SkyWest (SKYW) is scheduled to release third-quarter 2024 results on Oct. 31, after market close. Find the latest EPS estimates and surprises on Zacks Earnings Calendar. The Zacks Consensus Estimate for the to-be-reported quarter's earnings and revenues is pegged at $1.92 per share and $887.48 million, respectively. The earnings estimate for the to-be-reported quarter has remained stable in the past 60 days. The bottom-line expectation indicates year-over-year growth of 249.1%. The Zacks Consensus Estimate ...

Company Overview - SkyWest, Inc. is a regional airline operating company with a market capitalization of $3.8 billion, based in Saint George, Utah, and founded in 1972 [2] - The company operates two main businesses: SkyWest Airlines and SkyWest Leasing, providing both flight services and aircraft rentals [2] Business Operations - SkyWest Airlines is involved in passenger air transportation, while SkyWest Leasing focuses on the rental of aircraft [2] - The company has a diversified operational model that includes both flying and leasing, which may provide stability and growth opportunities [2]

Core Viewpoint - Analyst recommendations play a significant role in influencing stock prices, but their reliability is questionable, particularly for SkyWest (SKYW) [1][2]. Group 1: Analyst Recommendations - SkyWest has an average brokerage recommendation (ABR) of 1.75, indicating a consensus between Strong Buy and Buy, with 50% of recommendations as Strong Buy and 25% as Buy [1]. - Despite the positive ABR, studies suggest that brokerage recommendations often do not effectively guide investors towards stocks with the highest price increase potential [2]. Group 2: Zacks Rank vs. ABR - Zacks Rank categorizes stocks from 1 (Strong Buy) to 5 (Strong Sell) and is based on earnings estimate revisions, which correlate strongly with near-term stock price movements [3][5]. - The ABR is based solely on brokerage recommendations and may not be as timely or accurate as the Zacks Rank, which reflects real-time earnings estimate changes [4][6]. Group 3: Current Performance of SkyWest - The Zacks Consensus Estimate for SkyWest remains unchanged at $6.88, indicating steady analyst views on the company's earnings prospects [7]. - The unchanged consensus estimate has resulted in a Zacks Rank of 3 (Hold) for SkyWest, suggesting caution despite the Buy-equivalent ABR [7].

Company Performance - SkyWest's stock closed at $87.35, reflecting a +0.9% change from the previous day, outperforming the S&P 500's gain of 0.71% [1] - The stock has increased by 15.88% over the past month, significantly higher than the Transportation sector's gain of 3.49% and the S&P 500's gain of 6.41% [1] Upcoming Earnings - SkyWest is set to release its earnings report on October 31, 2024, with an anticipated EPS of $1.92, representing a 249.09% increase year-over-year [2] - The consensus estimate for quarterly revenue is $887.48 million, which is a 15.83% increase from the same period last year [2] Annual Forecast - The Zacks Consensus Estimates project earnings of $6.88 per share and revenue of $3.44 billion for the year, indicating increases of +793.51% and +17.12% respectively compared to the previous year [3] - Recent analyst estimate revisions suggest a positive outlook for SkyWest's business and profitability [3] Analyst Ratings - The Zacks Rank system, which assesses estimate changes, indicates that stocks rated 1 (Strong Buy) have historically delivered an average annual return of +25% since 1988 [5] - Currently, SkyWest holds a Zacks Rank of 3 (Hold), with no changes in the consensus EPS estimate over the past month [5] Valuation Metrics - SkyWest has a Forward P/E ratio of 12.58, which is above the industry average Forward P/E of 10.17 [6] - The Transportation - Airline industry is ranked 51 in the Zacks Industry Rank, placing it in the top 21% of over 250 industries [6]

