Southwest Airlines Co (LUV US, +1, 03-Oct-24)

Rakesh Gangwal (Director since July 2024) purchased $107 million worth of stock from September 30th to October 1st at an average price of $29.64. While new to the board it is encouraging to see him make such a large investment. He has extensive experience in the industry, including being the co-founder of India’s largest airline, IndiGo, director of InterGlobe Aviation, and CEO of US Airways Group. Note: at the end of August he sold 30% of his stake in InterGlobe Aviation, raising US$ 1.3 billion. 

Gary Kelly (Exec Chair since 2022, CEO 2004-2022, joined 1986) despite retiring in May 2025 bought $1 million worth of stock at $29.52, increasing his stake by 4%. It is only his 2nd purchase and a reversal from a sale in 2018 at $58. His only previous buy was for $1 million at $35.58 in August 2016, which proved to be timely. 

These large purchases show confidence and support to current CEO Robert Jordan (CEO since 2022, joined 1988) and recent management and board changes, amid ongoing pressure from Elliott Investment Management. 

We are ranking stock +1 (strongly positive).