FER vs. LUV: A Head-to-Head Stock Comparison

Updated on August 22, 2025

Here’s a clear look at FER and LUV, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

Symbol	FER	LUV
Company Name	Ferrovial SE	Southwest Airlines Co.
Country	Netherlands	United States
GICS Sector	Industrials	Industrials
GICS Industry	Construction & Engineering	Passenger Airlines
Market Capitalization	40.01 billion USD	16.38 billion USD
Exchange	NasdaqGS	NYSE
Listing Date	August 13, 2012	January 2, 1980
Security Type	Common Stock	Common Stock

Historical Performance

This chart compares the performance of FER and LUV by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

FER vs. LUV: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

Symbol	FER	LUV
5-Day Price Return	3.47%	1.56%
13-Week Price Return	1.44%	-4.33%
26-Week Price Return	10.01%	4.18%
52-Week Price Return	28.63%	16.65%
Month-to-Date Return	4.97%	0.81%
Year-to-Date Return	16.08%	-7.26%
10-Day Avg. Volume	0.53M	7.38M
3-Month Avg. Volume	0.67M	11.72M
3-Month Volatility	13.03%	40.41%
Beta	0.91	1.23

Profitability

Return on Equity (TTM)

FER

56.21%

Construction & Engineering Industry

Max: 29.61%
Q3: 17.18%
Median: 10.42%
Q1: 8.10%
Min: -0.10%

FER’s Return on Equity of 56.21% is exceptionally high, placing it well beyond the typical range for the Construction & Engineering industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

LUV

4.11%

Passenger Airlines Industry

Max: 49.96%
Q3: 28.15%
Median: 15.41%
Q1: 8.29%
Min: -11.01%

LUV’s Return on Equity of 4.11% is in the lower quartile for the Passenger Airlines industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.

FER vs. LUV: A comparison of their Return on Equity (TTM) against their respective Construction & Engineering and Passenger Airlines industry benchmarks.

Net Profit Margin (TTM)

FER

35.99%

Construction & Engineering Industry

Max: 11.14%
Q3: 6.17%
Median: 3.85%
Q1: 2.40%
Min: -0.05%

FER’s Net Profit Margin of 35.99% is exceptionally high, placing it well beyond the typical range for the Construction & Engineering industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

LUV

1.43%

Passenger Airlines Industry

Max: 17.65%
Q3: 8.90%
Median: 5.80%
Q1: 2.02%
Min: -3.12%

Falling into the lower quartile for the Passenger Airlines industry, LUV’s Net Profit Margin of 1.43% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

FER vs. LUV: A comparison of their Net Profit Margin (TTM) against their respective Construction & Engineering and Passenger Airlines industry benchmarks.

Operating Profit Margin (TTM)

FER

34.91%

Construction & Engineering Industry

Max: 17.56%
Q3: 9.36%
Median: 5.46%
Q1: 3.47%
Min: -1.93%

FER’s Operating Profit Margin of 34.91% is exceptionally high, placing it well above the typical range for the Construction & Engineering industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.

LUV

1.15%

Passenger Airlines Industry

Max: 22.47%
Q3: 12.33%
Median: 8.62%
Q1: 4.43%
Min: -2.88%

LUV’s Operating Profit Margin of 1.15% is in the lower quartile for the Passenger Airlines industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

FER vs. LUV: A comparison of their Operating Profit Margin (TTM) against their respective Construction & Engineering and Passenger Airlines industry benchmarks.

Profitability at a Glance

Symbol	FER	LUV
Return on Equity (TTM)	56.21%	4.11%
Return on Assets (TTM)	12.11%	1.20%
Net Profit Margin (TTM)	35.99%	1.43%
Operating Profit Margin (TTM)	34.91%	1.15%
Gross Profit Margin (TTM)	87.83%	73.31%

Financial Strength

Current Ratio (MRQ)

FER

0.94

Construction & Engineering Industry

Max: 1.98
Q3: 1.53
Median: 1.24
Q1: 1.05
Min: 0.66

FER’s Current Ratio of 0.94 falls into the lower quartile for the Construction & Engineering industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

LUV

0.56

Passenger Airlines Industry

Max: 1.46
Q3: 0.94
Median: 0.76
Q1: 0.54
Min: 0.17

LUV’s Current Ratio of 0.56 aligns with the median group of the Passenger Airlines industry, indicating that its short-term liquidity is in line with its sector peers.

FER vs. LUV: A comparison of their Current Ratio (MRQ) against their respective Construction & Engineering and Passenger Airlines industry benchmarks.

Debt-to-Equity Ratio (MRQ)

FER

1.95

Construction & Engineering Industry

Max: 2.49
Q3: 1.19
Median: 0.63
Q1: 0.29
Min: 0.00

FER’s leverage is in the upper quartile of the Construction & Engineering industry, with a Debt-to-Equity Ratio of 1.95. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

LUV

0.51

Passenger Airlines Industry

Max: 9.80
Q3: 4.82
Median: 1.30
Q1: 0.89
Min: 0.00

Falling into the lower quartile for the Passenger Airlines industry, LUV’s Debt-to-Equity Ratio of 0.51 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

FER vs. LUV: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Construction & Engineering and Passenger Airlines industry benchmarks.

