SKYWEST INC (SKYW) Stock Fundamental Analysis
USA - NASDAQ:SKYW - US8308791024 - Common Stock
96.16 USD
-2.46 (-2.49%)
SKYW gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 21 industry peers in the Passenger Airlines industry. SKYW scores excellent on profitability, but there are some minor concerns on its financial health. SKYW may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
SKYW had positive earnings in the past year.
SKYW had a positive operating cash flow in the past year.
Of the past 5 years SKYW 4 years were profitable.
Each year in the past 5 years SKYW had a positive operating cash flow.
1.2 Ratios
The Return On Assets of SKYW (5.69%) is better than 80.95% of its industry peers.
SKYW's Return On Equity of 15.80% is fine compared to the rest of the industry. SKYW outperforms 76.19% of its industry peers.
With a decent Return On Invested Capital value of 8.18%, SKYW is doing good in the industry, outperforming 76.19% of the companies in the same industry.
SKYW had an Average Return On Invested Capital over the past 3 years of 3.59%. This is significantly below the industry average of 14.30%.
The last Return On Invested Capital (8.18%) for SKYW is above the 3 year average (3.59%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.69% | ||
| ROE | 15.8% | ||
| ROIC | 8.18% |
ROA(3y)2%
ROA(5y)1.49%
ROE(3y)6.05%
ROE(5y)4.54%
ROIC(3y)3.59%
ROIC(5y)N/A
1.3 Margins
SKYW has a Profit Margin of 10.62%. This is amongst the best in the industry. SKYW outperforms 90.48% of its industry peers.
SKYW's Profit Margin has declined in the last couple of years.
The Operating Margin of SKYW (15.23%) is better than 95.24% of its industry peers.
SKYW's Operating Margin has declined in the last couple of years.
SKYW has a better Gross Margin (73.08%) than 95.24% of its industry peers.
SKYW's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.23% | ||
| PM (TTM) | 10.62% | ||
| GM | 73.08% |
OM growth 3YN/A
OM growth 5Y-4.69%
PM growth 3Y30.45%
PM growth 5Y-4.37%
GM growth 3Y7.76%
GM growth 5Y0.68%
2. Health
2.1 Basic Checks
SKYW has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, SKYW has more shares outstanding
The number of shares outstanding for SKYW has been reduced compared to 5 years ago.
The debt/assets ratio for SKYW has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.81, we must say that SKYW is in the distress zone and has some risk of bankruptcy.
SKYW has a Altman-Z score of 1.81. This is amongst the best in the industry. SKYW outperforms 80.95% of its industry peers.
The Debt to FCF ratio of SKYW is 9.85, which is on the high side as it means it would take SKYW, 9.85 years of fcf income to pay off all of its debts.
SKYW has a Debt to FCF ratio of 9.85. This is in the better half of the industry: SKYW outperforms 66.67% of its industry peers.
A Debt/Equity ratio of 0.78 indicates that SKYW is somewhat dependend on debt financing.
SKYW has a Debt to Equity ratio of 0.78. This is in the better half of the industry: SKYW outperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 9.85 | ||
| Altman-Z | 1.81 |
ROIC/WACC0.99
WACC8.29%
2.3 Liquidity
SKYW has a Current Ratio of 0.73. This is a bad value and indicates that SKYW is not financially healthy enough and could expect problems in meeting its short term obligations.
SKYW's Current ratio of 0.73 is fine compared to the rest of the industry. SKYW outperforms 76.19% of its industry peers.
A Quick Ratio of 0.63 indicates that SKYW may have some problems paying its short term obligations.
With a decent Quick ratio value of 0.63, SKYW is doing good in the industry, outperforming 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.73 | ||
| Quick Ratio | 0.63 |
3. Growth
3.1 Past
SKYW shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 131.84%, which is quite impressive.
Measured over the past 5 years, SKYW shows a small growth in Earnings Per Share. The EPS has been growing by 4.42% on average per year.
