SkyWest, Inc.

SkyWest operates a regional airline in the US through two segments: SkyWest Airlines and SWC; and SkyWest Leasing. It leases aircraft and spare engines to third parties and provides on-demand charter services. The companys fleet consists of 603 aircraft as of December 31, 2023. It offers scheduled passenger and air freight services with approximately 1,850 daily departures. Destinations served include the US, Canada, and Mexico. SkyWest was incorporated in 1972 and is headquartered in Saint George, Utah.

Overview

Sector

Airlines

Target Price

154.5 USD

Current Price

116.6 USD

Potential

32%

Strengths

With an appreciation Potential of 31.44%, based on our fundamental analysis, it suggests the stock may be undervalued.
Current Price to Earnings Ratio (14.67) is lower than the sector mean (85.37).
Price to book ratio (1.97) is lower than the sector mean (11.73).
EV/EBITDA (7.72) is lower than the sector mean (43.51).
EV/EBIT (13.15) is lower than the sector mean.
Price to free cash flow (13.01) is lower than the sector mean.
Strong EBITDA Margin of 26.37%.

Weaknesses

The company has high debt. Net Debt to EBITDA Ratio (2.63) is higher than the sector mean.

Key Financial Data

Indicator	Value
PER	14.6
EV/EBITDA	7.7
Price/Free Cash Flow'	12.9
ROIC	13.6%
Net Debt/EBITDA	2.6