Interest Coverage Ratio (TTM)

FER

9.20

Construction & Engineering Industry

Max: 23.59
Q3: 14.49
Median: 8.20
Q1: 5.26
Min: -6.49

FER’s Interest Coverage Ratio of 9.20 is positioned comfortably within the norm for the Construction & Engineering industry, indicating a standard and healthy capacity to cover its interest payments.

LUV

9.27

Passenger Airlines Industry

Max: 22.60
Q3: 16.29
Median: 6.75
Q1: 1.94
Min: -8.55

LUV’s Interest Coverage Ratio of 9.27 is positioned comfortably within the norm for the Passenger Airlines industry, indicating a standard and healthy capacity to cover its interest payments.

FER vs. LUV: A comparison of their Interest Coverage Ratio (TTM) against their respective Construction & Engineering and Passenger Airlines industry benchmarks.

Financial Strength at a Glance

Symbol	FER	LUV
Current Ratio (MRQ)	0.94	0.56
Quick Ratio (MRQ)	0.86	0.45
Debt-to-Equity Ratio (MRQ)	1.95	0.51
Interest Coverage Ratio (TTM)	9.20	9.27

Growth

Revenue Growth

FER vs. LUV: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

FER vs. LUV: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

FER

0.36%

Construction & Engineering Industry

Max: 6.28%
Q3: 3.25%
Median: 2.02%
Q1: 0.23%
Min: 0.00%

FER’s Dividend Yield of 0.36% is consistent with its peers in the Construction & Engineering industry, providing a dividend return that is standard for its sector.

LUV

2.58%

Passenger Airlines Industry

Max: 6.71%
Q3: 3.95%
Median: 1.10%
Q1: 0.00%
Min: 0.00%

LUV’s Dividend Yield of 2.58% is consistent with its peers in the Passenger Airlines industry, providing a dividend return that is standard for its sector.

FER vs. LUV: A comparison of their Dividend Yield (TTM) against their respective Construction & Engineering and Passenger Airlines industry benchmarks.

Dividend Payout Ratio (TTM)

FER

3.63%

Construction & Engineering Industry

Max: 139.17%
Q3: 69.47%
Median: 40.99%
Q1: 10.51%
Min: 0.00%

FER’s Dividend Payout Ratio of 3.63% is in the lower quartile for the Construction & Engineering industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

LUV

59.15%

Passenger Airlines Industry

Max: 71.59%
Q3: 38.54%
Median: 8.16%
Q1: 0.00%
Min: 0.00%

LUV’s Dividend Payout Ratio of 59.15% is in the upper quartile for the Passenger Airlines industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

FER vs. LUV: A comparison of their Dividend Payout Ratio (TTM) against their respective Construction & Engineering and Passenger Airlines industry benchmarks.

Dividend at a Glance

Symbol	FER	LUV
Dividend Yield (TTM)	0.36%	2.58%
Dividend Payout Ratio (TTM)	3.63%	59.15%

Valuation

Price-to-Earnings Ratio (TTM)

FER

10.03

Construction & Engineering Industry

Max: 36.96
Q3: 24.81
Median: 15.45
Q1: 12.51
Min: 2.74

In the lower quartile for the Construction & Engineering industry, FER’s P/E Ratio of 10.03 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

LUV

42.24

Passenger Airlines Industry

Max: 13.29
Q3: 11.94
Median: 8.78
Q1: 7.42
Min: 3.07

At 42.24, LUV’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Passenger Airlines industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

FER vs. LUV: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Construction & Engineering and Passenger Airlines industry benchmarks.

Price-to-Sales Ratio (TTM)

FER

3.61

Construction & Engineering Industry

Max: 3.22
Q3: 1.63
Median: 0.61
Q1: 0.48
Min: 0.11

With a P/S Ratio of 3.61, FER trades at a valuation that eclipses even the highest in the Construction & Engineering industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

LUV

0.60

Passenger Airlines Industry

Max: 1.09
Q3: 0.74
Median: 0.61
Q1: 0.44
Min: 0.09

LUV’s P/S Ratio of 0.60 aligns with the market consensus for the Passenger Airlines industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

FER vs. LUV: A comparison of their Price-to-Sales Ratio (TTM) against their respective Construction & Engineering and Passenger Airlines industry benchmarks.

Price-to-Book Ratio (MRQ)

FER

5.63

Construction & Engineering Industry

Max: 5.74
Q3: 3.33
Median: 1.49
Q1: 1.20
Min: 0.23

FER’s P/B Ratio of 5.63 is in the upper tier for the Construction & Engineering industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

LUV

2.31

Passenger Airlines Industry

Max: 3.44
Q3: 2.89
Median: 1.84
Q1: 1.22
Min: 0.56

LUV’s P/B Ratio of 2.31 is within the conventional range for the Passenger Airlines industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

FER vs. LUV: A comparison of their Price-to-Book Ratio (MRQ) against their respective Construction & Engineering and Passenger Airlines industry benchmarks.

Valuation at a Glance

Symbol	FER	LUV
Price-to-Earnings Ratio (TTM)	10.03	42.24
Price-to-Sales Ratio (TTM)	3.61	0.60
Price-to-Book Ratio (MRQ)	5.63	2.31
Price-to-Free Cash Flow Ratio (TTM)	29.43	44.16