SKYW shows a strong growth in Revenue. In the last year, the Revenue has grown by 20.45%.
The Revenue has been growing slightly by 3.49% on average over the past years.
EPS 1Y (TTM)131.84%
EPS 3Y30.83%
EPS 5Y4.42%
EPS Q2Q%59.89%
Revenue 1Y (TTM)20.45%
Revenue growth 3Y9.14%
Revenue growth 5Y3.49%
Sales Q2Q%19.39%
3.2 Future
The Earnings Per Share is expected to grow by 14.97% on average over the next years. This is quite good.
SKYW is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.28% yearly.
EPS Next Y31.6%
EPS Next 2Y18.18%
EPS Next 3Y14.97%
EPS Next 5YN/A
Revenue Next Year14.88%
Revenue Next 2Y9.06%
Revenue Next 3Y7.28%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 9.78, the valuation of SKYW can be described as reasonable.
Based on the Price/Earnings ratio, SKYW is valued cheaply inside the industry as 80.95% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 27.00. SKYW is valued rather cheaply when compared to this.
SKYW is valuated reasonably with a Price/Forward Earnings ratio of 8.86.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SKYW indicates a somewhat cheap valuation: SKYW is cheaper than 66.67% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.87, SKYW is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.78 | ||
| Fwd PE | 8.86 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SKYW is valued a bit cheaper than the industry average as 61.90% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SKYW is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.32 | ||
| EV/EBITDA | 5.24 |
4.3 Compensation for Growth
SKYW's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of SKYW may justify a higher PE ratio.
A more expensive valuation may be justified as SKYW's earnings are expected to grow with 14.97% in the coming years.
PEG (NY)0.31
PEG (5Y)2.21
EPS Next 2Y18.18%
EPS Next 3Y14.97%
5. Dividend
5.1 Amount
No dividends for SKYW!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:SKYW (10/29/2025, 3:46:06 PM)
96.16
-2.46 (-2.49%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryPassenger Airlines
Earnings (Last)
Earnings (Next)
Inst Owners92.54%
Inst Owner Change0.01%
Ins Owners0.85%
Ins Owner Change-9.21%
Market Cap3.88B
Revenue(TTM)3.84B
Net Income(TTM)407.91M
Analysts81.82
Price Target134.44 (39.81%)
Short Float %2.84%
Short Ratio3.43
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)17.97%
Min EPS beat(2)16.19%
Max EPS beat(2)19.75%
EPS beat(4)4
Avg EPS beat(4)18.53%
Min EPS beat(4)10.29%
Max EPS beat(4)27.88%
EPS beat(8)8
Avg EPS beat(8)36.93%
EPS beat(12)11
Avg EPS beat(12)-57.69%
EPS beat(16)15
Avg EPS beat(16)226.14%
Revenue beat(2)1
Avg Revenue beat(2)0.97%
Min Revenue beat(2)-1.48%
Max Revenue beat(2)3.42%
Revenue beat(4)3
Avg Revenue beat(4)0.93%
Min Revenue beat(4)-1.48%
Max Revenue beat(4)3.42%
Revenue beat(8)4
Avg Revenue beat(8)0.19%
Revenue beat(12)5
Avg Revenue beat(12)-0.68%
Revenue beat(16)9
Avg Revenue beat(16)0.92%
