Skip to content

Southwest Airlines LUV Ratios & Valuation

FY'25FY'24FY'23FY'22
Profitability
Operating margin5.6%
Net margin6.4%27%+73.0pp
EBITDA margin28.9%
Free cash flow margin-7.4%+14.4pp-21.7%-7.0pp-14.7%-31.2pp16.4%-2.7pp
Returns
Return on equity18.8%55.1%+82.6pp
Return on assets5.4%15.3%+23.5pp
Return on invested capital11.2%
Efficiency
Asset turnover3.4×+0.4×+0.3×2.8×+0.4×2.3×+1.1×
Liquidity
Current ratio2.3×-1.5×3.8×-1.1×4.9×-1.7×6.5×-1.0×
Quick ratio2.3×-1.5×3.8×-1.1×4.9×-1.7×6.5×-1.0×
Cash ratio1.5×-1.0×2.5×-0.6×3.1×-1.3×4.3×-1.0×
Leverage
Debt-to-equity-0.6×3.6×+0.1×3.5×-0.6×4.1×-1.2×
Debt-to-assets0.8×-0.2×1.1×0.0×-0.2×1.2×-0.2×
Net debt / EBITDA3.7×
Interest coverage
Valuation
Market capitalization$76.19B+5.1%$72.48B-2.4%$74.29B-14.5%$86.84B-29.6%
Enterprise value$83.44B+8.2%$77.1B+2.4%$75.31B-11.0%$84.61B-31.7%
Price / earnings175.5×77×
Price / sales2.8×+0.1×2.7×-0.3×2.9×-1.2×4.1×-8.3×
Price / book9.2×+2.2×0.0×-1.1×8.1×-4.5×
EV / EBITDA41.8×
EV / sales+0.2×2.8×-0.1×-1.0×-8.5×
Free cash flow yield-10.4%+22.3pp-32.7%-13.2pp-19.5%-33.3pp13.8%+2.5pp
Earnings yield9.2%26.6%+32.2pp
Dividend yield8.2%-1.3pp9.5%+2.3pp7.2%0%

Chart any of these lines over time, or line them up against competitors.

Compare these in charts →

Questions, answered.

Where do Southwest Airlines's ratios come from?
Every ratio is computed from Southwest Airlines's SEC filings — trailing-twelve-month flows over period-end balances. Valuation multiples combine those fundamentals with market data, recomputed each period. Switch between quarterly, annual, and TTM, or open any ratio for its full history and peer comparisons.