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Southwest Airlines Co. (LUV)

- NYSE
  • Mon, Jan. 5, 3:18 PM
    | 15 Comments
  • Thu, Jan. 1, 2:19 AM
     
    | 17 Comments
  • Dec. 31, 2014, 10:07 AM
    • Airline stocks are in rally mode again off of momentum driven by the latest slide in oil prices.
    • Southwest Airlines (LUV +2.2%) is poised to end the year as the top performing stock of the S&P 500 Index with a +125% rip.
    • Though jet fuel hedging strategies vary widely throughout the sector, a prolonged period of lower oil prices will allow all carriers to realize a benefit.
    • Gainers: Republic Airways (NASDAQ:RJET) +4.4%, United Continental (NYSE:UAL) +2.4%, Virgin America (NASDAQ:VA) +1.9%, JetBlue (NASDAQ:JBLU) +1.8%, Alaska Air Group (NYSE:ALK) +1.7%, Allegiant Travel (NASDAQ:ALGT) +1.6%, Delta Air Lines (NYSE:DAL) +1.6%, SkyWest (NASDAQ:SKYW) +1.4%.
    • Previous: Hedging strategies by airline
    | 2 Comments
  • Dec. 30, 2014, 12:53 PM
    • AirTran Airways flew its last flight earlier this week as Southwest Airlines (LUV +1%) completed the integration of the airline purchased in 2011.
    • The carrier has used old AirTran routes as a launching pad for Southwest to grow into international territories.
    | Comment!
  • Dec. 23, 2014, 10:06 AM
    • The type of hedging strategies used by airliners will play a big part in profitability in the sector after the sharp drop in jet fuel prices.
    • Delta Airlines (NYSE:DAL) estimates it keeps about 65% of the drop in fuel costs, but will owe $800M to counterparties (the other side of the hedge) if oil is 20% lower on December 31, 2015 from where it stood on October 1, 2014. By Delta's estimation, a penny drop in oil prices is a net $40M to the good side.
    • Southwest Airlines (NYSE:LUV) forecasts it will reap $0.80 for every $1 drop in oil prices, but disclosed a $615M liability to creditors if crude oil prices stay below 25% from the level of September 30.
    • American Airlines Group (NASDAQ:AAL) will realize the full impact from the drop in fuel costs on its bottom line due to the decision by the company not to hedge at all.
    • Other airliners could also have some hedging exposure, although details are light on the strategies employed in the sector.
    • What to watch: Q1 reports and conference calls in the sector could be key in filling in some of the blanks.
    • Related stocks: UAL, JBLU, ALK, HA, SAVE, ALGT, RJET, VA.
    | 23 Comments
  • Dec. 23, 2014, 8:26 AM
    • U.S. airliners as a group showed a 2.6% gain to 16.40 (cents) in fares earned per revenue passenger mile in November, according to data from Airlines for America.
    • A 4.0% Y/Y increase for the metric on domestic routes offset a 1.4% decline in international flights.
    • The YTD mark is up 2.3% to 16.53.
    • Related stocks: ALK, AAL, DAL, JBLU, LUV, UAL.
    | Comment!
  • Dec. 15, 2014, 3:14 PM
    | 35 Comments
  • Dec. 10, 2014, 9:49 AM
    • Airline stocks rip a fresh set of gains after oil prices weaken again and the IATA issues a rosy forecast on 2015 profit for the sector.
    • There has also been a wave of analyst upgrades on airliners which has boosted sentiment.
    • Leading gainers: Southwest Airlines (NYSE:LUV) +3.1%, United Continental (NYSE:UAL) +3.1%, Spirit Airlines (NASDAQ:SAVE) +2.7%, American Airlines Group (NASDAQ:AAL) +2.6%, China Eastern Air (NYSE:CEA) +2.4%, Republic Airways (NASDAQ:RJET) +2.4%, Virgin America (NASDAQ:VA) +2.0%, China Southern Airlines (NYSE:ZNH) +1.9%.
    | 7 Comments
  • Dec. 10, 2014, 8:36 AM
    | 3 Comments
  • Dec. 8, 2014, 9:07 AM
    • Southwest Airlines (NYSE:LUV) reports revenue passenger miles rose 6% to 8.6B in November.
