FERG vs. LUV: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at FERG and LUV, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | FERG | LUV |
|---|---|---|
| Company Name | Ferguson Enterprises Inc. | Southwest Airlines Co. |
| Country | United States | United States |
| GICS Sector | Industrials | Industrials |
| GICS Industry | Trading Companies & Distributors | Passenger Airlines |
| Market Capitalization | 46.13 billion USD | 16.27 billion USD |
| Exchange | NYSE | NYSE |
| Listing Date | January 5, 2010 | January 2, 1980 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of FERG 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.
Historical Performance at a Glance
| Symbol | FERG | LUV |
|---|---|---|
| 5-Day Price Return | 2.27% | 4.77% |
| 13-Week Price Return | 30.15% | -0.96% |
| 26-Week Price Return | 26.10% | -0.39% |
| 52-Week Price Return | 17.38% | 22.03% |
| Month-to-Date Return | 2.92% | 0.13% |
| Year-to-Date Return | 32.43% | -7.88% |
| 10-Day Avg. Volume | 1.02M | 9.27M |
| 3-Month Avg. Volume | 1.61M | 12.50M |
| 3-Month Volatility | 38.72% | 40.35% |
| Beta | 1.11 | 1.23 |
Profitability
Return on Equity (TTM)
FERG
28.84%
Trading Companies & Distributors Industry
- Max
- 32.33%
- Q3
- 19.92%
- Median
- 14.05%
- Q1
- 11.46%
- Min
- 0.91%
In the upper quartile for the Trading Companies & Distributors industry, FERG’s Return on Equity of 28.84% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
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.
Net Profit Margin (TTM)
FERG
5.32%
Trading Companies & Distributors Industry
- Max
- 17.73%
- Q3
- 10.81%
- Median
- 6.13%
- Q1
- 4.33%
- Min
- 2.09%
FERG’s Net Profit Margin of 5.32% is aligned with the median group of its peers in the Trading Companies & Distributors industry. This indicates its ability to convert revenue into profit is typical for the sector.
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.
Operating Profit Margin (TTM)
FERG
8.25%
Trading Companies & Distributors Industry
- Max
- 25.50%
- Q3
- 15.13%
- Median
- 7.46%
- Q1
- 5.44%
- Min
- 3.55%
FERG’s Operating Profit Margin of 8.25% is around the midpoint for the Trading Companies & Distributors industry, indicating that its efficiency in managing core business operations is typical for the sector.
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.
Profitability at a Glance
| Symbol | FERG | LUV |
|---|---|---|
| Return on Equity (TTM) | 28.84% | 4.11% |
| Return on Assets (TTM) | 9.56% | 1.20% |
| Net Profit Margin (TTM) | 5.32% | 1.43% |
| Operating Profit Margin (TTM) | 8.25% | 1.15% |
| Gross Profit Margin (TTM) | 30.46% | 73.31% |
Financial Strength
Current Ratio (MRQ)
FERG
1.64
Trading Companies & Distributors Industry
- Max
- 2.82
- Q3
- 2.13
- Median
- 1.60
- Q1
- 1.43
- Min
- 0.46
FERG’s Current Ratio of 1.64 aligns with the median group of the Trading Companies & Distributors industry, indicating that its short-term liquidity is in line with its sector peers.
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.
Debt-to-Equity Ratio (MRQ)
FERG
0.74
Trading Companies & Distributors Industry
- Max
- 1.88
- Q3
- 1.18
- Median
- 0.74
- Q1
- 0.54
- Min
- 0.00
FERG’s Debt-to-Equity Ratio of 0.74 is typical for the Trading Companies & Distributors industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
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.
Interest Coverage Ratio (TTM)
FERG
14.77
Trading Companies & Distributors Industry
- Max
- 15.13
- Q3
- 7.93
- Median
- 5.75
- Q1
- 2.70
- Min
- -1.67
FERG’s Interest Coverage Ratio of 14.77 is in the upper quartile for the Trading Companies & Distributors industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.
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.
Financial Strength at a Glance
| Symbol | FERG | LUV |
|---|---|---|
| Current Ratio (MRQ) | 1.64 | 0.56 |
| Quick Ratio (MRQ) | 0.72 | 0.45 |
| Debt-to-Equity Ratio (MRQ) | 0.74 | 0.51 |
| Interest Coverage Ratio (TTM) | 14.77 | 9.27 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
FERG
1.43%
Trading Companies & Distributors Industry
- Max
- 4.99%
- Q3
- 3.04%
- Median
- 1.94%
- Q1
- 1.22%
- Min
- 0.00%
FERG’s Dividend Yield of 1.43% is consistent with its peers in the Trading Companies & Distributors industry, providing a dividend return that is standard for its sector.
LUV
2.65%
Passenger Airlines Industry
- Max
- 6.71%
- Q3
- 3.95%
- Median
- 1.10%
- Q1
- 0.00%
- Min
- 0.00%
LUV’s Dividend Yield of 2.65% is consistent with its peers in the Passenger Airlines industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio (TTM)
FERG
56.55%
Trading Companies & Distributors Industry
- Max
- 95.14%
- Q3
- 62.08%
- Median
- 51.17%
- Q1
- 26.24%
- Min
- 0.00%
FERG’s Dividend Payout Ratio of 56.55% is within the typical range for the Trading Companies & Distributors industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
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.
Dividend at a Glance
| Symbol | FERG | LUV |
|---|---|---|
| Dividend Yield (TTM) | 1.43% | 2.65% |
| Dividend Payout Ratio (TTM) | 56.55% | 59.15% |
Valuation
Price-to-Earnings Ratio (TTM)
FERG
28.04
Trading Companies & Distributors Industry
- Max
- 48.55
- Q3
- 26.73
- Median
- 17.17
- Q1
- 10.78
- Min
- 1.62
A P/E Ratio of 28.04 places FERG in the upper quartile for the Trading Companies & Distributors industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.
LUV
41.16
Passenger Airlines Industry
- Max
- 13.29
- Q3
- 11.94
- Median
- 8.78
- Q1
- 7.42
- Min
- 3.07
At 41.16, 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.
Price-to-Sales Ratio (TTM)
FERG
1.49
Trading Companies & Distributors Industry
- Max
- 4.88
- Q3
- 2.56
- Median
- 1.02
- Q1
- 0.60
- Min
- 0.29
FERG’s P/S Ratio of 1.49 aligns with the market consensus for the Trading Companies & Distributors industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
LUV
0.59
Passenger Airlines Industry
- Max
- 1.09
- Q3
- 0.74
- Median
- 0.61
- Q1
- 0.44
- Min
- 0.09
LUV’s P/S Ratio of 0.59 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.
Price-to-Book Ratio (MRQ)
FERG
6.10
Trading Companies & Distributors Industry
- Max
- 8.77
- Q3
- 4.33
- Median
- 2.00
- Q1
- 1.11
- Min
- 0.35
FERG’s P/B Ratio of 6.10 is in the upper tier for the Trading Companies & Distributors 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.
Valuation at a Glance
| Symbol | FERG | LUV |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 28.04 | 41.16 |
| Price-to-Sales Ratio (TTM) | 1.49 | 0.59 |
| Price-to-Book Ratio (MRQ) | 6.10 | 2.31 |
| Price-to-Free Cash Flow Ratio (TTM) | 32.44 | 43.02 |