Southwest Airlines Co. (NYSE:LUV) persists its position slightly strong in context of buying side, while shares price build up 4.68% during latest trading session. Southwest Airlines Co. (LUV) announced its August and year-to-date preliminary traffic statistics. The Company flew 10.7 billion revenue passenger miles in August 2016, an increase of 3.6 percent from the 10.3 billion RPMs flown in August 2015.
Available seat miles increased 4.6 percent to 12.7 billion in August 2016, as compared with August 2015 ASMs of 12.1 billion. The August 2016 load factor was 84.6 percent, as compared with 85.4 percent in August 2015. Based on these results and current trends, the Company continues to expect its third quarter 2016 operating revenue per ASM to decline in the 3.5 to 4.5 percent range, as compared with third quarter 2015, with approximately 0.5 point of the decline resulting from the Company’s July 2016 technology outage.
Analysts Practices; to watch unbiased undervalue securities, there is need to see following technical rations. LUV holds price to earnings ratio of 10.24 that presents much better indication for a stock’s value than the market price alone. Based on historic views, the average P/E ratio in market fluctuates between 15 to 25, but alone low P/E ratio does not necessarily mean that a company is undervalue. With reference to all theories, earning yield also gives right direction to lure investment, as LUV has 1.03% dividend yield.
Narrow down focus to other ratios, the co has current ratio of 0.60 that indicates if LUV lies in 1.3% to 3% then it is acceptable for both active and passive investors, but sometimes its varies industry to industry. Generally, it indicates good short-term financial strength. Street is more conscious on this after SunEdison, Inc. case. To make strengthen these views, the active industry firm has Quick Ratio of 0.50, which indicates firm has sufficient short-term assets to cover its immediate liabilities. In addition, the firm has debt to equity ratio of 0.45, sometimes its remain same with long term debt to equity ratio.
Following previous ticker characteristics, Bed Bath & Beyond Inc. (NASDAQ:BBBY) also run on active notice, stock price raised 0.26% after traded at $46.35 in most recent trading session.
BBBY has price to earnings ratio of 9.25 and the price to current year EPS stands at 0.60%. Whereas the traders who further want to see about this, may be interested to see Price to next year’s EPS that would be 4.27%. The earning yield also gives right direction to lure investment, as the co has 1.08% dividend yield. Moving toward ratio analysis, it has current ratio of 2.00 and quick ratio was calculated as 0.50. The debt to equity ratio appeared as 0.59 for seeing its liquidity position.
Taking notice on volatility measures, price volatility of stock was 1.55% for a week and 1.85% for a month. The price volatility’s Average True Range for 14 days was 0.92. On these bases, analysts would recommend this stock as an “Active Revolving Stocks.” The firm attains analyst recommendation of 3.10 out of 1-5 scale with week’s performance of 0.83%. BBBY’s institutional ownership was registered as 99.60%, while insider ownership was 1.70%.