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

Updated on August 22, 2025

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

Company Profile

Symbol	IR	LUV
Company Name	Ingersoll Rand Inc.	Southwest Airlines Co.
Country	United States	United States
GICS Sector	Industrials	Industrials
GICS Industry	Machinery	Passenger Airlines
Market Capitalization	31.41 billion USD	16.38 billion USD
Exchange	NYSE	NYSE
Listing Date	May 12, 2017	January 2, 1980
Security Type	Common Stock	Common Stock

Historical Performance

This chart compares the performance of IR 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.

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

Historical Performance at a Glance

Symbol	IR	LUV
5-Day Price Return	-1.45%	1.56%
13-Week Price Return	-5.40%	-4.33%
26-Week Price Return	-14.60%	4.18%
52-Week Price Return	-13.10%	16.65%
Month-to-Date Return	-6.61%	0.81%
Year-to-Date Return	-12.62%	-7.26%
10-Day Avg. Volume	2.59M	7.38M
3-Month Avg. Volume	3.04M	11.72M
3-Month Volatility	32.90%	40.41%
Beta	1.45	1.23

Profitability

Return on Equity (TTM)

IR

5.06%

Machinery Industry

Max: 34.68%
Q3: 19.06%
Median: 13.13%
Q1: 8.53%
Min: -4.87%

IR’s Return on Equity of 5.06% is in the lower quartile for the Machinery industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.

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.

IR vs. LUV: A comparison of their Return on Equity (TTM) against their respective Machinery and Passenger Airlines industry benchmarks.

Net Profit Margin (TTM)

IR

7.04%

Machinery Industry

Max: 19.74%
Q3: 11.24%
Median: 8.13%
Q1: 5.38%
Min: -1.11%

IR’s Net Profit Margin of 7.04% is aligned with the median group of its peers in the Machinery 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.

IR vs. LUV: A comparison of their Net Profit Margin (TTM) against their respective Machinery and Passenger Airlines industry benchmarks.

Operating Profit Margin (TTM)

IR

15.07%

Machinery Industry

Max: 26.63%
Q3: 16.15%
Median: 11.27%
Q1: 7.72%
Min: -4.91%

IR’s Operating Profit Margin of 15.07% is around the midpoint for the Machinery 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.

IR vs. LUV: A comparison of their Operating Profit Margin (TTM) against their respective Machinery and Passenger Airlines industry benchmarks.

Profitability at a Glance

Symbol	IR	LUV
Return on Equity (TTM)	5.06%	4.11%
Return on Assets (TTM)	2.85%	1.20%
Net Profit Margin (TTM)	7.04%	1.43%
Operating Profit Margin (TTM)	15.07%	1.15%
Gross Profit Margin (TTM)	43.74%	73.31%

Financial Strength

Current Ratio (MRQ)

IR

2.29

Machinery Industry

Max: 3.83
Q3: 2.32
Median: 1.72
Q1: 1.28
Min: 0.78

IR’s Current Ratio of 2.29 aligns with the median group of the Machinery 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.

IR vs. LUV: A comparison of their Current Ratio (MRQ) against their respective Machinery and Passenger Airlines industry benchmarks.

Debt-to-Equity Ratio (MRQ)

IR

0.47

Machinery Industry

Max: 1.49
Q3: 0.75
Median: 0.44
Q1: 0.26
Min: 0.00

IR’s Debt-to-Equity Ratio of 0.47 is typical for the Machinery 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.

IR vs. LUV: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Machinery and Passenger Airlines industry benchmarks.

Interest Coverage Ratio (TTM)

IR

6.23

Machinery Industry

Max: 67.55
Q3: 33.79
Median: 13.87
Q1: 7.97
Min: -1.43

In the lower quartile for the Machinery industry, IR’s Interest Coverage Ratio of 6.23 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.

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.

IR vs. LUV: A comparison of their Interest Coverage Ratio (TTM) against their respective Machinery and Passenger Airlines industry benchmarks.

Financial Strength at a Glance

Symbol	IR	LUV
Current Ratio (MRQ)	2.29	0.56
Quick Ratio (MRQ)	1.63	0.45
Debt-to-Equity Ratio (MRQ)	0.47	0.51
Interest Coverage Ratio (TTM)	6.23	9.27

Growth

Revenue Growth

IR 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

IR 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)

IR

0.10%

Machinery Industry

Max: 5.32%
Q3: 2.84%
Median: 1.87%
Q1: 1.09%
Min: 0.00%

IR’s Dividend Yield of 0.10% is in the lower quartile for the Machinery industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

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.

IR vs. LUV: A comparison of their Dividend Yield (TTM) against their respective Machinery and Passenger Airlines industry benchmarks.

Dividend Payout Ratio (TTM)

IR

3.95%

Machinery Industry

Max: 202.17%
Q3: 98.65%
Median: 55.54%
Q1: 29.03%
Min: 0.00%

IR’s Dividend Payout Ratio of 3.95% is in the lower quartile for the Machinery 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.

IR vs. LUV: A comparison of their Dividend Payout Ratio (TTM) against their respective Machinery and Passenger Airlines industry benchmarks.

Dividend at a Glance

Symbol	IR	LUV
Dividend Yield (TTM)	0.10%	2.58%
Dividend Payout Ratio (TTM)	3.95%	59.15%

Valuation

Price-to-Earnings Ratio (TTM)

IR

60.90

Machinery Industry

Max: 53.66
Q3: 31.29
Median: 22.00
Q1: 16.18
Min: 7.00

At 60.90, IR’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Machinery industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

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.

IR vs. LUV: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Machinery and Passenger Airlines industry benchmarks.

Price-to-Sales Ratio (TTM)

IR

4.29

Machinery Industry

Max: 5.04
Q3: 2.72
Median: 1.67
Q1: 1.04
Min: 0.24

IR’s P/S Ratio of 4.29 is in the upper echelon for the Machinery industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

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.

IR vs. LUV: A comparison of their Price-to-Sales Ratio (TTM) against their respective Machinery and Passenger Airlines industry benchmarks.

Price-to-Book Ratio (MRQ)

IR

3.33

Machinery Industry

Max: 7.23
Q3: 3.90
Median: 2.52
Q1: 1.47
Min: 0.49

IR’s P/B Ratio of 3.33 is within the conventional range for the Machinery 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.

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.

IR vs. LUV: A comparison of their Price-to-Book Ratio (MRQ) against their respective Machinery and Passenger Airlines industry benchmarks.

Valuation at a Glance

Symbol	IR	LUV
Price-to-Earnings Ratio (TTM)	60.90	42.24
Price-to-Sales Ratio (TTM)	4.29	0.60
Price-to-Book Ratio (MRQ)	3.33	2.31
Price-to-Free Cash Flow Ratio (TTM)	24.32	44.16