Will Southwest Airlines Raise Its Dividend in 2018?
Southwest Airlines (NYSE: LUV) stands out from its airline peers because of its consistent profitability. Even at times when other players in the industry were going through bankruptcy filings and other tough times, Southwest found ways to sustain its low-cost business model, with only minimal disruptions along the way. Now, the airline industry has recovered, with most rivals using revenue-raising methods like baggage fees along with slimmed down passenger perks to boost profits. Consolidation among the biggest players in the industry has reduced the painful fare wars that plagued airlines in years past.
Yet one thing that remains less than perfect for Southwest Airlines is its dividend policy. Despite recent efforts to keep its payout growing, Southwest's current yield looks stingy. With that in mind, investors want to know whether the airline will keep looking to make aggressive increases in its dividend in the coming year. Let's take a closer look at Southwest Airlines and whether shareholders are likely to get higher payouts in 2018.
Image source: Southwest Airlines.
Source: Fool.com
Southwest Airlines Co. Stock
Currently there is a rather positive sentiment for Southwest Airlines Co. with 14 Buy predictions and 6 Sell predictions.
With a target price of 33 € there is a positive potential of 29.95% for Southwest Airlines Co. compared to the current price of 25.4 €.
