Group 1: Momentum Investing Overview - Momentum investing involves following a stock's recent trend, with the aim of buying high and selling higher, capitalizing on established price movements [1] - The Zacks Momentum Style Score helps define momentum characteristics, with SkyWest (SKYW) currently holding a Momentum Style Score of B [2] - Style Scores complement the Zacks Rank, which has a strong track record of outperforming the market; SkyWest has a Zacks Rank of 2 (Buy) [3] Group 2: SkyWest Performance Metrics - SkyWest shares have increased by 3.14% over the past week, outperforming the Zacks Transportation - Airline industry, which rose by 2.62% [5] - Over the past quarter, SkyWest shares have risen by 0.72%, and over the last year, they are up 34.03%, while the S&P 500 has moved -2.55% and 11.45%, respectively [6] - The average 20-day trading volume for SkyWest is 325,085 shares, indicating a bullish sign if the stock is rising with above-average volume [7] Group 3: Earnings Outlook - In the past two months, three earnings estimates for SkyWest have increased, raising the consensus estimate from $9.01 to $9.28 [9] - For the next fiscal year, two estimates have moved upwards with no downward revisions during the same period [9] Group 4: Conclusion - Given the positive performance metrics and earnings outlook, SkyWest is positioned as a 2 (Buy) stock with a Momentum Score of B, making it a potential pick for near-term gains [11]

Company Overview - SkyWest (SKYW) is currently ranked 2 (Buy) in the Zacks Rank system, indicating a positive outlook based on earnings estimates and revisions [3] - The Zacks Consensus Estimate for SKYW's full-year earnings has increased by 3.1% over the past quarter, reflecting improving analyst sentiment [3] Performance Analysis - Year-to-date, SkyWest has returned approximately 0.5%, outperforming the average loss of 5.7% in the Transportation sector [4] - In comparison, Westinghouse Air Brake Technologies (WAB) has returned 8% since the beginning of the year, also outperforming the sector [4] - Within the Transportation - Airline industry, which includes 29 stocks, SkyWest is performing better than the average loss of 9% this year [5] Industry Context - The Transportation sector consists of 124 individual stocks, with SkyWest being one of them, and the sector is currently ranked 15 in the Zacks Sector Rank [2] - The Transportation - Equipment and Leasing industry, which includes Westinghouse Air Brake Technologies, is ranked 68 and has seen a year-to-date increase of 5.5% [6]

Core Viewpoint - SkyWest (SKYW) is experiencing strong demand and operational efficiency, enhancing its prospects and share performance, making it an attractive investment opportunity [1] Upsides for SkyWest - Earnings estimates for SkyWest have been revised upward by 3.14% for the current quarter and by 3% for 2025, indicating broker confidence in the stock [2] - The company's shares have increased by 33.9% over the past year, outperforming the Zacks Transportation – Airline industry's growth of 14.9% [3] - SkyWest has a positive earnings surprise history, exceeding the Zacks Consensus Estimate in the last four quarters with an average surprise of 17.3% [4] - The company holds a solid Zacks Rank of 2 (Buy) [4] Growth Factors - SkyWest is set to operate a total of 278 E175 aircraft by the end of 2026, with 16 additional units scheduled for delivery, highlighting the E175's importance in its fleet strategy [5] - In Q1 2025, SkyWest reported a 21.5% increase in total block hours, a 19.1% rise in departures, and a 13.6% increase in passengers carried, demonstrating strong demand [6] - The airline maintained a 99.9% adjusted flight completion rate and improved raw flight completion to 98.2%, reflecting operational reliability [6] Financial Position - SkyWest increased its share repurchase plan by $250 million in May 2025, raising total authorization to $272 million [7] - In Q1 2025, the company repurchased 141,000 shares for $13.7 million at an average price of $97.27 per share, up from 47,000 shares in Q4 2024 [9] - As of March 31, 2025, SkyWest had $34 million remaining under its current share repurchase program [9]

