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Is This Texas-Based Company a Buy in Airline Stocks?

The Motley Fool Logo The Motley Fool By Todd Shriber
Is This Texas-Based Company a Buy in Airline Stocks?

Southwest Airlines is undergoing a significant transformation, aiming to improve profitability through new routes, fleet upgrades, and service changes like charging for checked bags. Despite a challenging year, the company remains optimistic about future revenue and potential earnings growth.

Insights
LUV   neutral

The stock has experienced a double-digit year-to-date loss and a decade-long decline, but the company has a strategic turnaround plan with potential for future growth. Management expects record operating revenue and aims to add $4 billion in EBIT by 2027, indicating cautious optimism.