    • The company's load factor improved 150 bps to 80.1% with capacity up 4%.
    • Southwest forecasts PRASM will be up 1%-2% for Q4.
    • LUV +0.6% premarket with a Goldman Sachs upgrade also factoring in.
    | 3 Comments
  • Dec. 8, 2014, 7:51 AM
    | 3 Comments
  • Dec. 8, 2014, 7:32 AM
    • Airline stocks are poised for gains as oil prices slip further.
    • So far, airfares have held steady despite the lower fuel expenses for companies light on hedges.
    • For a closer look at the jet fuel market, Platts has the breakdown.
    • U.S. carriers: LUV, UAL, DAL, AAL, JBLU, ALK, HA, SAVE, ALGT, RJET, VA.
    | 7 Comments
  • Dec. 4, 2014, 10:02 AM
    • Another big day for airline stocks is setting up with oil prices losing their footing again.
    • A positive note from JPMorgan on sector capacity trends is also helping to boost sentiment.
    • Gainers: Delta Air Lines (NYSE:DAL) +2.8%, American Airlines Group (NASDAQ:AAL) +3.2%, Hawaiian Holdings (NASDAQ:HA) +6.5%, United Continental (NYSE:UAL) +5.4%, Alaska Air Group (NYSE:ALK) +2.9%, JetBlue (NASDAQ:JBLU) +2.9%, Southwest Airlines (NYSE:LUV) +2.2%, Spirit Airlines (NASDAQ:SAVE) +1.7%, Republix Airways (NASDAQ:RJET) +0.8%, Virgin America (NASDAQ:VA) +1.6%.
    | 5 Comments
  • Nov. 29, 2014, 10:29 AM
    • Analysts with Gasbuddy.com predict some gas stations in the U.S. will offer $2 per gallon gas by Christmas.
    • The last time the average price of gas in the U.S. was below $2 was in March of 2009.
    • Forecasts from economists vary widely on the overall gas benefit to consumers for Q4. The high end from the group is an outlook of $300 per household, while the low end is closer to $100.
    • Most analysts see an immediate lift for retail chains with large distribution channels. Wal-Mart (NYSE:WMT), Target (NYSE:TGT), Costco (NASDAQ:COST), Dollar General (NYSE:DG), Family Dollar (NYSE:FDO), Dollar Tree (NASDAQ:DLTR), Big Lots (NYSE:BIG), and Five Below (NASDAQ:FIVE) come to mind.
    • Airline stocks (JBLU, DAL, UAL, LUV, AAL, RJET, ALK, HA, ALGT, VA) have already ripped strong gains off the OPEC news, although some see even more long-term upside as forward fuel hedges get reworked.
    • A sustained period of low gas prices should lift restaurant stocks  (CAKE, CBRL, CMG, DNKN, DPZ, DRI, EAT, JACK, MCD, PNRA, RRGB, RT, SBUX, SONC, WEN, BWLD, THI, BDL, NATHLUB, BKW, CHUY, BLMN, PZZA, TXRH, DENN, KKD, BBRG, DFRG, BOBE, RUTH, IRG, DIN) say some analysts.
    • The gaming sector is (CZR, PNK, BYD, ISLE, CNTY, MCRI, MGM, NYNY) also an off-the-radar pick to bounce.
    | 146 Comments
  • Nov. 28, 2014, 8:13 AM
    • The OPEC decision to hold oil production levels steady has put a charge into airline stocks in early trading off the prospect for sustained lower jet fuel costs.
    • Delta Air Lines (NYSE:DAL) is up 4.1% premarket and United Continental (NYSE:UAL) has already rallied 3.5%. The rest of the group is expected to fall suit.
    • Airline stocks on watch: JBLU, AAL, LUV, ALGT, SAVE, HA, ALK, SKYW, VA.
    | 12 Comments
  • Nov. 20, 2014, 1:29 PM
    • Southwest Airlines (NYSE:LUV) declares $0.06/share quarterly dividend, in line with previous.
    • Forward yield 0.62%
    • Payable Jan 2; for shareholders of record Dec. 11; ex-div Dec. 9.
    | 2 Comments
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Company Description
Southwest Airlines Co is an operator of passenger airline that provides scheduled air transportation in the United States and international markets.
Sector: Services
Country: United States