In the latest trading session, SkyWest (SKYW) closed at $102.35, marking a -2.05% move from the previous day. This change lagged the S&P 500's 0.46% gain on the day. On the other hand, the Dow registered a gain of 0.17%, and the technology-centric Nasdaq increased by 0.57%.
Coming into today, shares of the regional airline had gained 8.63% in the past month. In that same time, the Transportation sector gained 9.63%, while the S&P 500 gained 4.22%.
The upcoming earnings release of SkyWest will be of great interest to investors. The company's upcoming EPS is projected at $2.25, signifying a 3.85% drop compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $986.87 million, up 4.5% from the year-ago period.
For the full year, the Zacks Consensus Estimates project earnings of $10.09 per share and a revenue of $4.02 billion, demonstrating changes of +29.86% and +13.97%, respectively, from the preceding year.
It is also important to note the recent changes to analyst estimates for SkyWest. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 2.38% lower. SkyWest is currently a Zacks Rank #3 (Hold).
From a valuation perspective, SkyWest is currently exchanging hands at a Forward P/E ratio of 10.36. This valuation marks a discount compared to its industry average Forward P/E of 12.37.
We can also see that SKYW currently has a PEG ratio of 0.79. 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. As the market closed yesterday, the Transportation - Airline industry was having an average PEG ratio of 0.87.
The Transportation - Airline industry is part of the Transportation sector. Currently, this industry holds a Zacks Industry Rank of 154, positioning it in the bottom 38% of all 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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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SkyWest, Inc. (SKYW): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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