Quantitative strategies, Wall Street-caliber research, and insightful market analysis since 1998.

Indicators

Southwest shares jump after activist Elliott buys $2B stake

By: FOX Business

June 10, 2024 at 11:03 AM EDT

Elliott Investment Management on Monday told Southwest it should make leadership changes and take other actions, arguing the carrier needed to improve its financial performance.

Southwest Airlines shares jumped on Monday after activist investor Elliott Investment Management took a $2 billion stake in the carrier.

Elliott, in a letter sent to Southwest's board on Monday, called on the airline to make leadership changes and take other actions, arguing the carrier needed to improve its financial performance.

CLICK HERE TO READ MORE ON FOX BUSINESS

In the letter, Elliott executives said Southwest should remake its board with "new, truly independent directors" and hire new leadership from outside the company. It also urged the carrier to form a committee to "evaluate all available opportunities to rapidly restore the Company’s performance to best-in-class standards."

The airline’s shares posted a nearly 7% increase in the morning as investors reacted to Elliott’s investment. The activist investor’s stake was first reported by The Wall Street Journal.

SOUTHWEST CEO SAYS AIRLINE MULLING CHANGES TO ITS OPEN SEATING POLICY

FOX Business reached out to Southwest for comment.

GET FOX BUSINESS ON THE GO BY CLICKING HERE

Data & News supplied by www.cloudquote.io
Stock quotes supplied by Barchart
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.

DISCLAIMER

All content herein is issued solely for informational purposes and is not to be construed as an offer to sell or the solicitation of an offer to buy, nor should it be interpreted as a recommendation to buy, hold or sell (short or otherwise) any security. All opinions, analyses, and information included herein are based on sources believed to be reliable, but no representation or warranty of any kind, expressed or implied, is made including but not limited to any representation or warranty concerning accuracy, completeness, correctness, timeliness or appropriateness. We undertake no obligation to update such opinions, analysis or information. You should independently verify all information contained on this website. Some information is based on analysis of past performance or hypothetical performance results, which have inherent limitations. We make no representation that any particular equity or strategy will or is likely to achieve profits or losses similar to those shown. Shareholders, employees, writers, contractors, and affiliates associated with ETFOptimize.com may have ownership positions in the securities that are mentioned. If you are not sure if ETFs, algorithmic investing, or a particular investment is right for you, you are urged to consult with a Registered Investment Advisor (RIA). Neither this website nor anyone associated with producing its content are Registered Investment Advisors, and no attempt is made herein to substitute for personalized, professional investment advice. Neither ETFOptimize.com, Global Alpha Investments, Inc., nor its employees, service providers, associates, or affiliates are responsible for any investment losses you may incur as a result of using the information provided herein. Remember that past investment returns may not be indicative of future returns.
Copyright © 1998-2017 ETFOptimize.com, a publication of Optimized Investments, Inc. All rights reserved.