American Century Companies Inc. Boosts Holdings in Southwest Airlines Co. $LUV

American Century Companies Inc. grew its position in Southwest Airlines Co. (NYSE:LUV) by 0.6% during the 3rd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 4,425,339 shares of the airline’s stock after acquiring an additional 26,608 shares during the quarter. American Century Companies Inc. owned about 0.86% of Southwest Airlines worth $141,213,000 as of its most recent SEC filing.

Other large investors have also made changes to their positions in the company. Elevation Point Wealth Partners LLC purchased a new position in shares of Southwest Airlines during the 2nd quarter worth $25,000. Corsicana & Co. purchased a new position in Southwest Airlines during the 3rd quarter valued at about $27,000. Quent Capital LLC purchased a new stake in shares of Southwest Airlines during the third quarter worth $27,000. Hantz Financial Services Inc. increased its position in shares of Southwest Airlines by 81.4% in the 2nd quarter. Hantz Financial Services Inc. now owns 1,056 shares of the airline’s stock valued at $34,000 after purchasing an additional 474 shares during the last quarter. Finally, Abich Financial Wealth Management LLC purchased a new position in shares of Southwest Airlines in the 3rd quarter valued at $35,000. 80.82% of the stock is currently owned by hedge funds and other institutional investors.

More Southwest Airlines News

Here are the key news stories impacting Southwest Airlines this week:

• Positive Sentiment: Management’s overhaul and 2026 guidance are supporting investor confidence — coverage notes the transformation and clearer FY‑2026 targets that helped lift sentiment. A Look At Southwest Airlines (LUV) Valuation As Its Overhaul And 2026 Guidance Boost Investor Confidence
• Positive Sentiment: Product changes (assigned seating, extra‑legroom options, expanded distribution, free Wi‑Fi for Rapid Rewards) plus a large 2025 shareholder return (~$2.9B) are reframing Southwest from a low‑cost carrier to a differentiated, revenue‑enhancing operator. Is Southwest’s Bold Shift To Assigned Seating And Perks Altering The Investment Case For LUV?
• Positive Sentiment: TD Cowen upgraded LUV from Hold to Buy with a $66 price target, signaling analyst optimism and adding potential upside from improved sentiment and coverage. Benzinga note on TD Cowen upgrade
• Positive Sentiment: Short interest dropped meaningfully in February (≈22.6% decline), reducing immediate short‑pressure and indicating some bearish positions have been covered. (Market data summarized publicly.)
• Neutral Sentiment: Recent earnings showed a modest EPS beat but a revenue miss; market reaction since the report has been positive overall (LUV up ~5% since earnings), but investors are now parsing forward guidance and execution risks. Why Is Southwest (LUV) Up 5% Since Last Earnings Report?
• Neutral Sentiment: Analysts and commentators are debating valuation — some see LUV as still attractive given execution and margin upside, while others flag stretched momentum after the recent run. Are Investors Undervaluing Southwest Airlines (LUV) Right Now?
• Negative Sentiment: Sector headwinds: rising crude oil and broader airline weakness (notably United and Delta share drops) are pressuring airline multiples and can offset Southwest’s company‑level gains. United Airlines, Delta Stocks Fall. Why Airlines Are Getting Crushed.
• Negative Sentiment: Investor caution remains because higher industry labor costs and legacy carriers’ balance‑sheet issues keep the sector sensitive to macro shocks, which can trigger short‑term pullbacks even for stronger operators. AAL Benefits From Improved Air-Travel Demand Amid High Costs

Wall Street Analyst Weigh In

Several equities analysts recently issued reports on LUV shares. Bank of America boosted their price target on Southwest Airlines from $37.00 to $42.00 and gave the company an “underperform” rating in a research report on Friday, January 30th. Jefferies Financial Group raised their price objective on Southwest Airlines from $45.00 to $48.00 and gave the company a “hold” rating in a research note on Monday, February 2nd. Morgan Stanley upped their target price on Southwest Airlines from $50.00 to $55.00 and gave the company an “overweight” rating in a research note on Friday, January 30th. BMO Capital Markets upgraded shares of Southwest Airlines from a “market perform” rating to an “outperform” rating and raised their target price for the stock from $43.00 to $57.50 in a research report on Friday, January 30th. Finally, JPMorgan Chase & Co. upgraded Southwest Airlines from an “underweight” rating to an “overweight” rating and increased their target price for the stock from $36.00 to $60.00 in a research report on Friday, January 9th. One equities research analyst has rated the stock with a Strong Buy rating, eight have given a Buy rating, eight have issued a Hold rating and three have given a Sell rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Hold” and a consensus price target of $49.03.

Southwest Airlines Price Performance

LUV opened at $49.20 on Monday. Southwest Airlines Co. has a fifty-two week low of $23.82 and a fifty-two week high of $55.11. The company has a quick ratio of 0.45, a current ratio of 0.52 and a debt-to-equity ratio of 0.57. The company’s 50-day moving average price is $46.30 and its 200 day moving average price is $37.93. The firm has a market cap of $24.17 billion, a price-to-earnings ratio of 58.57, a price-to-earnings-growth ratio of 0.35 and a beta of 1.10.

Southwest Airlines (NYSE:LUV) last posted its earnings results on Wednesday, January 28th. The airline reported $0.58 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.56 by $0.02. Southwest Airlines had a return on equity of 6.18% and a net margin of 1.57%.The company had revenue of $7.44 billion for the quarter, compared to analysts’ expectations of $7.51 billion. During the same period last year, the business posted $0.56 earnings per share. The firm’s quarterly revenue was up 7.4% compared to the same quarter last year. Southwest Airlines has set its FY 2026 guidance at 4.000- EPS and its Q1 2026 guidance at 0.450- EPS. As a group, sell-side analysts expect that Southwest Airlines Co. will post 1.55 earnings per share for the current year.

Southwest Airlines Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, April 2nd. Stockholders of record on Thursday, March 12th will be paid a $0.18 dividend. This represents a $0.72 dividend on an annualized basis and a dividend yield of 1.5%. The ex-dividend date of this dividend is Thursday, March 12th. Southwest Airlines’s dividend payout ratio is currently 85.71%.

About Southwest Airlines

Southwest Airlines Co is a U.S.-based low-cost carrier that operates a point-to-point domestic and near-international airline network. Headquartered in Dallas, Texas, the company primarily flies Boeing 737 aircraft and offers no-frills, single-class service designed to keep fares competitive. Southwest’s operating model emphasizes high aircraft utilization, quick turnaround times and an open seating policy, allowing customers to board and select seats on a first-come, first-served basis.

Founded in 1967 by Herb Kelleher and Rollin King as Air Southwest Company, Southwest began commercial service in 1971, initially connecting Dallas, Houston and San Antonio.