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Southwest Airlines Co (LTS:0L8F) 5-Year Yield-on-Cost % : 2.58 (As of May. 17, 2024)


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What is Southwest Airlines Co 5-Year Yield-on-Cost %?

Southwest Airlines Co's yield on cost for the quarter that ended in Mar. 2024 was 2.58.


The historical rank and industry rank for Southwest Airlines Co's 5-Year Yield-on-Cost % or its related term are showing as below:

LTS:0L8F' s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 0.28   Med: 0.76   Max: 3.22
Current: 2.58


During the past 13 years, Southwest Airlines Co's highest Yield on Cost was 3.22. The lowest was 0.28. And the median was 0.76.


LTS:0L8F's 5-Year Yield-on-Cost % is ranked worse than
60.64% of 625 companies
in the Transportation industry
Industry Median: 3.36 vs LTS:0L8F: 2.58

Competitive Comparison of Southwest Airlines Co's 5-Year Yield-on-Cost %

For the Airlines subindustry, Southwest Airlines Co's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Southwest Airlines Co's 5-Year Yield-on-Cost % Distribution in the Transportation Industry

For the Transportation industry and Industrials sector, Southwest Airlines Co's 5-Year Yield-on-Cost % distribution charts can be found below:

* The bar in red indicates where Southwest Airlines Co's 5-Year Yield-on-Cost % falls into.



Southwest Airlines Co 5-Year Yield-on-Cost % Calculation

Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.

Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.

Therefore, Yield-on-Cost of Southwest Airlines Co is calculated as

Yield-on-Cost=Dividend Yield %*(1+Dividend Growth Rate)^5

Southwest Airlines Co  (LTS:0L8F) 5-Year Yield-on-Cost % Explanation

Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.


Southwest Airlines Co 5-Year Yield-on-Cost % Related Terms

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Southwest Airlines Co (LTS:0L8F) Business Description

Address
P.O. Box 36611, Dallas, TX, USA, 75235-1611
Southwest Airlines is the largest domestic air carrier in the United States by passengers boarded. Southwest operates over 700 aircraft in an all-Boeing 737 fleet. Despite offering some longer routes and a few perks for business travelers, the airline predominantly specializes in short-haul, leisure flights, using a point-to-point network. Southwest operates a low-cost carrier business model.

Southwest Airlines Co (LTS:0L8F) Headlines

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