CNH Industrial N.V. (CNH)vsSouthwest Airlines Company (LUV)
CNH
CNH Industrial N.V.
$13.58
+0.59%
INDUSTRIALS · Cap: $23.16B
LUV
Southwest Airlines Company
$39.24
+1.42%
INDUSTRIALS · Cap: $18.92B
Smart Verdict
WallStSmart Research — data-driven comparison
Southwest Airlines Company generates 65% more annual revenue ($30.07B vs $18.19B). LUV leads profitability with a 2.8% profit margin vs 1.7%. LUV appears more attractively valued with a PEG of 0.19. LUV earns a higher WallStSmart Score of 66/100 (B-).
CNH
Hold49
out of 100
Grade: D+
LUV
Strong Buy66
out of 100
Grade: B-
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Reasonable price relative to book value
Growing faster than its price suggests
Reasonable price relative to book value
16.4% revenue growth
Earnings expanding 20.5% YoY
Areas to Watch
2.0% revenue growth
Distress zone — elevated risk
ROE of 4.0% — below average capital efficiency
1.7% margin — thin
Grey zone — moderate risk
2.8% margin — thin
Operating margin of 3.4%
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : CNH
The strongest argument for CNH centers on PEG Ratio, Price/Book. PEG of 0.38 suggests the stock is reasonably priced for its growth.
Bull Case : LUV
The strongest argument for LUV centers on PEG Ratio, Price/Book, Revenue Growth. Revenue growth of 16.4% demonstrates continued momentum. PEG of 0.19 suggests the stock is reasonably priced for its growth.
Bear Case : CNH
The primary concerns for CNH are Revenue Growth, Altman Z-Score, Return on Equity. A P/E of 57.6x leaves little room for execution misses. Debt-to-equity of 3.39 is elevated, increasing financial risk.
Bear Case : LUV
The primary concerns for LUV are Altman Z-Score, Profit Margin, Operating Margin. Thin 2.8% margins leave little buffer for downturns.
Key Dynamics to Monitor
CNH profiles as a value stock while LUV is a growth play — different risk/reward profiles.
CNH carries more volatility with a beta of 1.24 — expect wider price swings.
LUV is growing revenue faster at 16.4% — sustainability is the question.
CNH generates stronger free cash flow (-128M), providing more financial flexibility.
Bottom Line
LUV scores higher overall (66/100 vs 49/100) and 16.4% revenue growth. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
CNH Industrial N.V.
INDUSTRIALS · FARM & HEAVY CONSTRUCTION MACHINERY · USA
CNH Industrial N.V., an equipment and services company, engages in the design, production, marketing, sale, and financing of agricultural and construction equipment in North America, Europe, the Middle East, Africa, South America, and the Asia Pacific. The company is headquartered in Basildon, the United Kingdom.
Southwest Airlines Company
INDUSTRIALS · AIRLINES · USA
Southwest Airlines Co., typically referred to as Southwest, is one of the major airlines of the United States and the world's largest low-cost carrier airline. It is headquartered in Dallas, Texas.
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