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SkyWest (SKYW) Ascends While Market Falls: Some Facts to Note

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SkyWest (SKYW - Free Report) ended the recent trading session at $104.10, demonstrating a +1.1% change from the preceding day's closing price. This move outpaced the S&P 500's daily loss of 0.11%. On the other hand, the Dow registered a gain of 0.91%, and the technology-centric Nasdaq decreased by 0.82%.

The regional airline's shares have seen a decrease of 0.35% over the last month, not keeping up with the Transportation sector's gain of 2.26% and the S&P 500's gain of 5.17%.

The upcoming earnings release of SkyWest will be of great interest to investors. The company is predicted to post an EPS of $2.31, indicating a 26.92% growth compared to the equivalent quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $977.68 million, reflecting a 12.75% rise from the equivalent quarter last year.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $9.28 per share and a revenue of $3.9 billion, representing changes of +19.43% and +10.51%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for SkyWest. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.

Based on our research, we believe these estimate revisions are directly related to near-term stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. SkyWest currently has a Zacks Rank of #2 (Buy).

Valuation is also important, so investors should note that SkyWest has a Forward P/E ratio of 11.1 right now. This signifies a premium in comparison to the average Forward P/E of 9.79 for its industry.

Also, we should mention that SKYW has a PEG ratio of 1.27. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Transportation - Airline industry had an average PEG ratio of 0.93 as trading concluded yesterday.

The Transportation - Airline industry is part of the Transportation sector. This group has a Zacks Industry Rank of 155, putting it in the bottom 38% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow SKYW in the coming trading sessions, be sure to utilize Zacks.com.


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