Core Viewpoint - The average brokerage recommendation (ABR) for SkyWest (SKYW) is 1.75, indicating a consensus leaning towards a "Buy" rating, but caution is advised as brokerage recommendations may not reliably predict stock performance [2][3]. Group 1: Brokerage Recommendations - SkyWest has an ABR of 1.75, which is between "Strong Buy" and "Buy," with 50% of recommendations being "Strong Buy" and 25% being "Buy" [2]. - Brokerage analysts tend to exhibit a strong positive bias in their ratings, often issuing five "Strong Buy" recommendations for every "Strong Sell" [4][8]. - The ABR is based solely on brokerage recommendations and may not reflect the actual price movement of the stock [7][10]. Group 2: Zacks Rank vs. ABR - The Zacks Rank, which is a quantitative model based on earnings estimate revisions, is a more reliable indicator of near-term stock performance compared to the ABR [6][9]. - The Zacks Rank is updated more frequently and reflects changes in earnings estimates, making it a timely tool for predicting future price movements [10]. - SkyWest currently holds a Zacks Rank of 3 (Hold), indicating a cautious outlook despite the positive ABR [12]. Group 3: Earnings Estimates - The Zacks Consensus Estimate for SkyWest's earnings remains unchanged at $6.88 for the current year, suggesting stability in analysts' views on the company's earnings prospects [11]. - The lack of change in the consensus estimate may lead to SkyWest performing in line with the broader market in the near term [11].

SkyWest (NASDAQ: SKYW ) is the largest regional airline in the US with a fleet of 600 (475 owned) aircraft, flying scheduled passengers across and within the US, Canada and Mexico. SkyWest doesn't operate as a traditional I'm an IMC qualified contributor who's followed financial markets for 5 years and has worked professionally in primary investment research for over 2 years. I'm a generalist who enjoys researching businesses from a buttom's up angle with a deep interest in smaller under covered companies w ...

SkyWest's (SKYW) top line is boosted by the increased air travel demand. The company's proactive measures to expand its fleet are praiseworthy. However, SKYW's financial stability, challenged by escalated operating expenses and weak liquidity, is hurting the company's bottom line. Factors Favoring SKYW Upbeat air travel demand bodes well for SkyWest's prospects, boosting the company's charter revenues. Currently, SkyWest operates 16 aircraft under SkyWest Charter or SWC and anticipates strong growth in onde ...

Core Viewpoint - SkyWest is expected to report significant earnings growth in its upcoming release, with a projected EPS of $1.92, reflecting a 249.09% increase year-over-year, and revenue expected to reach $887.48 million, a 15.83% increase compared to the previous year [2]. Group 1: Stock Performance - SkyWest closed at $78.87, showing a decline of 0.94% from the previous day, underperforming the S&P 500, which gained 0.03% [1]. - Over the past month, SkyWest's shares increased by 7.7%, outperforming the Transportation sector's gain of 3.7% and the S&P 500's gain of 1.54% [1]. Group 2: Earnings Estimates - For the entire fiscal year, earnings are projected at $6.88 per share, indicating a remarkable increase of 793.51% from the previous year, with revenue expected to be $3.44 billion, reflecting a 17.12% increase [3]. - Recent analyst estimate revisions suggest optimism regarding SkyWest's business and profitability, which often correlate with short-term stock movements [4][3]. Group 3: Valuation and Industry Ranking - SkyWest is currently trading at a Forward P/E ratio of 11.57, which is higher than the industry average of 10.06, indicating a premium valuation [6]. - The Transportation - Airline industry has a Zacks Industry Rank of 186, placing it in the bottom 27% of over 250 industries, suggesting weaker performance relative to other sectors [6][7].

Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sellside) analysts often affect a stock's price, do they really matter? Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about SkyWest (SKYW) . SkyWest currently has an average brokerage recommendation ...

In the latest trading session, SkyWest (SKYW) closed at $75.41, marking a +0.76% move from the previous day. The stock outpaced the S&P 500's daily loss of 0.3%. At the same time, the Dow lost 0.54%, and the techheavy Nasdaq gained 0.25%. The the stock of regional airline has risen by 6.23% in the past month, leading the Transportation sector's gain of 3.95% and the S&P 500's gain of 3.42%. The investment community will be paying close attention to the earnings performance of SkyWest in its upcoming release ...