Southwest Airlines Co. (NYSE:LUV) to Issue $0.18 Quarterly Dividend

Southwest Airlines Co. (NYSE:LUV) announced a quarterly dividend on Thursday, July 30th. Shareholders of record on Thursday, September 3rd will be paid a dividend of 0.18 per share by the airline on Thursday, September 24th. This represents a c) annualized dividend and a yield of 1.6%. The ex-dividend date is Thursday, September 3rd.

Southwest Airlines has raised its dividend by an average of 0.3%annually over the last three years. Southwest Airlines has a dividend payout ratio of 28.8% indicating that its dividend is sufficiently covered by earnings. Analysts expect Southwest Airlines to earn $5.37 per share next year, which means the company should continue to be able to cover its $0.72 annual dividend with an expected future payout ratio of 13.4%.

Southwest Airlines Stock Performance

Southwest Airlines stock opened at $45.59 on Friday. Southwest Airlines has a fifty-two week low of $28.98 and a fifty-two week high of $55.11. The company has a debt-to-equity ratio of 0.54, a quick ratio of 0.42 and a current ratio of 0.49. The stock has a market cap of $22.30 billion, a P/E ratio of 27.97, a price-to-earnings-growth ratio of 0.38 and a beta of 1.12. The firm’s fifty day moving average price is $46.53 and its 200-day moving average price is $44.37.

Southwest Airlines (NYSE:LUV) last posted its quarterly earnings data on Wednesday, July 22nd. The airline reported $0.94 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.52 by $0.42. Southwest Airlines had a return on equity of 14.15% and a net margin of 2.78%.The firm had revenue of $8.72 billion during the quarter, compared to analysts’ expectations of $8.58 billion. During the same period in the prior year, the business earned $0.43 EPS. The company’s revenue for the quarter was up 16.4% compared to the same quarter last year. Southwest Airlines has set its FY 2026 guidance at 3.250-4.250 EPS and its Q3 2026 guidance at 0.500-0.750 EPS. On average, equities research analysts expect that Southwest Airlines will post 3.52 earnings per share for the current fiscal year.

Southwest Airlines Company Profile

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.