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LUVSouthwest Airlines Co.

Is the gross margin high or low?

The gross margin of 10.04% is 46% below its 5-year average of 18.72%, near the low end of its 5-year range (9.88%–32.26%).

As of Thursday, June 25, 2026. 36.63% below its 12-month average of 15.85%.

Operating Margin|Profit Margin|P/S Ratio|All Metrics
Gross Margin

LUV Gross Margin

10.04%

Reported quarterly gross margin; no daily interpolation.

-65.89% 5Y
LUV Gross Margin

LUV Average Gross Margin Chart

LUV Gross Margin

LUV Current vs Average Gross Margin Chart

LUV Gross Margin Metrics

GROSS MARGIN

10.04%

GROSS MARGIN AVG TTM

15.85%

GROSS MARGIN AVG 3Y

15.93%

GROSS MARGIN AVG 5Y

18.05%

GROSS MARGIN AVG 10Y

22.73%

GROSS MARGIN AVG 15Y

23.47%

GROSS MARGIN AVG 20Y

28.96%

CURRENT VS TTM AVG

-36.63%

CURRENT VS 3Y AVG

-36.96%

CURRENT VS 5Y AVG

-44.35%

CURRENT VS 10Y AVG

-55.82%

CURRENT VS 15Y AVG

-57.21%

CURRENT VS 20Y AVG

-65.32%

LUV Competitors' Gross Margin

NAMEMARKET CAPGROSS MARGINTTM3Y5Y
Southwest Airlines Co. (LUV)$25.46B10.04%15.85%15.93%18.05%
J.B. Hunt Transport Services, Inc. (JBHT)vs ›$25.90B17.28%15.19%16.07%15.79%
Venture Global, Inc. (VG)vs ›$25.97B44.58%57.82%64.86%51.88%
Symbotic Inc. (SYM)vs ›$26.16B20.58%17.21%17.25%8.77%
XPO Logistics, Inc. (XPO)vs ›$23.90B12.18%11.67%10.68%10.86%
Sterling Infrastructure, Inc. (STRL)vs ›$27.06B23.29%21.56%18.94%17.46%
Everpure, Inc. (P)vs ›$23.83B70.23%70.11%70.13%69.61%
ATI Inc. (ATI)vs ›$27.24B22.53%21.37%20.29%17.15%
nVent Electric plc (NVT)vs ›$27.80B37.01%38.98%38.52%38.31%
Xylem Inc. (XYL)vs ›$27.81B38.61%37.98%37.65%37.69%

Gross Margin Analysis

Gross Margin

10.0%

(Revenue - COGS) / Revenue

Gross Margin Formula & Definition

Gross Margin = Gross Profit / Revenue

Gross margin is the percentage of revenue remaining after the cost of goods sold, reflecting core product profitability.

Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute

Gross Margin FAQ

What is the gross margin for Southwest Airlines Co. (LUV)?
The gross margin for LUV stock is 10.04%.
Is Southwest Airlines Co.'s gross margin high or low?
The gross margin of 10.04% is 46% below its 5-year average of 18.72%, near the low end of its 5-year range (9.88%–32.26%).
What is the TTM average gross margin for Southwest Airlines Co. (LUV)?
The TTM average gross margin for LUV stock is 15.85%.
What is the 3Y average gross margin for Southwest Airlines Co. (LUV)?
The 3Y average gross margin for LUV stock is 15.93%.
What is the 5Y average gross margin for Southwest Airlines Co. (LUV)?
The 5Y average gross margin for LUV stock is 18.05%.
What is the 10Y average gross margin for Southwest Airlines Co. (LUV)?
The 10Y average gross margin for LUV stock is 22.73%.
What is the 15Y average gross margin for Southwest Airlines Co. (LUV)?
The 15Y average gross margin for LUV stock is 23.47%.
What is the 20Y average gross margin for Southwest Airlines Co. (LUV)?
The 20Y average gross margin for LUV stock is 28.96%.

