Elliott Management takes $1.9B stake in Southwest Airlines

Reported about 1 year ago

Elliott Investment Management has acquired a $1.9 billion stake in Southwest Airlines as an activist investor, signaling potential leadership changes. The firm criticizes current management for underperformance and lack of modernization, aiming for a stock turnaround with a target price of $49 within a year. Southwest, historically praised for cost efficiency, faces challenges highlighted by Elliott, such as deeper losses and operational disruptions.

Source: YAHOO

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