Alert: Rating Downgrade (4/8/24)-Southwest Airlines Co. (NYSE: LUV).

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Stock Rating Downgrade

In recent days the Value Trend Rating for Southwest Airlines Co. (NYSE: LUV) weakened from C to D reflecting eroding fundamentals and low Appreciation Potential.

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Recent Price Action

Southwest Airlines Co. (NYSE: LUV) stock increased 1.1% on 4/8/24. The shares closed at $28.65. This advance was accompanied by normal trading volume. The stock has performed in line with the market over the last nine months and has declined -1.8% during the last week.

Current PriceTarget Research Rating

LUV is expected to continue to be an important Value Builder reflecting capital returns that are forecasted to exceed the cost of capital.

Southwest Airlines Co has a current Value Trend Rating of D (Negative). With this rating, PTR’s two proprietary measures of a stock’s current attractiveness are providing inconsistent signals. Southwest Airlines Co has a neutral Appreciation Score of 52 but a poor Power Rating of 29, triggering the Negative Value Trend Rating.

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