Southwest Gas (NYSE:SWX) Stock Rating Raised to “Strong-Buy” at Wolfe Research

Southwest Gas (NYSE:SWX) was upgraded by stock analysts at Wolfe Research from a “hold” rating to a “strong-buy” rating in a report released on Thursday, Zacks reports.

SWX has been the topic of a number of other research reports. JPMorgan Chase & Co. dropped their price objective on shares of Southwest Gas from $102.00 to $101.00 and set an “overweight” rating on the stock in a research note on Tuesday, October 20th. Mizuho set a $103.00 target price on shares of Southwest Gas in a research note on Wednesday, August 5th. Weiss Ratings cut shares of Southwest Gas from a “buy (b+)” rating to a “buy (b)” rating in a research note on Monday, September 14th. Wall Street Zen downgraded shares of Southwest Gas from a “hold” rating to a “sell” rating in a report on Sunday, October 4th. Finally, Wells Fargo & Company raised their price target on shares of Southwest Gas from $105.00 to $107.00 and gave the company an “overweight” rating in a research report on Friday, August 7th. One investment analyst has rated the stock with a Strong Buy rating and seven have issued a Buy rating to the stock. According to MarketBeat.com, Southwest Gas has an average rating of “Buy” and an average target price of $101.25.

Southwest Gas Stock Down 2.0%

Southwest Gas stock opened at $90.48 on Thursday. The firm has a market cap of $6.56 billion, a price-to-earnings ratio of 22.07, a price-to-earnings-growth ratio of 1.94 and a beta of 0.55. Southwest Gas has a 52 week low of $78.26 and a 52 week high of $94.46. The business’s 50-day moving average price is $87.07 and its 200 day moving average price is $88.31. The company has a quick ratio of 0.99, a current ratio of 0.89 and a debt-to-equity ratio of 0.85.

Southwest Gas (NYSE:SWX) last announced its quarterly earnings results on Wednesday, November 4th. The utilities provider reported $0.20 earnings per share for the quarter, beating the consensus estimate of $0.14 by $0.06. Southwest Gas had a return on equity of 6.98% and a net margin of 17.23%. The company had revenue of $298.18 million during the quarter, compared to analysts’ expectations of $346.50 million. During the same period last year, the business earned $3.74 earnings per share. Southwest Gas’s quarterly revenue was down 5.9% on a year-over-year basis. As a group, sell-side analysts anticipate that Southwest Gas will post 4.27 earnings per share for the current year.

Insider Transactions at Southwest Gas

In other Southwest Gas news, SVP Julie Williams sold 2,500 shares of the firm’s stock in a transaction that occurred on Monday, September 28th. The stock was sold at an average price of $81.81, for a total value of $204,525.00. Following the sale, the senior vice president directly owned 26,450 shares of the company’s stock, valued at approximately $2,163,874.50. This trade represents a 8.64% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Corporate insiders own 0.63% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the business. Bank of America Corp DE lifted its position in shares of Southwest Gas by 54.8% during the 1st quarter. Bank of America Corp DE now owns 395,336 shares of the utilities provider’s stock valued at $34,355,000 after buying an additional 139,872 shares in the last quarter. Quantinno Capital Management LP increased its holdings in Southwest Gas by 204.5% in the 1st quarter. Quantinno Capital Management LP now owns 38,073 shares of the utilities provider’s stock worth $3,309,000 after acquiring an additional 25,569 shares in the last quarter. Hsbc Holdings PLC purchased a new stake in Southwest Gas in the 2nd quarter worth $3,513,000. Odyssean LLC increased its holdings in Southwest Gas by 616.6% in the 2nd quarter. Odyssean LLC now owns 17,178 shares of the utilities provider’s stock worth $1,523,000 after acquiring an additional 14,781 shares in the last quarter. Finally, Arrowstreet Capital Limited Partnership acquired a new position in Southwest Gas during the first quarter worth $3,799,000. 92.77% of the stock is owned by institutional investors and hedge funds.

Southwest Gas News Roundup

Here are the key news stories impacting Southwest Gas this week:

• Positive Sentiment: Southwest Gas beat third-quarter adjusted EPS expectations, reporting $0.20 per share versus analysts’ estimate of about $0.14. The company attributed support to lower interest costs, and it reaffirmed its 2026 adjusted EPS outlook of $4.17–$4.32. Article: SWX Q3 Earnings Beat on Lower Interest Cost, Sales Decline Y/Y
• Positive Sentiment: The company completed Nevada and California rate cases, while its Arizona case continues to progress. Approved rate increases can support utility earnings by improving recovery of operating costs. Article: How Investors Are Reacting To Southwest Gas Holdings (SWX) Rate Increase Approvals
• Positive Sentiment: Southwest Gas says its $2.3 billion Great Basin expansion remains on track, with a certificate filing planned for the fourth quarter and the project targeted for 2028. This offers a longer-term growth opportunity, though it depends on regulatory approval and execution. Article: Southwest Gas reaffirms 2026 adjusted EPS while advancing Great Basin expansion
• Neutral Sentiment: One valuation analysis estimates SWX may be about 8% undervalued, citing the earnings beat and rate relief. This is an analytical estimate, not a company forecast or assurance of share-price gains. Article: Southwest Gas Holdings (SWX) Could Be 8% Undervalued
• Negative Sentiment: Third-quarter revenue was $298.2 million, below analysts’ roughly $346.5 million estimate and down 5.9% year over year. The shortfall and declining sales temper the positive EPS surprise. Article: Southwest Gas Q3 Adjusted Earnings Rise, Revenue Falls

Southwest Gas Company Profile

Southwest Gas Corporation (NYSE: SWX) is a regulated natural gas distribution utility serving residential, commercial and industrial customers. The company purchases, transports and delivers natural gas through its distribution networks, while also providing services related to system operations, maintenance, customer support and energy conservation.

Southwest Gas serves communities in Arizona, Nevada and portions of California. Its service territory includes major metropolitan areas such as Las Vegas and Phoenix, as well as numerous smaller communities across the southwestern United States.