PT rev (1m)0%
PT rev (3m)9.29%
EPS NQ rev (1m)0%
EPS NQ rev (3m)3.78%
EPS NY rev (1m)0%
EPS NY rev (3m)6.68%
Revenue NQ rev (1m)-0.1%
Revenue NQ rev (3m)3.65%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)3.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.78 | ||
| Fwd PE | 8.86 | ||
| P/S | 1.01 | ||
| P/FCF | 15.32 | ||
| P/OCF | 4.87 | ||
| P/B | 1.5 | ||
| P/tB | 1.5 | ||
| EV/EBITDA | 5.24 |
EPS(TTM)9.83
EY10.22%
EPS(NY)10.85
Fwd EY11.29%
FCF(TTM)6.28
FCFY6.53%
OCF(TTM)19.75
OCFY20.54%
SpS95.12
BVpS63.95
TBVpS63.95
PEG (NY)0.31
PEG (5Y)2.21
Graham Number118.93
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.69% | ||
| ROE | 15.8% | ||
| ROCE | 10.23% | ||
| ROIC | 8.18% | ||
| ROICexc | 9.38% | ||
| ROICexgc | 9.38% | ||
| OM | 15.23% | ||
| PM (TTM) | 10.62% | ||
| GM | 73.08% | ||
| FCFM | 6.6% |
ROA(3y)2%
ROA(5y)1.49%
ROE(3y)6.05%
ROE(5y)4.54%
ROIC(3y)3.59%
ROIC(5y)N/A
ROICexc(3y)4.66%
ROICexc(5y)N/A
ROICexgc(3y)4.66%
ROICexgc(5y)N/A
ROCE(3y)4.49%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5Y2.35%
ROICexc growth 3YN/A
ROICexc growth 5Y2.35%
OM growth 3YN/A
OM growth 5Y-4.69%
PM growth 3Y30.45%
PM growth 5Y-4.37%
GM growth 3Y7.76%
GM growth 5Y0.68%
F-Score8
Asset Turnover0.54
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 9.85 | ||
| Debt/EBITDA | 2.07 | ||
| Cap/Depr | 141.75% | ||
| Cap/Sales | 14.17% | ||
| Interest Coverage | 5.41 | ||
| Cash Conversion | 82.32% | ||
| Profit Quality | 62.13% | ||
| Current Ratio | 0.73 | ||
| Quick Ratio | 0.63 | ||
| Altman-Z | 1.81 |
F-Score8
WACC8.29%
ROIC/WACC0.99
Cap/Depr(3y)113.69%
Cap/Depr(5y)118.03%
Cap/Sales(3y)14.27%
Cap/Sales(5y)17.79%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)131.84%
EPS 3Y30.83%
EPS 5Y4.42%
EPS Q2Q%59.89%
EPS Next Y31.6%
EPS Next 2Y18.18%
EPS Next 3Y14.97%
EPS Next 5YN/A
Revenue 1Y (TTM)20.45%
Revenue growth 3Y9.14%
Revenue growth 5Y3.49%
Sales Q2Q%19.39%
Revenue Next Year14.88%
Revenue Next 2Y9.06%
Revenue Next 3Y7.28%
Revenue Next 5YN/A
EBIT growth 1Y97.6%
EBIT growth 3YN/A
EBIT growth 5Y-1.36%
EBIT Next Year110.3%
EBIT Next 3Y33.14%
EBIT Next 5YN/A
FCF growth 1Y96%
FCF growth 3Y34.28%
FCF growth 5Y125.11%
OCF growth 1Y33.35%
OCF growth 3Y-5.93%
OCF growth 5Y-0.8%
SKYWEST INC / SKYW FAQ
What is the fundamental rating for SKYW stock?
ChartMill assigns a fundamental rating of 6 / 10 to SKYW.
Can you provide the valuation status for SKYWEST INC?
ChartMill assigns a valuation rating of 7 / 10 to SKYWEST INC (SKYW). This can be considered as Undervalued.
Can you provide the profitability details for SKYWEST INC?
SKYWEST INC (SKYW) has a profitability rating of 7 / 10.
What are the PE and PB ratios of SKYWEST INC (SKYW) stock?
The Price/Earnings (PE) ratio for SKYWEST INC (SKYW) is 9.78 and the Price/Book (PB) ratio is 1.5.
What is the earnings growth outlook for SKYWEST INC?
The Earnings per Share (EPS) of SKYWEST INC (SKYW) is expected to grow by 31.6% in the next year.