While the top- and bottom-line numbers for Southwest (LUV) give a sense of how the business performed in the quarter ended March 2026, it could be worth looking at how some of its key metrics compare to Wall Street estimates and year-ago values.
Southwest Airlines (LUV) came out with quarterly earnings of $0.45 per share, in line with the Zacks Consensus Estimate . This compares to a loss of $0.13 per share a year ago.
Other airlines have similarly noted pressure as the conflict in the Middle East tightens supplies of crude oil.
Southwest Airlines Company (NYSE:LUV) missed analyst estimates for first-quarter revenue and earnings per share, sending shares lower on Wednesday after market close.
Southwest has overhauled its long-time business model and started charging for bags, assigning and charging more for assigned seats, to increase revenue. It ended its open seating policy in January.
Southwest Airlines forecast second-quarter profit below analysts' expectations on Wednesday, as soaring jet fuel prices driven by the war in Iran push costs up and dent margins.
The airline has been one of the better performers in the sector this year but earnings will be test of its resilience.
Get a deeper insight into the potential performance of Southwest (LUV) for the quarter ended March 2026 by going beyond Wall Street's top-and-bottom-line estimates and examining the estimates for some of its key metrics.
Southwest (LUV) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Southwest Airlines Co. faces significant headwinds from higher oil prices, inflation, and GDP pressures, but strategic cost management could offset these challenges. Despite trading at 10.7x EV/EBITDA, LUV could see a price target of $53.52 in a bullish scenario, implying 33% upside if cost controls succeed. Bag fee hikes and potential fare increases help moderate EBITDA and free cash flow pressures, but robust demand and cost reductions remain critical.
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Southwest Airlines Co. (LUV) Presents at JPMorgan Industrials Conference 2026 Transcript