Southwest Airlines Co. (LUV) Price Target Analysis
Wall Street analyst price targets, ratings consensus & upside potential · Updated May 1, 2026
Current Price
$41.50
Price Target
$49.89
Target Range
$32.00 — $73.00
Analyst Rating
Hold
Forward P/E15.6x
Trailing P/E52.5x
Forward PEG—
Implied Growth+64.0%
Median Target$50.00
Analyst Spread82.2%
Price Forecast (1 Year)
Last 12 months price action with 12-month analyst target path
Bear Case
$32
-22.9%
Consensus
$50
+20.2%
Bull Case
$73
+75.9%
LUV Price Target Analysis
Updated May 7, 2026As of May 7, 2026, Southwest Airlines Co. (LUV) has a Wall Street consensus price target of $49.89, based on estimates from 45 covering analysts. With the stock currently trading at $41.50, this represents a potential upside of +20.2%. The company has a market capitalization of $20.38B.
Analyst price targets range from a low of $32.00 to a high of $73.00, representing a 82% spread in expectations. The median target of $50.00 aligns closely with the consensus average. The wide target spread reflects significant disagreement on fair value.
The current analyst consensus rating is Hold, with 19 analysts rating the stock as a Buy or Strong Buy,21 rating it Hold, and 5 rating it Sell or Strong Sell. The mixed ratings reflect uncertainty about near-term direction.
From a valuation perspective, LUV trades at a trailing P/E of 52.5x and forward P/E of 15.6x. Analysts expect EPS to grow +64.0% over the next year.
Investment Context: Price targets represent analyst expectations for the next 12 months and should be considered alongside your own research. Targets are based on analysts' assumptions about earnings growth, margins, and market conditions which may change. For sector-specific context, view other Industrials stocks.
Analyst Sentiment Comparison
Industry Peer AnalysisAvg Peer Upside+27.8%
Avg Forward P/E722.2x
Peers with Coverage9 / 10
| Company | Market Cap | Price | Target | Upside | Rating | Fwd P/E | Analysts |
|---|---|---|---|---|---|---|---|
 DALDelta Air Lines, Inc. | $47.9B | $73.32 | $82.45 | +12.5% | Buy | 13.6x | 44 |
 UALUnited Airlines Holdings, Inc. | $32.5B | $100.03 | $136.10 | +36.1% | Buy | 10.7x | 47 |
 AALAmerican Airlines Group Inc. | $8.5B | $12.94 | $15.90 | +22.9% | Buy | — | 37 |
 ULCCFrontier Group Holdings, Inc. | $1.1B | $4.78 | $6.67 | +39.5% | Hold | — | 13 |
 ALGTAllegiant Travel Company | $1.5B | $80.08 | $109.13 | +36.3% | Hold | 19.0x | 30 |
 JBLUJetBlue Airways Corporation | $1.9B | $5.04 | $6.17 | +22.4% | Hold | — | 36 |
 SKYWSkyWest, Inc. | $3.5B | $87.82 | $122.00 | +38.9% | Buy | 8.0x | 17 |
 MESAMesa Air Group, Inc. | $879M | $21.00 | — | — | Hold | 30.9x | 6 |
 SNCYSun Country Airlines Holdings, Inc. | $897M | $16.56 | $21.00 | +26.8% | Buy | 17.9x | 11 |
 BAThe Boeing Company | $181.3B | $229.93 | $263.67 | +14.7% | Buy | 4955.4x | 54 |
Upside Potential Comparison
ULCCSKYWALGTUALSNCYAALJBLUBAFull LUV Stock Analysis
Analyst consensus, bull case, AI-generated risk factors, and peer comparison — all in one place.
See LUV's True Return
Price is only half the story. See total return with reinvested dividends.
Launch CalculatorIs LUV Undervalued?
DCF intrinsic value, peer multiples, and analyst estimates — see what the stock is really worth.
View ValuationCompare LUV vs SPIR
Side-by-side business, growth, and profitability comparison vs Spire Global, Inc..
Start ComparisonLUV — Frequently Asked Questions
Quick answers to the most common questions about buying LUV stock.
What is the LUV stock price target for 2026?
The consensus Wall Street price target for LUV is $49.89, representing 20.2% upside from the current price of $41.5. With 45 analysts covering the stock, this strong upside suggests significant value not yet reflected in today's share price.
Is LUV a buy, sell, or hold?
LUV has a consensus rating of "Hold" based on 45 Wall Street analysts. The rating breakdown is mixed, with 21 Hold ratings making up the largest segment. The consensus 12-month price target of $49.89 implies 20.2% upside from current levels.
Is LUV stock overvalued or undervalued?
With a forward P/E of 15.5787x, LUV trades at a relatively low valuation. The consensus target of $49.89 implies 20.2% appreciation, suggesting meaningful undervaluation.
How high can LUV stock go?
The most bullish Wall Street analyst has a price target of $73 for LUV, while the most conservative target is $32. The consensus of $49.89 represents the median expectation. These targets typically reflect 12-month expectations.
How many analysts cover LUV stock?
LUV is heavily covered by Wall Street, with 45 analysts providing price targets and ratings. Of these, 0 have Strong Buy ratings, 19 have Buy ratings, 21 recommend Hold, and 5 have Sell or Strong Sell ratings. Higher analyst coverage generally indicates greater institutional interest and more reliable consensus estimates.
What is the LUV stock forecast?
The 12-month LUV stock forecast based on 45 Wall Street analysts shows a consensus price target of $49.89, with estimates ranging from $32 (bear case) to $73 (bull case). The median consensus rating is "Hold".
What is LUV's forward P/E ratio?
LUV trades at a forward P/E ratio of 15.6x based on next-twelve-months earnings estimates compared to a trailing P/E of 52.5x. The lower forward P/E indicates analysts expect earnings growth. A forward P/E is useful for comparing valuations when earnings are expected to change significantly.
Should I buy LUV stock?
Wall Street analysts are very optimistic on LUV, with a "Hold" consensus rating and $49.89 price target (20.2% upside). 19 of 45 analysts rate it Buy or Strong Buy. This information is for educational purposes only. Always conduct your own research, consider your financial situation, and consult a financial advisor before making investment decisions.
Why do LUV price targets vary so much?
LUV analyst price targets range from $32 to $73, a 82% wide spread indicating significant analyst disagreement. Differences stem from varying assumptions about revenue growth, profit margins, competitive dynamics, and valuation multiples. The $49.89 consensus represents the middle ground.