Southwest Airlines Co. (NYSE:LUV), a $30.07 billion market cap company, is a major passenger airline that provides scheduled air transportation in the U.S. The firm operates in almost 100 destinations across the U.S. Since 1967, Southwest Airlines has expanded inside and outside the U.S. For example, the acquisition of AirTran is a case of international expansion.
Southwest Airlines is one of the largest domestic airlines company in the U.S. The company has a low-cost structure that helped the firm’s earnings generation. Also, Southwest Airlines has some other advantages by maximizing aircraft utilization and employee productivity. This arrangement allowed the company to generate operating profits for more than four decades in an airline industry that has seen multiple bankruptcies. Continue Reading »