Southwest Airlines Trading Volume Surges 208.85% to $1.474 Billion, Ranked 54th Despite 11.16% Stock Price Decline

On July 24, 2025, Southwest Airlines (LUV) experienced a significant increase in trading volume, with a turnover of $1.474 billion, marking a 208.85% rise from the previous day. This surge placed the company at the 54th position in terms of trading volume for the day. However, despite the high trading volume, the stock price of Southwest Airlines declined by 11.16%.

Southwest Airlines reported its second-quarter 2025 financial results, highlighting a net income of $213 million, or $0.39 per share. The airline has been restructuring its business model, eliminating blanket policies such as two free checked bags for all customers and transitioning from open seating to assigned seats and new boarding orders. These changes, announced on Monday, have impacted the sales of basic economy fares, which initially suffered after the launch of restrictive new fares in May. Although sales have since returned to expected levels, the changes have affected unit revenue in the second quarter by half a point and are expected to impact unit revenue by about a point in the third quarter.

The airline's second-quarter earnings were $230 million, or 43 cents per share, after adjusting for one-time items, representing a 38% decrease from the previous year. Passenger revenue per seat mile was $14.10, slightly below the expected $14.19. Additionally, Southwest announced a new $2 billion share buyback program. The second quarter saw passenger revenues decrease by 1.3% year-over-year to $6.6 billion, while operating revenues dipped 1.5% to $7.2 billion. The adjusted profit per share for the quarter was 43 cents, falling short of analysts' average expectations of 51 cents. The airline's earnings per share of 39 cents also missed the consensus estimate of 51 cents. The second quarter was ultimately a disappointment, with adjusted earnings of 43 cents per share on $7.2 billion in revenue falling short of consensus expectations.