LUV Gross Margin History

DATEGROSS MARGIN
2026-03-3110.04%
2025-12-3120.30%
2025-09-3016.66%
2025-06-3018.75%
2025-03-3113.49%
2024-12-3117.72%
2024-09-3016.26%
2024-06-3020.27%
2024-03-319.88%
2023-12-3110.66%
2023-09-3016.48%
2023-06-3024.88%
2023-03-3111.71%
2022-12-3116.32%
2022-09-3019.52%
2022-06-3028.97%
2022-03-3112.36%
2021-12-3117.40%
2021-09-3029.81%
2021-06-3029.44%
2021-03-3132.26%
2020-12-31-32.14%
2020-09-30-51.48%
2020-06-30-89.98%
2020-03-3113.89%
2019-12-3124.98%
2019-09-3028.04%
2019-06-3029.38%
2019-03-3123.99%
2018-12-3127.63%
2018-09-3027.57%
2018-06-3029.66%
2018-03-3125.10%
2017-12-3127.30%
2017-09-3030.09%
2017-06-3033.81%
2017-03-3126.50%
2016-12-3129.65%
2016-09-3026.33%
2016-06-3035.20%
2016-03-3131.54%
2015-12-3133.01%
2015-09-3033.90%
2015-06-3032.30%
2015-03-3129.45%
2014-12-3126.90%
2014-09-3025.10%
2014-06-3026.86%
2014-03-3118.22%
2013-12-3122.04%
2013-09-3020.90%
2013-06-3021.06%
2013-03-3114.30%
2012-12-31-84.64%
2012-09-3016.36%
2012-06-3021.10%
2012-03-3113.15%
2011-12-3149.37%
2011-09-3048.85%
2011-06-3049.25%
2011-03-3152.18%
2010-12-318.09%
2010-09-3056.92%
2010-06-3056.50%
2010-03-3153.46%
2009-12-3173.12%
2009-09-3071.08%
2009-06-3073.62%
2009-03-3171.53%
2008-12-3161.19%
2008-09-3064.16%
2008-06-3067.27%
2008-03-3170.99%
2007-12-3135.83%
2007-09-3075.39%
2007-06-3077.51%
2007-03-3136.90%
2006-12-3140.73%
2006-09-3042.53%
2006-06-3046.96%
2006-03-3138.53%
2005-12-3142.05%
2005-09-3046.91%
2005-06-3046.50%
2005-03-3142.21%
2004-12-3142.60%
2004-09-3045.52%
2004-06-3045.63%
2004-03-3139.76%
2003-12-3142.65%
2003-09-3045.46%
2003-06-3046.07%
2003-03-3139.38%
2002-12-3141.40%
2002-09-3041.12%
2002-06-3044.54%

Related Metrics

Operating MarginProfit MarginP/S RatioAll Metrics

About Southwest Airlines Co.

Southwest Airlines Co. functions as a passenger airline, offering scheduled air travel services predominantly across the United States and to select neighboring international markets. As of December 31, 2021, the company maintained a consistent fleet of 728 Boeing 737 aircraft. Its extensive route network served 121 different locations, spanning 42 U.S. states, the District of Columbia, and the Commonwealth of Puerto Rico, along with 10 international countries close by. These international destinations include Mexico, Jamaica, the Bahamas, Aruba, the Dominican Republic, Costa Rica, Belize, Cuba, the Cayman Islands, and Turks and Caicos. To enhance the passenger journey, Southwest provides in-flight entertainment and internet access on its Wi-Fi-enabled planes. The airline also runs the Rapid Rewards loyalty program, enabling members to accumulate points proportional to the money spent on Southwest's base fares. For customer convenience in travel planning, the company offers a range of digital tools, including its official websites and mobile applications, as well as SWABIZ, a dedicated online booking platform for business clients. Additional services available include EarlyBird Check-In, preferred boarding options, and transportation for pets and unaccompanied minors. The company was founded in 1967 and its corporate headquarters are situated in Dallas, Texas.

Dallas, TX
71,506 employees
www.southwest.com
Industrials / Airlines, Airports & Air Services
Sector
Industrials
Industry
Airlines, Airports & Air Services
CEO
Robert E. Jordan
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