UBS Upgrades Southwest Airlines (LUV) to Buy, Raises Target by $22

Southwest Airlines Co. (NYSE:LUV) is one of the 10 Best Stocks to Buy According to Elliott Investment Management.

On February 17, 2026, UBS upgraded Southwest Airlines Co. (NYSE:LUV)’s ratings from Neutral to Buy and raised the price target on the stock from $51 to $73. The firm anticipates that Southwest Airlines Co. (NYSE:LUV) will exceed its initial targets for its assigned seating and extra-legroom programs. Based on its base-case analysis, UBS expects these initiatives, alongside checked bag fees, to generate $4.25 to $4.50 in incremental earnings per share by fiscal 2027.

In another development, on February 11, 2026, Southwest Airlines Co. (NYSE:LUV) announced plans to integrate SpaceX’s Starlink into its fleet and offer next-generation Wi-Fi across its network in 11 countries. The company’s Executive Vice President, Chief Customer & Brand Officer, Tony Roach, made the following statement.

Starlink delivers that at-home experience in the air, giving Customers the ability to stream their favorite shows from any platform, watch live sports, download music, play games, work, and connect with loved ones from takeoff to landing.

As part of this plan, Starlink-equipped aircraft are scheduled to enter service this summer. The carrier aims to expand this high-speed internet connectivity to over 300 aircraft by the end of 2026.

Founded in 1967, Southwest Airlines Co. (NYSE:LUV) is a major U.S. carrier that pioneered the low-cost, point-to-point model. The company’s headquarters is in Texas.

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