SkyWest (NASDAQ:SKYW) Posts Earnings Results, Beats Expectations By $0.01 EPS

SkyWest (NASDAQ:SKYW) released its quarterly earnings data on Thursday. The transportation company reported $2.54 EPS for the quarter, beating analysts’ consensus estimates of $2.53 by $0.01, FiscalAI reports. SkyWest had a return on equity of 15.55% and a net margin of 10.42%.The business had revenue of $1.10 billion during the quarter, compared to the consensus estimate of $1.11 billion.

Here are the key takeaways from SkyWest’s conference call:

• SkyWest reported Q2 2026 net income of $101 million, or $2.54 per diluted share, on 9% sequential revenue growth to $1.1 billion, reflecting strong demand for both contract and pro-rate flying.
• The company announced a new American Airlines agreement for 11 E175s, with deliveries beginning in 2026, and said this supports its plan to reach 300 E175s by the end of 2027.
• Management said pro-rate demand remains very strong, and fare increases have offset about 60% of the higher fuel costs in that business during Q2.
• SkyWest continued to strengthen its balance sheet, ending Q2 with $601 million in cash, having reduced debt by about $1 billion since the end of 2022, and its board authorized an additional $250 million share repurchase program.
• Management guided to approximately 5% block hour growth for full-year 2026 and said full-year GAAP EPS should be around $11, though results remain sensitive to fuel-price volatility and fleet timing.

SkyWest Stock Performance

SkyWest stock traded up $0.62 during trading hours on Thursday, hitting $96.32. The company had a trading volume of 477,198 shares, compared to its average volume of 375,352. The firm has a market cap of $3.82 billion, a PE ratio of 9.23, a PEG ratio of 1.38 and a beta of 1.45. The firm has a 50-day moving average of $91.33 and a 200 day moving average of $94.42. The company has a debt-to-equity ratio of 0.66, a current ratio of 0.62 and a quick ratio of 0.51. SkyWest has a one year low of $77.89 and a one year high of $123.94.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the stock. Polymer Capital Management US LLC boosted its position in shares of SkyWest by 16.4% during the third quarter. Polymer Capital Management US LLC now owns 2,400 shares of the transportation company’s stock valued at $241,000 after buying an additional 338 shares during the last quarter. Boothbay Fund Management LLC bought a new position in shares of SkyWest during the third quarter valued at about $240,000. Freestone Grove Partners LP purchased a new position in SkyWest during the third quarter worth about $248,000. Vise Technologies Inc. boosted its holdings in SkyWest by 21.4% during the third quarter. Vise Technologies Inc. now owns 2,620 shares of the transportation company’s stock worth $264,000 after purchasing an additional 461 shares during the last quarter. Finally, Captrust Financial Advisors purchased a new stake in SkyWest in the 2nd quarter valued at about $213,000. Institutional investors own 81.30% of the company’s stock.

Analyst Ratings Changes

A number of analysts recently weighed in on the stock. The Goldman Sachs Group downgraded shares of SkyWest from a “buy” rating to a “neutral” rating and cut their price target for the company from $126.00 to $115.00 in a research report on Thursday, July 2nd. Citigroup lifted their price target on shares of SkyWest from $95.00 to $105.00 and gave the stock a “neutral” rating in a research report on Friday, June 26th. Weiss Ratings raised shares of SkyWest from a “hold (c)” rating to a “hold (c+)” rating in a report on Thursday, July 16th. Finally, TD Cowen upped their price objective on shares of SkyWest from $98.00 to $115.00 and gave the company a “buy” rating in a research report on Thursday, July 2nd. One analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating and four have issued a Hold rating to the company. Based on data from MarketBeat.com, SkyWest presently has a consensus rating of “Moderate Buy” and a consensus price target of $121.17.

About SkyWest

SkyWest, Inc (NASDAQ: SKYW) is a regional airline holding company that provides air transportation services through its primary subsidiary, SkyWest Airlines. The company operates flights under capacity purchase agreements with major carriers such as United Airlines, Delta Air Lines, American Airlines and Alaska Airlines. By specializing in regional connectivity, SkyWest links smaller communities to larger hubs using a fleet of regional jets and turboprop aircraft.

Headquartered in St. George, Utah, SkyWest oversees all aspects of its airline operations, including flight scheduling, crew training and aircraft maintenance.