Southwest Airlines Company (LUV)vsTerex Corporation (TEX)
LUV
Southwest Airlines Company
$51.91
+0.56%
INDUSTRIALS · Cap: $24.90B
TEX
Terex Corporation
$74.58
-3.59%
INDUSTRIALS · Cap: $8.52B
Smart Verdict
WallStSmart Research — data-driven comparison
Southwest Airlines Company generates 387% more annual revenue ($28.88B vs $5.93B). LUV leads profitability with a 2.8% profit margin vs 1.9%. LUV appears more attractively valued with a PEG of 0.35. LUV earns a higher WallStSmart Score of 66/100 (B-).
LUV
Strong Buy66
out of 100
Grade: B-
TEX
Hold50
out of 100
Grade: D+
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Earnings expanding 50.8% YoY
Revenue surging 41.1% year-over-year
Reasonable price relative to book value
Areas to Watch
Premium valuation, high expectations priced in
Grey zone — moderate risk
2.8% margin — thin
Operating margin of 4.5%
Expensive relative to growth rate
Premium valuation, high expectations priced in
ROE of 3.2% — below average capital efficiency
1.9% margin — thin
Comparative Analysis Report
WallStSmart ResearchBull Case : LUV
The strongest argument for LUV centers on PEG Ratio, EPS Growth. Revenue growth of 12.8% demonstrates continued momentum. PEG of 0.35 suggests the stock is reasonably priced for its growth.
Bull Case : TEX
The strongest argument for TEX centers on Revenue Growth, Price/Book. Revenue growth of 41.1% demonstrates continued momentum.
Bear Case : LUV
The primary concerns for LUV are P/E Ratio, Altman Z-Score, Profit Margin. Thin 2.8% margins leave little buffer for downturns.
Bear Case : TEX
The primary concerns for TEX are PEG Ratio, P/E Ratio, Return on Equity. Thin 1.9% margins leave little buffer for downturns.
Key Dynamics to Monitor
LUV profiles as a value stock while TEX is a hypergrowth play — different risk/reward profiles.
TEX carries more volatility with a beta of 1.54 — expect wider price swings.
TEX is growing revenue faster at 41.1% — sustainability is the question.
LUV generates stronger free cash flow (788M), providing more financial flexibility.
Bottom Line
LUV scores higher overall (66/100 vs 50/100) and 12.8% revenue growth. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Southwest Airlines Company
INDUSTRIALS · AIRLINES · USA
Southwest Airlines Co., typically referred to as Southwest, is one of the major airlines of the United States and the world's largest low-cost carrier airline. It is headquartered in Dallas, Texas.
Visit Website →Terex Corporation
INDUSTRIALS · FARM & HEAVY CONSTRUCTION MACHINERY · USA
Terex Corporation manufactures and sells aerial work platforms and materials processing machinery worldwide. The company is headquartered in Norwalk, Connecticut.
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