Core Viewpoint - SkyWest (SKYW) has shown a downtrend recently, losing 7.9% over the past two weeks, but a hammer chart pattern suggests a potential trend reversal as buying interest may be emerging [1] Group 1: Technical Analysis - The formation of a hammer chart pattern indicates a possible bottoming out, suggesting that selling pressure may be subsiding [1] - A hammer pattern occurs when a stock opens lower, makes a new low, but then closes near or above its opening price, signaling a potential loss of control by bears [2] - Hammer candles can appear on various timeframes and should be used alongside other bullish indicators for confirmation [2] Group 2: Fundamental Analysis - There has been a positive trend in earnings estimate revisions for SkyWest, which is a bullish indicator, as it typically leads to price appreciation [3] - Over the last 30 days, the consensus EPS estimate for the current year has increased by 0%, indicating analysts expect better earnings than previously predicted [3] - SkyWest holds a Zacks Rank of 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks, suggesting strong potential for outperformance [3]

Transportation Sector Overview - The Zacks Transportation sector includes airlines, railroads, package delivery companies, and truckers, showcasing its diversified nature [2] - Most sector participants have performed well in 2024 due to multiple tailwinds, with expectations of continued strong performance in 2025 [3] Key Tailwinds in 2024 - Airline stocks benefited from improved air-travel demand post-pandemic and normalized economic activities, with record-breaking traffic during Thanksgiving and higher summer passenger volumes [4] - E-commerce demand remained strong, benefiting packaging companies, while transportation companies improved their financial health [5] - Many companies increased dividends, providing a steady income source and cushion against market uncertainty [6] - Companies cut costs to combat weak demand from high inflation, and declining oil prices positively impacted transportation companies' bottom lines [7] 2025 Projections - The International Air Transport Association (IATA) projects global passenger counts to exceed 5 billion in 2025, indicating continued growth for airlines [8] - Transportation stocks like Wabtec Corp, United Airlines Holdings, Southwest Airlines, SkyWest, and ZIM Integrated Shipping Services are expected to perform well in 2025 [9] Company Highlights Wabtec Corp (WAB) - Wabtec offers technology-based locomotives and services for the freight rail and passenger transit industries, with a strong balance sheet and shareholder-friendly stance [10] - Expected earnings growth rate of 13.60% for 2025, with a 4.1% improvement in Zacks Consensus Estimate over the past 90 days [11] - Market capitalization of $34.87 billion and Zacks Rank 2 [11] United Airlines Holdings (UAL) - United Airlines benefits from strong air travel demand and new routes, with an environment-friendly approach [12] - Expected earnings growth rate of 14.15% for 2025, with a 5.8% improvement in Zacks Consensus Estimate over the past 90 days [13] - Market capitalization of $31.75 billion and Zacks Rank 2 [13] Southwest Airlines (LUV) - Southwest Airlines anticipates a 3.5%-5.5% year-over-year increase in Q4 2024 unit revenues, driven by healthy travel demand [14] - Expected earnings growth rate of 110.13% for 2025, with a 21.7% improvement in Zacks Consensus Estimate over the past 90 days [15] - Market capitalization of $20.06 billion and Zacks Rank 1 [15] SkyWest (SKYW) - SkyWest focuses on fleet modernization and has agreements with major airlines like United Airlines and Alaska Airlines [16] - Expected earnings growth rate of 16.6% for 2025, with a 7.1% improvement in Zacks Consensus Estimate over the past 90 days [17] - Market capitalization of $4.31 billion and Zacks Rank 1 [17] ZIM Integrated Shipping Services (ZIM) - ZIM provides container shipping services internationally, with a Zacks Consensus Estimate for 2025 earnings improving over 100% in the past 90 days [18] - Market capitalization of $2.45 billion and Zacks Rank 1 [18]

Core Viewpoint - The article emphasizes the importance of value investing and highlights SkyWest (SKYW) as a strong candidate for value investors due to its favorable valuation metrics and strong earnings outlook [2][4][7]. Valuation Metrics - SkyWest (SKYW) has a Zacks Rank of 1 (Strong Buy) and an A grade for Value, indicating it is a strong value stock [4]. - The Forward P/E ratio for SKYW is 12.83, significantly lower than the industry average of 16.93, with a 52-week range of 9.16 to 104.60 [4]. - The PEG ratio for SKYW is 0.89, compared to the industry average of 1.08, suggesting it is undervalued relative to its expected earnings growth [5]. - The P/B ratio for SKYW is 1.85, which is attractive compared to the industry average of 4.83, with a 52-week range of 0.93 to 2.01 [6]. Earnings Outlook - The combination of SKYW's strong valuation metrics and positive earnings outlook positions it as an impressive value stock currently [7].

