LUV Lost 12% In A Week. Past Slides Turned Into Crashes.
How did Southwest Airlines (LUV) do vs the market during past crises?
Turns out, the stock has fared much worse than the S&P 500 index during various economic downturns.
2022 Inflation Shock
- LUV stock fell 65.3% from a high of $64.10 on 6 April 2021 to $22.23 on 31 October 2023 vs. a peak-to-trough decline of 25.4% for the S&P 500.
- The stock is yet to recover to its pre-Crisis high
- The highest the stock has reached since then is $37.70 on 14 July 2025 , and currently trades at $32.52
| LUV | S&P 500 | |
|---|---|---|
| % Change from Pre-Recession Peak | -65.3% | -25.4% |
| # of Days for Full Recovery | Not Fully Recovered | 464 |
2020 Covid Pandemic
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- LUV stock fell 59.2% from a high of $58.54 on 13 February 2020 to $23.87 on 15 May 2020 vs. a peak-to-trough decline of 33.9% for the S&P 500.
- However, the stock fully recovered to its pre-Crisis peak by 24 February 2021
| LUV | S&P 500 | |
|---|---|---|
| % Change from Pre-Recession Peak | -59.2% | -33.9% |
| # of Days for Full Recovery | 285 | 148 |
2018 Correction
- LUV stock fell 33.0% from a high of $66.29 on 2 January 2018 to $44.40 on 24 December 2018 vs. a peak-to-trough decline of 19.8% for the S&P 500.
- The stock is yet to recover to its pre-Crisis high
| LUV | S&P 500 | |
|---|---|---|
| % Change from Pre-Recession Peak | -33.0% | -19.8% |
| # of Days for Full Recovery | Not Fully Recovered | 120 |
2008 Global Financial Crisis
- LUV stock fell 69.8% from a high of $16.60 on 8 August 2007 to $5.01 on 5 March 2009 vs. a peak-to-trough decline of 56.8% for the S&P 500.
- However, the stock fully recovered to its pre-Crisis peak by 24 October 2013
| LUV | S&P 500 | |
|---|---|---|
| % Change from Pre-Recession Peak | -69.8% | -56.8% |
| # of Days for Full Recovery | 1694 | 1480 |
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