LUV
Southwest Airlines
PE ratio, current and historical analysis
- Stocks
- Industrials
- NYSE: LUV
- PE Ratio
The current P/E ratio for Southwest Airlines stock as of Jun 22, 2026 is 31.13. This is calculated based on the TTM EPS of $1.56 and the stock price of $48.57 per share. The PE ratio has decreased by 26% from its last 4 quarters average of 42.1.
LUV PE ratio history
The average historical PE ratio of Southwest Airlines for the last ten years is 32.43. The current price-to-earnings ratio of 31.13 is 4% less than the historical average. Analyzing the last ten years, LUV's PE ratio reached its highest point in the Jun 2024 quarter at 238.42, when the price was $28.61 and the EPS was $0.12. The lowest point was recorded in the Jun 2018 quarter, when it reached 8.68 with a price of $50.88 and an EPS of $5.86.
Southwest Airlines PE ratio by year
Maximum annual increase: 77.75% in 2011
Maximum annual decrease: -50.86% in 2012
| Year | PE ratio | PE change | Price | EPS |
|---|---|---|---|---|
| 2025 | 50.4 | 16.94% | $41.33 | $0.82 |
| 2024 | 43.1 | 16.39% | $33.62 | $0.78 |
| 2023 | 37.03 | 0.08% | $28.88 | $0.78 |
| 2022 | 37 | 42.53% | $33.67 | $0.91 |
| 2021 | 25.96 | N/A | $42.84 | $1.65 |
| 2020 | N/A | N/A | $46.61 | -$5.44 |
| 2019 | 12.61 | 16.65% | $53.98 | $4.28 |
| 2018 | 10.81 | -7.84% | $46.48 | $4.3 |
| 2017 | 11.73 | -18.09% | $65.45 | $5.58 |
| 2016 | 14.32 | 9.73% | $49.84 | $3.48 |
| 2015 | 13.05 | -49.12% | $43.06 | $3.3 |
| 2014 | 25.65 | 44.34% | $42.32 | $1.65 |
| 2013 | 17.77 | -2.84% | $18.84 | $1.06 |
| 2012 | 18.29 | -50.86% | $10.24 | $0.56 |
| 2011 | 37.22 | 77.75% | $8.56 | $0.23 |
Southwest Airlines PE ratio by quarter (TTM)
| Year | PE ratio | PE change | Price | EPS |
|---|---|---|---|---|
| Mar 2026 | 24.08 | -52.22% | $37.57 | $1.56 |
| Dec 2025 | 50.4 | 7.39% | $41.33 | $0.82 |
| Sep 2025 | 46.93 | -0.17% | $31.91 | $0.68 |
| Jun 2025 | 47.01 | 26% | $32.44 | $0.69 |
| Mar 2025 | 37.31 | -13.43% | $33.58 | $0.9 |
| Dec 2024 | 43.1 | N/A | $33.62 | $0.78 |
| Sep 2024 | N/A | N/A | $29.63 | -$0.09 |
| Jun 2024 | 238.42 | 439.05% | $28.61 | $0.12 |
| Mar 2024 | 44.23 | 19.44% | $29.19 | $0.66 |
| Dec 2023 | 37.03 | 13.55% | $28.88 | $0.78 |
| Sep 2023 | 32.61 | -11.75% | $27.07 | $0.83 |
| Jun 2023 | 36.95 | 27.19% | $36.21 | $0.98 |
| Mar 2023 | 29.05 | -21.49% | $32.54 | $1.12 |
| Dec 2022 | 37 | 67.95% | $33.67 | $0.91 |
| Sep 2022 | 22.03 | 2.47% | $30.84 | $1.4 |
LUV Price vs fair value
LUV average PE ratio chart
What this chart measures
The Historical Valuation Regime chart shows where the stock's current valuation sits relative to its own historical valuation range over the selected lookback period.
This is a history-relative tool, not a market-relative percentile. It does not compare the stock to other companies. Instead, it compares each historical valuation reading to the stock's own past readings.
