Southwest Airlines Co. vs AAON, Inc.
LUV wins the Tale of the Tape 5–4.
🏆 Tale of the Tape
Green = winner in each category. Higher is better except P/E (lower = cheaper).
Rolling Correlation
Low correlation — excellent diversification pair.
Fundamentals
| Metric | LUV | AAON |
|---|---|---|
| Market Cap | $23.5B | $9.1B |
| P/E Ratio | 32.9x | 80.2x |
| Forward P/E | 9.9x | 32.6x |
| P/B | 3.42x | 9.76x |
| Dividend Yield | 1.46% | 0.35% |
| Beta | 1.12 | 1.41 |
Quantitative Metrics
| Metric | LUV | AAON |
|---|---|---|
| DCF Fair Value | — | — |
| DCF Upside | — | — |
| Piotroski F | 7/9 | 2/9 |
| Altman Z | 2.28 | — |
| Beneish M | -2.65 | -1.64 |
| FCF Yield | -3.34% | — |
| Net Debt/EBITDA | 0.6x | 1.8x |
| ROIC | 2.9% | 8.5% |
| WACC | 10.4% | — |
| ROIC – WACC | -7.5pp | — |
| Gross Margin | 17.4% | 26.8% |
| Net Margin | 1.6% | 7.5% |
| Rev Growth YoY | 2.1% | 20.1% |
| Sharpe (1Y) | 0.70 | — |
| Max Drawdown 3Y | — | — |
| FCF Payout Ratio | — | — |
LUV Price
AAON Price
ETF Exposure
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Quant metrics computed from financial statements and 1,200+ trading days. Correlation is Pearson coefficient on daily log returns. Not investment advice.
LUV vs AAON: Head-to-Head Analysis
Southwest Airlines Co. (LUV) and AAON, Inc. (AAON) represent two companies in the Industrials sector. In our quantitative Tale of the Tape scoring, LUV leads 5–4 across nine fundamental and risk metrics including profitability, valuation, capital efficiency, and financial health.
In terms of capital efficiency, LUV generates a return on invested capital (ROIC) of 2.9% compared to AAON's 8.5%. This suggests AAON is more effective at deploying capital to generate shareholder returns.
The 252-day rolling correlation between LUV and AAON is 0.282, indicating low correlation, making them an effective diversification pair in a portfolio context.
LUV appears in 30 ETFs tracked by SecuritiesDB, while AAON appears in 11 ETFs. Investors holding broad-market ETFs may already have indirect exposure to both stocks.
Frequently Asked Questions
Which stock is the better investment, LUV or AAON?
Our quantitative analysis compares LUV and AAON across nine fundamental dimensions. LUV wins the Tale of the Tape 5–4. However, stock selection depends on your individual risk tolerance, time horizon, and portfolio context. These metrics are computed from SEC filings and market data — they are not investment recommendations.
Are LUV and AAON correlated?
The 252-day correlation between LUV and AAON is 0.282. They have low correlation, offering good diversification.
How is the Tale of the Tape scored?
The Tale of the Tape compares both stocks across nine categories: profitability (net margin), valuation (P/E), efficiency (ROIC), health (Piotroski F-Score), safety (Altman Z-Score), growth (revenue YoY), risk (Sharpe ratio), leverage (debt-to-equity), and cash generation (FCF yield). The stock that wins more categories takes the overall score. Lower P/E and lower debt-to-equity count as wins.