Core Viewpoint - SkyWest (SKYW) has shown strong stock performance recently, with a +21.5% return over the past month, outperforming the S&P 500 composite's +9.9% and the Zacks Transportation - Airline industry's +21.8% [1] Earnings Estimate Revisions - SkyWest is expected to post earnings of $2.30 per share for the current quarter, reflecting a year-over-year increase of +26.4% [4] - The consensus earnings estimate for the current fiscal year is $9.28, indicating a +19.4% change from the previous year [4] - For the next fiscal year, the consensus estimate is $9.89, showing a +6.6% increase from the prior year [5] - The Zacks Rank for SkyWest is 2 (Buy), indicating a positive outlook based on recent changes in earnings estimates [6] Projected Revenue Growth - The consensus sales estimate for the current quarter is $977.68 million, representing a year-over-year increase of +12.8% [10] - For the current fiscal year, the revenue estimate is $3.9 billion, indicating a +10.5% change, while the next fiscal year's estimate is $4.06 billion, reflecting a +4.2% change [10] Last Reported Results and Surprise History - SkyWest reported revenues of $948.46 million in the last quarter, a year-over-year increase of +18% [11] - The EPS for the same period was $2.42, compared to $1.45 a year ago, with a surprise of +18.63% over the consensus estimate [11][12] Valuation - SkyWest is graded A on the Zacks Value Style Score, indicating it is trading at a discount compared to its peers [16]

Group 1 - SkyWest (SKYW) has reached a significant support level and is considered a good investment pick from a technical perspective, having recently broken through the 200-day moving average, indicating a long-term bullish trend [1] - Over the past four weeks, SKYW has gained 7.5%, and it is currently ranked a Zacks Rank 2 (Buy), suggesting potential for further upward movement [2] - Positive earnings estimate revisions support the bullish case for SKYW, with no estimates decreasing in the past two months and three estimates increasing, alongside a rise in the consensus estimate [3]

Group 1 - SkyWest (NASDAQ: SKYW) is highlighted as a notable company in the aviation sector, particularly in the context of current economic uncertainties [1] - The management of SkyWest has a proven track record, suggesting potential resilience in navigating industry challenges [1] Group 2 - Crude Value Insights focuses on cash flow and companies in the oil and natural gas sector, emphasizing value and growth prospects [1] - The service offers subscribers access to a stock model account, detailed cash flow analyses of exploration and production firms, and live discussions about the sector [2]

Core Viewpoint - SkyWest (SKYW) has been upgraded to a Zacks Rank 2 (Buy), indicating a positive trend in earnings estimates which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Performance - The Zacks rating system emphasizes the correlation between changes in earnings estimates and stock price movements, particularly influenced by institutional investors [4]. - For SkyWest, the increase in earnings estimates suggests an improvement in the company's underlying business, likely leading to a rise in stock price [5]. Earnings Estimate Revisions - SkyWest is projected to earn $9.28 per share for the fiscal year ending December 2025, reflecting a year-over-year increase of 19.4% [8]. - Over the past three months, the Zacks Consensus Estimate for SkyWest has risen by 10.9%, indicating a positive trend in analyst expectations [8]. Zacks Rank System - The Zacks Rank system classifies stocks based on earnings estimate revisions, with only the top 20% of stocks receiving a 'Strong Buy' or 'Buy' rating, highlighting their potential for market-beating returns [9][10]. - SkyWest's upgrade to Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, suggesting a favorable outlook for near-term stock performance [10].

