right on this stock.
Most reliable analysts on this stock (past track record)
Their past track record on this stock (targets replayed against real prices) — not a forecast of what will happen.
| Analyst / broker | Calls i | % profitable i | Avg return i |
|---|---|---|---|
| Morgan Stanley | 31 | 16% | -15% |
| Raymond James | 27 | 37% | +7% |
| Deutsche Bank | 19 | 53% | +25% |
| Barclays | 16 | 31% | +6% |
| JP Morgan | 15 | 20% | -36% |
Valuation
Is Southwest Airlines overvalued, and is it a good time to buy Southwest Airlines right now? If you're wondering, here's a recap to make up your own mind: Southwest Airlines's valuation vs its sector median, to weigh alongside analyst reliability (above) and past performance. Educational information, not buy advice.
The P/E (price ÷ earnings per share) = how many years of earnings you pay for the stock. The higher it is, the more growth the market expects — but the pricier the stock, so more vulnerable if growth disappoints. The forward P/E uses next year's expected earnings: lower than the current P/E = rising expected earnings. We compare it to the sector median to see whether the stock is expensive relative to its peers.
| Metric | Southwest Airlines | Sector median (Industrials) |
|---|---|---|
| P/E | 25.5 | 29.2 |
| Forward P/E | 8.2 | 19.5 |
| Net margin | 3% | 11% |
👉 Southwest Airlines is valued in line with its sector (25.5 vs 29.2).
📖 P/E, PEG, margin…: see the glossary
💵 Dividend : Southwest Airlines pays about $0.72/share/yr → 1.43% yield. what is this?
Frequently asked questions
Is Southwest Airlines a buy right now?
The analyst consensus on Southwest Airlines (LUV) is "Hold" (25 bullish, 9 bearish calls over 12 months). This is not advice: historically, 36% of their targets on this stock turned out profitable over 1 year.
What is Southwest Airlines's price target?
The median 12-month price target is $50.00 (+26% vs $39.76), ranging from $35.00 to $65.00 (17 analysts).
Are analysts accurate on Southwest Airlines?
Over 1 year, 36% of analyst targets on Southwest Airlines were profitable, for an average return of +6% (across 207 timestamped calls). This is JPI Invest's accuracy metric.
What is the Southwest Airlines stock forecast?
Analysts target a median of $50.00 within 12 months, i.e. +26% vs the current price. The most bullish targets $65.00, the most cautious $35.00.
What is the Southwest Airlines stock forecast for 2026 or long term (2030)?
Note: analyst targets are 12-month (median $50.00, +26%), NOT 2030. No reliable 5-10 year price forecast exists (« 2030 prediction » models are speculative). The most useful inputs: the 12-month median above, these analysts' historical accuracy (36%), and the stock's past trajectory.
Is Southwest Airlines overvalued?
Its P/E is 25.5, forward P/E 8.2. A forward P/E lower than the current P/E means earnings are expected to grow.
📊 See the full interactive analysis of Southwest Airlines →
What is JPI Invest?
JPI Invest aggregates analyst recommendations across the entire S&P 500 (plus the S&P MidCap 400), replays them against real prices and measures who predicts best — on results, not reputation. Instead of taking a price target at face value, you see each analyst's track record on each stock.
- 🏆 Analyst leaderboard by real reliability (beating their sector, not just riding the rally)
- 🎯 What to buy: 3 backtested methods over 6 years, from cautious to aggressive
- 💬 AI assistant: ask anything about any stock, with the numbers
- 📊 Portfolio tracking + 🔔 price alerts by email
⚠️ Educational information, not investment advice. Analyst price targets are 12-month and can be wrong. Data via Yahoo Finance, recomputed by JPI Invest.