SkyWest (NASDAQ:SKYW) Stock Moved Down to "Hold" by Deutsche Bank Aktiengesellschaft

Key Points

• Deutsche Bank downgraded SkyWest to “Hold” from “Buy and set a $105 price target, implying 8.76% upside from the prior close.
• Analyst sentiment is mixed but leans cautious: SkyWest has an average “Hold” rating and a consensus price target of $111.40, following rating or target-price reductions from Goldman Sachs and TD Cowen.
• SkyWest reported third-quarter EPS of $3.08, slightly exceeding estimates, while revenue rose 6.4% year over year to $1.12 billion but fell short of forecasts. The company also authorized a $250 million share-repurchase program.

SkyWest (NASDAQ:SKYW - Get Free Report) was downgraded by Deutsche Bank Aktiengesellschaft from a "buy" rating to a "hold" rating in a research report issued on Friday, Briefing.com reports. They presently have a $105.00 target price on the transportation company's stock. Deutsche Bank Aktiengesellschaft's price target points to a potential upside of 8.76% from the company's previous close.

A number of other analysts have also recently commented on the company. The Goldman Sachs Group cut SkyWest from a "buy" rating to a "neutral" rating and dropped their price target for the stock from $126.00 to $115.00 in a research report on Thursday, July 2nd. Weiss Ratings upgraded shares of SkyWest from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Thursday. TD Cowen cut their price objective on SkyWest from $123.00 to $116.00 and set a "buy" rating for the company in a research note on Friday, October 2nd. Finally, Cantor Fitzgerald set a $116.00 target price on SkyWest in a research note on Friday, October 2nd. Two research analysts have rated the stock with a Buy rating and four have given a Hold rating to the company's stock. Based on data from MarketBeat, the company has an average rating of "Hold" and a consensus price target of $111.40.

SkyWest Price Performance

NASDAQ:SKYW opened at $96.54 on Friday. The company has a debt-to-equity ratio of 0.59, a quick ratio of 0.46 and a current ratio of 0.57. SkyWest has a 52-week low of $77.89 and a 52-week high of $117.72. The firm has a market capitalization of $3.75 billion, a price-to-earnings ratio of 9.60, a P/E/G ratio of 1.38 and a beta of 1.47. The stock has a fifty day moving average of $96.83 and a 200 day moving average of $96.21.

SkyWest (NASDAQ:SKYW - Get Free Report) last released its earnings results on Thursday, October 29th. The transportation company reported $3.08 EPS for the quarter, beating the consensus estimate of $3.07 by $0.01. The company had revenue of $1.12 billion for the quarter, compared to analyst estimates of $1.14 billion. SkyWest had a net margin of 9.78% and a return on equity of 14.58%. The firm's quarterly revenue was up 6.4% compared to the same quarter last year. During the same quarter last year, the firm earned $2.81 EPS. On average, research analysts expect that SkyWest will post 10.58 EPS for the current fiscal year.

SkyWest declared that its board has approved a share repurchase program on Thursday, July 23rd that permits the company to repurchase $250 million in shares. This buyback authorization permits the transportation company to reacquire up to 6.6% of its stock through open market purchases. Share buyback programs are often a sign that the company's leadership believes its stock is undervalued.

Insider Transactions at SkyWest

In other SkyWest news, insider Wade Steel sold 22,000 shares of the company's stock in a transaction on Monday, August 3rd. The stock was sold at an average price of $111.44, for a total value of $2,451,680.00. Following the transaction, the insider owned 55,438 shares of the company's stock, valued at $6,178,010.72. This represents a 28.41% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. 1.50% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the stock. Vise Technologies Inc. lifted its position in shares of SkyWest by 48.4% in the 3rd quarter. Vise Technologies Inc. now owns 3,507 shares of the transportation company's stock worth $340,000 after purchasing an additional 1,143 shares during the period. Summit Global Investments increased its holdings in SkyWest by 13.9% during the third quarter. Summit Global Investments now owns 13,444 shares of the transportation company's stock valued at $1,303,000 after buying an additional 1,642 shares during the period. State of Wyoming increased its holdings in SkyWest by 25.8% during the third quarter. State of Wyoming now owns 2,114 shares of the transportation company's stock valued at $205,000 after buying an additional 434 shares during the period. Soltis Investment Advisors LLC raised its stake in SkyWest by 0.5% in the third quarter. Soltis Investment Advisors LLC now owns 21,539 shares of the transportation company's stock worth $2,088,000 after buying an additional 107 shares in the last quarter. Finally, Choreo LLC boosted its position in SkyWest by 11.3% during the 3rd quarter. Choreo LLC now owns 2,901 shares of the transportation company's stock valued at $281,000 after acquiring an additional 294 shares in the last quarter. 81.30% of the stock is currently owned by institutional investors.

Key Headlines Impacting SkyWest

Here are the key news stories impacting SkyWest this week:

• Positive Sentiment: Profitability improved. Third-quarter EPS rose to $3.08 from $2.81 a year earlier, while net income reached approximately $120 million. EPS narrowly exceeded the roughly $3.07 FactSet consensus estimate. SkyWest Third-Quarter Earnings Results
• Positive Sentiment: Management’s outlook supports the earnings case. SkyWest expects 2026 EPS of approximately $10.60 and is targeting 1%–2% block-hour growth in 2027. The guidance indicates continued earnings strength even as capacity expansion remains measured. SkyWest 2026 EPS and 2027 Block-Hour Outlook
• Positive Sentiment: Revenue continued to grow. Third-quarter revenue increased 6.4% year over year to about $1.12 billion, and coverage continues to characterize SkyWest as attractively valued after its substantial longer-term share-price gains. The stock’s reported price-to-earnings ratio near 9.6 may support the undervaluation argument if earnings remain durable. SkyWest Revenue and Profit Analysis
• Neutral Sentiment: The headline earnings result was mixed. Although EPS beat the FactSet estimate by one cent, another consensus measure cited by Zacks was $3.13, making the result a slight miss on that basis. Investors are therefore focused on the quality and durability of earnings growth rather than the small quarterly variance. SkyWest Third-Quarter Earnings and Revenue Analysis
• Negative Sentiment: Revenue missed expectations. The $1.12 billion reported was below the approximately $1.14 billion consensus forecast, while the limited 1%–2% planned block-hour growth suggests less near-term volume acceleration. SkyWest Earnings Flash

SkyWest Company Profile

SkyWest, Inc NASDAQ: SKYW is an airline holding company that operates regional passenger air service in the United States. Its primary subsidiary, SkyWest Airlines, connects smaller and midsized communities with larger airline hubs and provides scheduled flights under capacity-purchase agreements with major airline partners.

SkyWest Airlines operates flights under the United Express, Delta Connection and Alaska Airlines brands, serving destinations throughout the United States and select locations in Canada, Mexico and the Bahamas.

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