SkyWest (NASDAQ:SKYW) Shares Gap Down – Here’s Why

SkyWest, Inc. (NASDAQ:SKYW) shares gapped down prior to trading on Thursday . The stock had previously closed at $103.51, but opened at $99.71. SkyWest shares last traded at $100.3080, with a volume of 4,646 shares trading hands.

Analysts Set New Price Targets

A number of equities analysts have commented on SKYW shares. The Goldman Sachs Group lowered SkyWest from a “buy” rating to a “neutral” rating and reduced their price objective for the stock from $126.00 to $115.00 in a research note on Thursday, July 2nd. TD Cowen raised their target price on SkyWest from $115.00 to $123.00 and gave the company a “buy” rating in a research note on Monday. Citigroup lifted their price target on SkyWest from $95.00 to $105.00 and gave the company a “neutral” rating in a report on Friday, June 26th. Finally, Weiss Ratings upgraded shares of SkyWest from a “hold (c)” rating to a “hold (c+)” rating in a research report on Thursday, July 16th. One analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating and four have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, SkyWest has an average rating of “Moderate Buy” and a consensus price target of $121.00.

SkyWest Stock Performance

The firm has a fifty day simple moving average of $102.12 and a 200-day simple moving average of $95.64. The company has a current ratio of 0.57, a quick ratio of 0.46 and a debt-to-equity ratio of 0.59. The stock has a market cap of $3.87 billion, a price-to-earnings ratio of 9.86, a P/E/G ratio of 1.50 and a beta of 1.46.

SkyWest (NASDAQ:SKYW) last released its earnings results on Thursday, July 23rd. The transportation company reported $2.54 EPS for the quarter, missing the consensus estimate of $2.70 by ($0.16). The firm had revenue of $1.10 billion during the quarter, compared to analyst estimates of $1.11 billion. SkyWest had a net margin of 9.78% and a return on equity of 14.58%. The firm’s quarterly revenue was up 6.5% on a year-over-year basis. During the same period last year, the business posted $2.91 earnings per share. Analysts forecast that SkyWest, Inc. will post 10.62 EPS for the current fiscal year.

SkyWest announced that its Board of Directors has approved a share buyback program on Thursday, July 23rd that permits the company to repurchase $250.00 million in shares. This repurchase authorization permits the transportation company to repurchase up to 6.6% of its stock through open market purchases. Stock repurchase programs are usually an indication that the company’s leadership believes its shares are undervalued.

Insider Transactions at SkyWest

In other SkyWest news, insider Wade J. Steel sold 22,000 shares of the company’s stock in a transaction dated Monday, August 3rd. The shares were sold at an average price of $111.44, for a total transaction of $2,451,680.00. Following the transaction, the insider directly owned 55,438 shares in the company, valued at approximately $6,178,010.72. This represents a 28.41% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, VP Greg Wooley sold 17,726 shares of the firm’s stock in a transaction dated Thursday, July 30th. The shares were sold at an average price of $108.55, for a total transaction of $1,924,157.30. Following the completion of the transaction, the vice president directly owned 53,323 shares in the company, valued at $5,788,211.65. This trade represents a 24.95% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders sold 115,226 shares of company stock valued at $12,855,192. 1.50% of the stock is owned by company insiders.

Hedge Funds Weigh In On SkyWest

Hedge funds and other institutional investors have recently bought and sold shares of the business. Caitong International Asset Management Co. Ltd grew its holdings in SkyWest by 480.0% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 261 shares of the transportation company’s stock worth $26,000 after acquiring an additional 216 shares during the period. Transamerica Financial Advisors LLC raised its position in shares of SkyWest by 273.6% during the 4th quarter. Transamerica Financial Advisors LLC now owns 269 shares of the transportation company’s stock valued at $27,000 after acquiring an additional 197 shares during the last quarter. Public Employees Retirement System of Ohio acquired a new position in shares of SkyWest in the 1st quarter valued at $26,000. Johnson Financial Group Inc. acquired a new position in shares of SkyWest in the 3rd quarter valued at $62,000. Finally, EverSource Wealth Advisors LLC boosted its position in shares of SkyWest by 118.5% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 625 shares of the transportation company’s stock worth $64,000 after purchasing an additional 339 shares during the last quarter. 81.30% of the stock is owned by institutional investors.

About SkyWest

SkyWest, Inc (NASDAQ: SKYW) is a regional airline holding company that provides air transportation services through its primary subsidiary, SkyWest Airlines. The company operates flights under capacity purchase agreements with major carriers such as United Airlines, Delta Air Lines, American Airlines and Alaska Airlines. By specializing in regional connectivity, SkyWest links smaller communities to larger hubs using a fleet of regional jets and turboprop aircraft.

Headquartered in St. George, Utah, SkyWest oversees all aspects of its airline operations, including flight scheduling, crew training and aircraft maintenance.