Core Insights - Southwest Airlines Co. is a significant player in the airline industry with a market cap of $17.1 billion and over 73,000 employees, providing scheduled air transportation services in the U.S. and near-international markets [1][2] Financial Performance - The stock reached a two-year high of $37.96 on July 17 but is currently trading 14.3% below that peak, with a 4.4% gain over the past three months, underperforming the Dow Jones Industrial Average's 9.8% increase during the same period [3] - Year-to-date, the stock has dipped 3.3%, while it has increased 12.4% over the past 52 weeks, underperforming the Dow's 8.9% uptick in 2025 but outperforming the Dow's 10.2% returns over the past year [4] - Following disappointing Q2 results released on July 23, the stock plummeted 11.2% in one trading session, with passenger revenues dropping 1.3% year-over-year to $6.6 billion and total revenues falling 1.5% year-over-year to $7.2 billion, missing Street expectations [5] Comparative Analysis - Compared to United Airlines Holdings, Inc., which saw a 9.5% gain in 2025 and a 102.2% surge over the past 52 weeks, Southwest's performance appears significantly weaker [6] - Among 21 analysts covering the stock, the consensus rating is a "Hold," with the stock trading slightly above the mean price target of $32.01 [6]
Is Southwest Airlines Stock Outperforming the Dow?