Southwest Airlines Co. (NYSE: LUV) is the world’s largest low-cost passenger airline and one of the major airlines based in the United States. Under normal circumstances, it offers flights to more than 100 destinations in the United States and ten countries globally. The pandemic has hit the business hard, but Southwest has remained operational thanks to government assistance and cost-cutting measures. With vaccine rollouts in the United States and key international markets, recovery is on the horizon.
In the last ten days, more than 1 million passengers have flown within the U.S. each day. Last week was the first time since 2019 that passenger numbers increased year over year. People have become fatigued by travel restrictions and are traveling in larger numbers. As more vaccines are administered, travel is only likely to increase even more.
There’s a positive target on this stock that suggests growth. The average target of $60.00 has been met, and now the stock is moving towards its high-end target of $73.00.
The strong likelihood of an upside in 2021, and a longer-term upside as the global economy recovers, makes this a relatively affordable bet for the aviation industry’s future success.
Key Data:
- 1 Year Price Growth: 00%
- YTD Price Growth: 98%
- 3 Month Price Growth: 30%
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