Percentile logic
The threshold lines are calculated them from the stock's real historical values using percentile interpolation. That is why some colored bands are narrow while others are wide: the band widths reflect how the stock actually traded through time.
Regime map
| Historical percentile | Regime | Chart meaning |
|---|---|---|
| 0-10 | Historically Low | Deep cheap zone |
| >10-25 | Below Average | Cheap relative to history |
| >25-75 | Average | Within the normal historical range |
| >75-90 | Above Average | Expensive relative to history |
| >90-100 | Historically High | Extreme or stretched valuation |
How to read each part
| Chart element | What it tells you |
|---|---|
| Main line | The actual historical valuation values over time for the selected metric. |
| Dashed horizontal lines | The stock's computed P10, P25, Median, P75, and P90 thresholds for the selected period. |
| Colored bands | The historical valuation zones between those thresholds. |
| Metric boxes | Current ratio, historical median, current percentile, and current regime. |
| Timeline strip | A condensed regime history showing how the stock moved between cheap, fair, and expensive states across each observation. |
Important metric definitions
Current Percentile is the percentile rank of the latest valid historical observation within the selected lookback range.
Current Regime is assigned directly from the latest observation's percentile bucket using the fixed 10 / 25 / 75 / 90 cutoffs shown above.
How to use it well
This chart is most useful for answering a narrow question: Is this stock trading high, low, or normal relative to its own history? It works best alongside growth, profitability, and forward-looking business analysis, because a stock can deserve a higher or lower regime if its business quality has changed.
LUV's current PE ratio is under its 3, 5 and 10-year averages.
PE comparison
Southwest Airlines's price to earnings (P/E) of 31.13 is higher than the Industrials sector and the industry average but lower than its peers average. But when looking at the Industrials sector average of 30.63, Southwest Airlines's price to earnings (P/E) is only 1.6% higher.
LUV PE vs peers
When compared to its peers AAL and ALK, LUV's PE ratio is lower, but it is higher than DAL's and UAL's. Southwest Airlines's PE ratio is trading below the peer average of 33.54.
| Stock name | PE ratio | Market cap |
|---|---|---|
| SKYW Skywest Inc | 8.82 | $3.74B |
| UAL United Airlines Holdings Inc | 10.7 | $39.29B |
| DAL Delta Air Lines Inc | 12.48 | $56.5B |
| LUV Southwest Airlines Co | 31.81 | $24.25B |
| AAL American Airlines Group Inc | 52.32 | $10.73B |
| ALK Alaska Air Group Inc | 85.4 | $5.52B |
| JBLU Jetblue Airways Corp | N/A | $2.09B |
| ALGT Allegiant Travel CO | N/A | $1.91B |
Frequently asked questions
What is Southwest Airlines's PE ratio?
The price to earnings ratio for LUV stock as of Jun 22, 2026, stands at 31.13.
What is the 3-year average PE ratio for Southwest Airlines (LUV)?
The average PE ratio for LUV stock over the past 3 years is 58.01.
What is the 5-year average PE ratio for Southwest Airlines (LUV)?
The average PE ratio for LUV stock over the past 5 years is 48.26.
What is the highest PE ratio for LUV?
The highest quarterly PE ratio in the last ten years has been 238.42 and it was in the Jun 2024 quarter.
How does the current PE ratio for LUV compare to its historical average?
The current PE ratio of LUV is 4% lower than the 10-year historical average.
How is LUV's PE ratio calculated (Southwest Airlines PE ratio formula)?
To determine the P/E ratio, divide the latest stock price by the TTM earnings per share (EPS). As of today (Jun 22, 2026), Southwest Airlines's share price is $48.57. The company's earnings per share for the trailing twelve months (TTM) ending Mar 2026 is $1.56. Therefore, Southwest Airlines's price to earnings ratio for today is 31.13. PE RATIO(31.13) = STOCK PRICE($48.57) / TTM EPS($1.56)
All PE ratio stats are based on quarterly TTM periods, unless otherwise specified.