SkyWest (SKYW) Stock Sinks As Market Gains: Here's Why

SkyWest (SKYW) closed the most recent trading day at $88.07, moving -1.2% from the previous trading session. The stock trailed the S&P 500, which registered a daily gain of 0.55%. Elsewhere, the Dow saw an upswing of 0.52%, while the tech-heavy Nasdaq appreciated by 0.7%.Heading into today, shares of the regional airline had lost 23.27% over the past month, lagging the Transportation sector's loss of 5.34% and the S&P 500's loss of 5.56% in that time.Investors will be eagerly watching for the performance of SkyWest in its upcoming earnings disclosure. The company is forecasted to report an EPS of $2.01, showcasing a 38.62% upward movement from the corresponding quarter of the prior year. In the meantime, our current consensus estimate forecasts the revenue to be $926.38 million, indicating a 15.28% growth compared to the corresponding quarter of the prior year.For the full year, the Zacks Consensus Estimates are projecting earnings of $9.01 per share and revenue of $3.82 billion, which would represent changes of +15.96% and +8.21%, respectively, from the prior year.It is also important to note the recent changes to analyst estimates for SkyWest. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Currently, SkyWest is carrying a Zacks Rank of #1 (Strong Buy).With respect to valuation, SkyWest is currently being traded at a Forward P/E ratio of 9.9. This signifies a premium in comparison to the average Forward P/E of 8.58 for its industry.It's also important to note that SKYW currently trades at a PEG ratio of 1.13. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Transportation - Airline was holding an average PEG ratio of 0.68 at yesterday's closing price.The Transportation - Airline industry is part of the Transportation sector. At present, this industry carries a Zacks Industry Rank of 31, placing it within the top 13% of over 250 industries.The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.Just Released: Zacks Top 10 Stocks for 2025Hurry – you can still get in early on our 10 top tickers for 2025. Handpicked by Zacks Director of Research Sheraz Mian, this portfolio has been stunningly and consistently successful. From inception in 2012 through November, 2024, the Zacks Top 10 Stocks gained +2,112.6%, more than QUADRUPLING the S&P 500’s +475.6%. Sheraz has combed through 4,400 companies covered by the Zacks Rank and handpicked the best 10 to buy and hold in 2025. You can still be among the first to see these just-released stocks with enormous potential. See New Top 10 Stocks >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report SkyWest, Inc. (SKYW): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks