The backtest results show that LUV stock recovers from its dividend drop on average within 1.1 days, with a 91% probability of recovery within 15 days after the ex-dividend date. This indicates a strong and rapid price rebound following dividend payouts, reflecting market confidence or efficient price adjustment. Investors can consider this pattern as a signal that LUV tends to regain its value quickly post-dividend, which may support short-term trading strategies around ex-dividend events.

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Backtest LUV Ex-Dividend

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