hoover

now we might be getting somewhere

WHACKMASTER

🔥👇


………

Cyio

Agreed, was actually fairly spot on.

"Wall Street analysts have continued to adjust their ratings on Southwest Airlines (NYSE:LUV) after a softer-than-expected earnings report.Today, Bernstein analysts downgraded the stock to Market Perform from Outperform with a price target of $32 per share, down from the prior $41. This marks the 4th downgrade since the EPS report and 9th since the start of 2023.

“We have lost confidence in the earnings trajectory of LUV as margin recovery is lower than expected with no clear-cut exit out of near term headwind,” the analysts said in a client note.

The company’s adjusted EPS of $1.09 missed analyst expectations by 1%, while LUV guided down on every unit metric.

“We had been expecting LUV to recover to 2019 levels of profitability with the rest of the group. That clearly isn't happening, and we don't have confidence in a near term acceleration. The company has been under accruing for labor costs and needs to keep pace with higher cost peers, despite not having the same exposure to premium revenue,” they added.

“The company has a sub-optimal fleet, which is leading to too much capacity growth and load factors that are lagging peers. Finally, the traditional network strength of Southwest (thick lines connecting a smaller number of dots on the map) is misaligned with market demand and will take some time to adapt to the new normal.”

Shares are down nearly 1% in pre-open Monday."

TXMike

Any recent stats on WN FOs leaving WN for DL/UA/AA?

I am an FO (nearing upgrade) at a AA WO and there is zero chance I am waiting for aunt "flow" to go over.

Long term QoL demands a Texas base for me so AA/WN/UA are my choices. I have a WN interview and have heard that experience is really good, no doubt they want to put a good face on the company.

I already have two WO classmates at WN. Others leaving for UA/DL, all as FOs and <1000 TSIC.

I see three options for me:

- Interview WN, if CJO'd, accept and stay WN.
- Interview WN, if CJO'd, accept and try to get to AA or UA ASAP
- Pass on WN interview and wait for UA Interview (AA won't touch me unless I leave WO basically)
- some other option I have not thought of

The WO has been great, no complaints. Just insane to miss this hiring wave for a flow.

Thanks

Grumpyaviator

A SWA company representative has openly said that pilot QOL does not benefit the company. That said, we’re machines and their MO is that if we fly until fatigue then they’ve gotten their use from us for the day. That’s the way they feel and the way we’re treated.

If you’re asking because SWA could be a stepping stone, then about 53 pilots left in July and about 15 of those were retirements.

Cyio

I would never pass on an interview or offer, you can always jump ship later. However passing removes the option and you never know when the well will dry up. With that said, having WN on the resume is almost a sure fire way to get hired anywhere else.

TXMike

I had heard there was about 1.1 FOs per day leaving WN for other opportunities. That is just mind boggling to me.

People used to line up 100s deep with self-funded type ratings in hand to get a chance at a WN job. Man how things have changed in 5 years!
I assume some of it is WN and the rest is the industry in general.

TXMike

Yup.. I am of that mindset. Sucks to know it's just another training cycle (and related risks) but that's part of the game I guess.

Flight Delay

things might also be changing pretty quick w/ age 67 coming up. Take the CJO and see if you like it. Things will get better when this contract is done.

FastNeatAvg

Maybe BOJO and GK will get the boot with this terrible stock performance.

One can wish.