Southwest Gas Corporation (NYSE:SWX) Short Interest Update

Key Points

• Southwest Gas Corporation's short interest declined by 39.8% in August, with 1,240,000 shares shorted as of August 31st, down from 2,060,000 shares earlier in the month.
• The company reported $0.53 earnings per share for the last quarter, surpassing estimates of $0.42, although revenue decreased by 5.2% year-over-year.
• Analysts have mixed recommendations on the stock, with a consensus rating of "Moderate Buy" and an average price target of $81.25.

Southwest Gas Corporation (NYSE:SWX - Get Free Report) was the recipient of a large drop in short interest during the month of August. As of August 31st, there was short interest totaling 1,240,000 shares, a drop of 39.8% from the August 15th total of 2,060,000 shares. Currently, 1.7% of the company's stock are sold short. Based on an average daily trading volume, of 437,000 shares, the short-interest ratio is currently 2.8 days. Based on an average daily trading volume, of 437,000 shares, the short-interest ratio is currently 2.8 days. Currently, 1.7% of the company's stock are sold short.

Institutional Trading of Southwest Gas

Institutional investors and hedge funds have recently made changes to their positions in the stock. Private Trust Co. NA purchased a new stake in shares of Southwest Gas during the 2nd quarter valued at $25,000. EverSource Wealth Advisors LLC raised its position in shares of Southwest Gas by 223.5% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 440 shares of the utilities provider's stock valued at $33,000 after buying an additional 304 shares in the last quarter. Farther Finance Advisors LLC raised its position in Southwest Gas by 1,055.0% in the 1st quarter. Farther Finance Advisors LLC now owns 462 shares of the utilities provider's stock worth $33,000 after purchasing an additional 422 shares during the period. Simplex Trading LLC purchased a new position in Southwest Gas in the 2nd quarter worth $36,000. Finally, Headlands Technologies LLC raised its position in Southwest Gas by 144.0% in the 1st quarter. Headlands Technologies LLC now owns 510 shares of the utilities provider's stock worth $37,000 after purchasing an additional 301 shares during the period. Hedge funds and other institutional investors own 92.77% of the company's stock.

Analyst Ratings Changes

Several equities research analysts have commented on the stock. JPMorgan Chase & Co. decreased their price objective on shares of Southwest Gas from $79.00 to $75.00 and set a "neutral" rating for the company in a research note on Wednesday, May 28th. Jefferies Financial Group increased their price objective on shares of Southwest Gas from $82.00 to $88.00 and gave the company a "buy" rating in a research note on Wednesday, September 10th. Bank of America upgraded shares of Southwest Gas from a "neutral" rating to a "buy" rating and increased their price objective for the company from $76.00 to $84.00 in a research note on Friday, August 29th. Finally, Wall Street Zen upgraded shares of Southwest Gas from a "hold" rating to a "buy" rating in a research note on Friday, June 27th. One analyst has rated the stock with a Strong Buy rating, two have given a Buy rating and two have given a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus target price of $81.25.

Southwest Gas Price Performance

NYSE:SWX traded down $0.54 during trading hours on Friday, hitting $78.46. The stock had a trading volume of 1,148,070 shares, compared to its average volume of 355,365. The company has a 50 day simple moving average of $78.33 and a two-hundred day simple moving average of $74.60. The company has a debt-to-equity ratio of 1.07, a current ratio of 1.01 and a quick ratio of 0.94. Southwest Gas has a one year low of $64.69 and a one year high of $80.54. The firm has a market capitalization of $5.65 billion, a price-to-earnings ratio of 29.28, a P/E/G ratio of 2.04 and a beta of 0.55.

Southwest Gas (NYSE:SWX - Get Free Report) last posted its quarterly earnings data on Wednesday, August 6th. The utilities provider reported $0.53 earnings per share for the quarter, beating the consensus estimate of $0.42 by $0.11. The firm had revenue of $1.12 billion for the quarter, compared to analysts' expectations of $1.17 billion. Southwest Gas had a net margin of 4.06% and a return on equity of 6.98%. The business's quarterly revenue was down 5.2% on a year-over-year basis. During the same quarter last year, the company posted $0.25 EPS. Research analysts forecast that Southwest Gas will post 3.03 earnings per share for the current fiscal year.

Southwest Gas Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, December 1st. Stockholders of record on Monday, November 17th will be given a dividend of $0.62 per share. The ex-dividend date is Monday, November 17th. This represents a $2.48 annualized dividend and a dividend yield of 3.2%. Southwest Gas's dividend payout ratio (DPR) is 92.54%.

About Southwest Gas

Southwest Gas Holdings, Inc, through its subsidiaries, distributes and transports natural gas in Arizona, Nevada, and California. The company operates through Natural Gas Distribution, Utility Infrastructure Services, and Pipeline and Storage segments. It also provides trenching, installation, and replacement of underground pipes, as well as maintenance services for energy distribution systems.