SkyWest, Inc. (SKYW) has been benefiting from flying contract rate increases, fleet modernization techniques and consistent shareholder-friendly initiatives. The positive sentiment surrounding SKYW stock is evident from the fact that the Zacks Consensus Estimate for the fourth quarter of 2024 and full-year 2024 earnings has been revised upward in the past 90 days. Image Source: Zacks Investment ResearchThe Zacks Consensus Estimate for the fourth quarter and full-year 2024 earnings per share indicates more t ...

When deciding whether to buy, sell, or hold a stock, investors often rely on analyst recommendations. Media reports about rating changes by these brokerage-firm-employed (or sell-side) analysts often influence a stock's price, but are they really important?Let's take a look at what these Wall Street heavyweights have to say about SkyWest (SKYW) before we discuss the reliability of brokerage recommendations and how to use them to your advantage.SkyWest currently has an average brokerage recommendation (ABR) ...

Shares of United Airlines (UAL) have performed exceedingly well on the bourse so far this year. Shares of this Chicago-based company have skyrocketed 133.5% year to date, outperforming its industry’s 36.9% growth.YTD Price Comparison Image Source: Zacks Investment Research Given this excellent price performance, let us delve deep to unearth the reasons behind this and also find out if there is further scope for upside.Improvement in air travel demand following the end of the pandemic bodes well for United A ...

SkyWest, Inc. (SKYW) performed well in the past year and has the potential to sustain the momentum in the future. If you have not taken advantage of its share price appreciation yet, it’s time to do so.Let’s take a look at the factors that make the stock a strong investment pick at the moment.An Outperformer: A glimpse at the company’s price trend reveals that its shares have surged 112.3% so far this year outperforming the industry’s 34.8% growth.Image Source: Zacks Investment ResearchSolid Rank & VGM Scor ...

Momentum investing is all about the idea of following a stock's recent trend, which can be in either direction. In the 'long' context, investors will essentially be "buying high, but hoping to sell even higher." And for investors following this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving in that direction. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.Whil ...

SkyWest (SKYW) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.Over the past month, shares of this regional airline have returned +16%, compared to the Zacks S&P 500 composite's -0.5% change. During this period, the Zacks Transportation - Airline industry, which SkyWest falls in, has lost 1.3%. The key question now is: What could be the stock's future direction?While media releases or ...

Core Insights - SkyWest, Inc. (SKYW) stock increased by 6.4% following its third-quarter 2024 earnings release on October 31, 2024, driven by better-than-expected results in both earnings and revenues [1][2] Financial Performance - Quarterly earnings per share (EPS) reached $2.16, exceeding the Zacks Consensus Estimate of $1.92 and showing over 100% improvement year-over-year [1] - Revenues totaled $912.8 million, surpassing the Zacks Consensus Estimate of $887.5 million, and increased by 19.1% year-over-year due to rising flying contract rates [2][3] - Revenues from flying agreements, which accounted for 96.7% of total revenues, grew 19.1% from the previous year's figure of $883.49 million [3] Operational Metrics - The airline carried 10.3% more passengers year-over-year, with departures increasing by 11.8% [3] - The passenger load factor decreased by 1.4 points to 83.7% [3] Strategic Developments - SkyWest announced a multi-year contract with United Airlines (UAL) to place 40 CRJ550s, which includes purchasing 11 used CRJ550s and converting 29 CRJ700s to CRJ550s [4] - By the end of 2026, SkyWest plans to operate 278 E175 aircraft [4] Cost and Capital Management - Operating expenses rose to $781.35 million, an increase of 8.9% from the previous year, attributed to higher flight production [4] - As of the end of the third quarter, the company had cash and marketable securities of $836.04 million, slightly up from $834.26 million in the prior quarter [5] - Long-term debt decreased to $2.19 billion from $2.28 billion at the end of the previous quarter [5] Shareholder Returns - During the third quarter, SkyWest repurchased 217,000 shares for $16.3 million, with $53 million remaining under its current share repurchase program [6] Market Position - SkyWest holds a Zacks Rank 1 (Strong Buy), indicating a favorable outlook in the market [7]