B of A Securities Rates Southwest Airlines (LUV) sell

B of A Securities maintains its sell rating for Southwest Airlines with a $45 price target, a 11.28% downside from the current price.

By TradeTexts Research Desk · Published Jul 1, 2026, 11:01 AM EDT · Updated Jul 1, 2026, 3:01 PM EDT

Reviewed by automated data checks against the source data. How we make and check alerts

B of A Securities rated Southwest Airlines Co. ($LUV) "sell" with a $45 price target on July 1, 2026.

Since the rating, $LUV is down 3.6% after 1 week, down 10.9% after 1 month and down 21.4% to date (from the $50.23 close on Jul 1, 2026).

LUV Southwest Airlines Co.

$39.50 -3.07% year to date

Daily close · Oct 16, 2026

Key Points

B of A Securities reiterated its sell rating on Southwest Airlines (NYSE:LUV) with a target price of $45 on July 1, 2026.
B of A Securities's $45 price target implies 11.28% downside from Southwest Airlines Co.'s ($LUV) current $50.72 share price.
Southwest Airlines has a market cap of about $25.1 billion and a P/E ratio of 34.28, with shares trading near $51.30 on Wednesday.
Other analysts have mixed ratings, with Citigroup and Jefferies holding, while Barclays and UBS rate the stock as a buy.

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On July 1, 2026, B of A Securities reiterated its 'sell' rating on Southwest Airlines Co. (NYSE:LUV), maintaining a price target of $45. This comes as Southwest shares traded around $51.30 on Wednesday.

Analyst rating track record

B of A Securities vs. the S&P 500

YTD return +7.55% hypothetical

All-time return +31.70% S&P 500 +26.90%

vs. S&P 500 +4.80% ahead of the index

Hypothetical returns from B of A Securities's disclosed trades, not real profit or advice. How we model this.

Southwest Airlines Co. Stock Up 28.9%

Shares of NYSE:LUV traded near $51.30 on Wednesday. Southwest Airlines has a market cap of approximately $25.1 billion, with a P/E ratio of 34.28 and a forward P/E of 11.31. The stock's 52-week range is between $28.98 and $55.11, with a 50-day moving average of $42.34 and a 200-day moving average of $39.97. The company's beta is 1.156, indicating a moderate level of volatility compared to the market.

12-month forecast

$LUV price target

Southwest Airlines Co. daily closes and this analyst's $45 target. Not advice.

Recent Earnings

Southwest Airlines reported revenues of about $28.88 billion, reflecting a growth of 12.8%. The company achieved an earnings per share (EPS) of $1.50, with a net margin of 2.83% and a return on equity (ROE) of 10.06%. The next earnings release is scheduled for July 22, 2026.

Dividend

Southwest Airlines offers an annual dividend rate of $0.72, yielding 1.4%. The dividend payout ratio stands at 48%.

Insider Buying and Selling at Southwest Airlines Co.

Several insiders, including Christopher Reynolds, Pierre Breber, Patricia Watson, David Hess, David Grissen, and Lisa Atherton, each purchased 4,108 shares on May 7, 2026. These transactions were not part of a pre-planned trading scheme.

Analysts Set New Price Targets

On July 1, 2026, B of A Securities maintained its 'sell' rating with a $45 price target. Citigroup maintained a 'hold' rating with a $55 target on June 26, while Barclays upheld a 'buy' rating with a $65 target on June 25. UBS also maintained a 'buy' rating, setting a target of $61 on June 23. Overall, the consensus is a 'hold', with an average target price of $47.51 based on 23 analyst opinions.

About Southwest Airlines

Southwest Airlines Co., headquartered in Dallas, Texas, is a major U.S. airline providing scheduled air transportation. The company operates a fleet of Boeing 737 aircraft, serving 117 destinations across the U.S. and internationally. Led by CEO Robert E. Jordan, Southwest employs over 73,000 people and offers a variety of services, including a loyalty program, in-flight entertainment, and various ancillary services.

Bottom Line

B of A Securities' reiteration of a 'sell' rating highlights continued caution among analysts regarding Southwest Airlines' stock. Investors often track these ratings as part of their broader investment considerations. It's important to remember that these ratings reflect past performance and market conditions as of the date of the analyst report.