Singer’s Elliott Sells 5.3M Southwest Shares After 75% Gain
Elliott Investment Management sold 5.3 million Southwest Airlines shares, locking in gains after its stake climbed 75% above the $29.10 average buy price while retaining 45 million shares. Southwest stock has rallied 68% over the past year and carries guidance for $4 adjusted EPS in 2026 versus $0.93 in 2025.
1. Elliott Trims Position
Elliott Investment Management sold 5.3 million Southwest Airlines shares after the stake climbed about 75% above its $29.10 average cost basis, while retaining around 45 million shares, keeping Southwest as one of its highest-conviction holdings.
2. Performance and Guidance
Southwest stock has surged 68% over the past 12 months and 23% year-to-date, driven by a business model overhaul that includes assigned seating, ancillary revenue streams, and a forecast of $4.00 adjusted EPS in 2026 versus $0.93 in 2025.
3. Implications for Stock
The share sale underlines profit-taking following multiple expansion, yet analysts still see approximately 17% upside from current levels. Future performance will hinge on execution of cost-saving measures and sustained revenue growth beyond the turnaround story.