Core Viewpoint - SkyWest (SKYW) shows potential for significant upside, with a mean price target of $116.60 indicating a 31.7% increase from the current price of $88.52 [1] Price Targets - The mean estimate consists of five short-term price targets with a standard deviation of $10.74, suggesting variability among analysts [2] - The lowest estimate of $100 indicates a 13% increase, while the highest estimate predicts a 43.5% surge to $127 [2] - A low standard deviation indicates a high degree of agreement among analysts regarding price movement [9] Analyst Sentiment - Analysts are optimistic about SkyWest's earnings prospects, as indicated by upward revisions in EPS estimates [11] - Over the last 30 days, the Zacks Consensus Estimate for the current year has increased by 3.1%, with three estimates moving higher and no negative revisions [12] - SkyWest holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimates [13] Limitations of Price Targets - Price targets can mislead investors, as empirical research shows they rarely indicate actual stock price movements [7] - Analysts may set overly optimistic price targets due to business incentives, which can inflate expectations [8] - While price targets should not be ignored, they should be approached with skepticism and not be the sole basis for investment decisions [10]

Core Insights - Zacks Premium offers various tools for investors to enhance their stock market engagement and confidence [1] - The Zacks Style Scores provide a framework for evaluating stocks based on value, growth, and momentum, aiding in identifying securities likely to outperform the market [2] Zacks Style Scores Overview - Stocks are rated from A to F based on their value, growth, and momentum characteristics, with A indicating the highest potential for outperformance [3] - The Style Scores are categorized into four types: Value Score, Growth Score, Momentum Score, and VGM Score [3][4][5][6] Value Score - The Value Style Score focuses on identifying undervalued stocks by analyzing financial ratios such as P/E, PEG, Price/Sales, and Price/Cash Flow [3] Growth Score - The Growth Style Score assesses a company's future growth potential by examining projected and historical earnings, sales, and cash flow [4] Momentum Score - The Momentum Style Score identifies optimal entry points for stocks based on price trends and earnings estimate changes [5] VGM Score - The VGM Score combines the three Style Scores to highlight stocks with the best overall value, growth, and momentum characteristics [6] Zacks Rank Integration - The Zacks Rank utilizes earnings estimate revisions to simplify stock selection, with 1 (Strong Buy) stocks historically yielding an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [7][8] - To maximize returns, investors should focus on stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B [9] Stock Highlight: SkyWest (SKYW) - SkyWest operates as a regional airline in the U.S. and currently holds a Zacks Rank of 3 (Hold) with a VGM Score of A [11] - The company is projected to achieve year-over-year earnings growth of 17.9% for the current fiscal year, supported by a Growth Style Score of B [11] - Recent analyst revisions have increased the Zacks Consensus Estimate for fiscal 2025 by $0.15 to $9.16 per share, with an average earnings surprise of 17.1% [12]

Core Insights - SkyWest, Inc. reported better-than-expected first-quarter 2025 results with earnings per share (EPS) of $2.42, surpassing the Zacks Consensus Estimate of $2.04 and improving 66% year-over-year. Revenues reached $948.5 million, exceeding the estimate of $931.4 million and increasing 18% year-over-year [1]. Revenue Performance - Revenues from flying agreements, which contributed 96.5% to total revenues, grew 17.6% from the prior year's figure of $915.99 million. The airline carried 13.6% more passengers year-over-year, and departures increased by 19.1% year-over-year. However, the passenger load factor decreased by 2.2 points to 78.6% [2]. Management Commentary - Chip Childs, CEO of SkyWest, emphasized the solid demand for their services despite uncertain macroeconomic factors. The company is focused on enhancing value for partners, improving service to smaller communities, and investing in fleet upgrades for long-term growth. A multi-year contract extension with Delta Air Lines for five CRJ700 and 11 CRJ900 aircraft was also announced [3]. Operating Expenses - Operating expenses totaled $809 million, reflecting a 15% increase from the previous year, primarily due to higher maintenance costs for the CRJ fleet and increased flight production, partially offset by operational efficiencies from better fleet utilization [4]. Financial Position - As of the end of the first quarter, SkyWest had cash and marketable securities amounting to $750.88 million, down from $801.62 million in the prior quarter. Long-term debt decreased to $2.07 billion from $2.14 billion [5]. Share Repurchase and Capital Expenditures - During the first quarter of 2025, SkyWest repurchased 141,000 shares for $13.7 million under its share repurchase program, with $34 million remaining available. Capital expenditures for the quarter were $73 million, which included the purchase of four CRJ550 aircraft and other fixed assets [6].