LUV
Southwest Airlines
PEG ratio, current and historical analysis
- Stocks
- Industrials
- NYSE: LUV
- PEG Ratio
Based on the most recent data from Jul 31, 2026, LUV's PEG ratio comes in at 0.2. This metric factors in a PE of 27.42 with an earnings growth rate of 137.7%. Relative to the 2.62 average from the previous four quarters, the PEG ratio has plunged by 92%.
LUV PEG ratio history
Looking at the last ten years, LUV's PEG ratio has has been around 1.05 on average. At 0.2, today's PE to growth ratio sits 81% below its historical average. Within the last ten years, the Dec 2025 quarter recorded the highest PEG value at 9.88. At 0, the Sep 2022 quarter showed the minimum PEG ratio in this period.
Southwest Airlines PEG ratio by year
| Year | PEG ratio | PE ratio | Growth YoY |
|---|---|---|---|
| 2025 | 9.88 | 50.4 | 5.1% |
| 2024 | N/A | 43.1 | 0% |
| 2023 | N/A | 37.03 | -14.3% |
| 2022 | N/A | 37 | -44.8% |
| 2021 | 0.2 | 25.96 | 130.3% |
| 2020 | N/A | N/A | -227.1% |
| 2019 | N/A | 12.61 | -0.5% |
| 2018 | N/A | 10.81 | -22.9% |
| 2017 | 0.19 | 11.73 | 60.3% |
| 2016 | 2.6 | 14.32 | 5.5% |
| 2015 | 0.13 | 13.05 | 100% |
| 2014 | 0.46 | 25.65 | 55.7% |
| 2013 | 0.2 | 17.77 | 89.3% |
| 2012 | 0.13 | 18.29 | 143.5% |
| 2011 | N/A | 37.22 | -62.9% |
Southwest Airlines PEG ratio by quarter (TTM)
| Year | PEG ratio | PE ratio | Growth YoY |
|---|---|---|---|
| Jun 2026 | 0.23 | 31.35 | 137.7% |
| Mar 2026 | 0.33 | 24.08 | 73.3% |
| Dec 2025 | 9.88 | 50.4 | 5.1% |
| Sep 2025 | 0.05 | 46.93 | 855.6% |
| Jun 2025 | 0.1 | 47.01 | 475% |
| Mar 2025 | 1.03 | 37.31 | 36.4% |
| Dec 2024 | N/A | 43.1 | 0% |
| Sep 2024 | N/A | N/A | -110.8% |
| Jun 2024 | N/A | 238.42 | -87.8% |
| Mar 2024 | N/A | 44.23 | -41.1% |
| Dec 2023 | N/A | 37.03 | -14.3% |
| Sep 2023 | N/A | 32.61 | -40.7% |
| Jun 2023 | N/A | 36.95 | -41.7% |
| Mar 2023 | 2.03 | 29.05 | 14.3% |
| Dec 2022 | N/A | 37 | -44.8% |
LUV average PEG ratio chart
LUV's PEG ratio today is below the 3, 5 and 10-year averages.
PEG comparison
Southwest Airlines's PEG of 0.2 is below the Industrials sector and the industry average. Compared to its Industrials sector average of 1.1, Southwest Airlines's PEG is 82% lower.
LUV EPS growth
LUV Price vs fair value
LUV PEG vs peers
Compared to its peer stocks UAL and SKYW, LUV's PEG ratio sits lower.
| Stock name | PEG ratio | Market cap |
|---|---|---|
| LUV Southwest Airlines Company | 0.21 | $22.82B |
| UAL United Airlines Holdings Inc | 1.77 | $41.43B |
| SKYW Skywest Inc | 6.74 | $4.3B |
| JBLU Jetblue Airways Corp | N/A | $2.34B |
| DAL Delta Air Lines Inc | N/A | $59.78B |
| ALK Alaska Air Group Inc | N/A | $5.6B |
| AAL American Airlines Group Inc | N/A | $10.68B |
| ALGT Allegiant Travel | N/A | $1.92B |
Frequently asked questions
What is Southwest Airlines's PEG ratio?
LUV shows a PEG ratio of 0.2, per Jul 31, 2026 data.
What is the 3-year average PEG ratio for Southwest Airlines (LUV)?
LUV has a 3-year average PEG ratio of 1.94.
What is the 5-year average PEG ratio for Southwest Airlines (LUV)?
LUV has a 5-year average PEG ratio of 1.31.
What is the highest PEG ratio for LUV?
The Dec 2025 quarter marked the ten years high at 9.88 for LUV's PEG ratio.
How does the current PEG ratio for LUV compare to its historical average?
LUV currently has a PEG ratio 81% below its 10-year average.
Why is Southwest Airlines's PEG ratio so low?
Strong earnings growth relative to valuation produces LUV's low PEG ratio of 0.2.
How is LUV's PEG ratio calculated (Southwest Airlines PEG ratio formula)?
The PEG ratio comes from taking PE and dividing by the rate at which earnings are growing (YoY TTM). As of Jul 31, 2026, Southwest Airlines has a P/E ratio of 27.42. Earnings grew at 137.7% over the TTM period ending Jun 2026. Applying the formula, this produces a price to earnings growth ratio of 0.2. PEG RATIO(0.2) = PE RATIO(27.42) / EPS GROWTH(137.7%)
All PEG ratio stats are based on quarterly TTM periods, unless otherwise specified.