Southwest Airlines Unusual Options Activity

Investors with a lot of money to spend have taken a bullish stance on Southwest Airlines LUV.

And retail traders should know.

We noticed this today when the trades showed up on publicly available options history that we track here at Benzinga.

Whether these are institutions or just wealthy individuals, we don't know. But when something this big happens with LUV, it often means somebody knows something is about to happen.

So how do we know what these investors just did?

Today, Benzinga's options scanner spotted 11 uncommon options trades for Southwest Airlines.

This isn't normal.

The overall sentiment of these big-money traders is split between 36% bullish and 36%, bearish.

Out of all of the special options we uncovered, 4 are puts, for a total amount of $875,915, and 7 are calls, for a total amount of $893,677.

Expected Price Movements

Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $22.5 to $32.5 for Southwest Airlines over the recent three months.

Volume & Open Interest Development

Looking at the volume and open interest is an insightful way to conduct due diligence on a stock.

This data can help you track the liquidity and interest for Southwest Airlines's options for a given strike price.

Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of Southwest Airlines's whale activity within a strike price range from $22.5 to $32.5 in the last 30 days.

Southwest Airlines Call and Put Volume: 30-Day Overview

Biggest Options Spotted:

About Southwest Airlines

Southwest Airlines is the largest domestic air carrier in the United States by passengers boarded. Southwest operates nearly 800 aircraft in an all-Boeing 737 fleet. Despite offering some longer routes and a few perks for business travelers, the airline predominantly specializes in short-haul, leisure flights operated in a single, open-seating cabin configuration in a point-to-point network. In late 2025, Southwest will modify its cabins to offer some seats with extra legroom and will update its ticketing process to offer assigned seats.

Having examined the options trading patterns of Southwest Airlines, our attention now turns directly to the company. This shift allows us to delve into its present market position and performance

Current Position of Southwest Airlines

• With a volume of 8,107,029, the price of LUV is up 1.33% at $30.5.
• RSI indicators hint that the underlying stock may be approaching overbought.
• Next earnings are expected to be released in 42 days.

What Analysts Are Saying About Southwest Airlines

In the last month, 1 experts released ratings on this stock with an average target price of $25.0.

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20-year pro options trader reveals his one-line chart technique that shows when to buy and sell. Copy his trades, which have had averaged a 27% profit every 20 days. Click here for access. * Reflecting concerns, an analyst from JP Morgan lowers its rating to Underweight with a new price target of $25.

Trading options involves greater risks but also offers the potential for higher profits. Savvy traders mitigate these risks through ongoing education, strategic trade adjustments, utilizing various indicators, and staying attuned to market dynamics. Keep up with the latest options trades for Southwest Airlines with Benzinga Pro for real-time alerts.