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Southwest Airlines faces customer backlash after major 2025 business model changes, says Bernstein.

Market News
24 Mar 2026
davit kirakosyan
View Source
Bearish
pluang ai news

Bernstein SocGen Group maintained a Market Perform rating and $45 price target on Southwest Airlines, citing customer concerns after the airline's 2025 business model changes. These changes included assigned seating, premium extra legroom options, baggage fees, and expanded partnerships, aiming to position Southwest more like premium carriers such as United and Delta. However, a survey of 221 consumers revealed less enthusiasm than expected, suggesting potential demand risks that could offset benefits from the new strategy. This customer pushback raises questions about Southwest's future outlook as it shifts away from its traditional low-cost leisure carrier image.

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