ST. GEORGE, Utah— SkyWest Inc. (NASDAQ:SKYW) Chief Financial Officer Robert J. Simmons recently sold a significant portion of his holdings in the airline company. According to a filing with the Securities and Exchange Commission, Simmons sold a total of 16,485 shares of SkyWest stock on November 5th. The sales were executed at prices ranging from $104.8281 to $105.5169 per share, resulting in a total transaction value of approximately $1,731,304.
Following these transactions, Simmons retains ownership of 113,539 shares of SkyWest. The sales were conducted in two separate transactions, with the first involving 11,820 shares sold at an average price of $104.8281, and the second involving 4,665 shares at an average price of $105.5169.
Investors often monitor insider transactions like these to gauge the sentiment of company executives regarding the company's future performance.
In other recent news, SkyWest Incorporated has demonstrated robust financial performance with its recent earnings per share (EPS) of $2.16 surpassing the estimated figures of $1.95 by TD Cowen and $1.93 consensus. The company's sales reached approximately $913 million, exceeding both TD Cowen's and consensus estimates. SkyWest's management has provided an optimistic outlook, revising upward the full-year 2024 EPS guidance and anticipating the full-year 2025 EPS to surpass previous consensus estimates.
TD Cowen reaffirmed a positive stance on SkyWest shares, raising the airline's price target to $120 from the previous $95 while maintaining a Buy rating. The analyst from TD Cowen highlighted SkyWest's strategic positioning to capitalize on the growing demand for regional airline services.
In other recent developments, SkyWest reported strong third-quarter results, with a net income of $90 million and a total revenue of $913 million, a 19% increase from the same period last year. The airline's growth strategy includes expanding its fleet with 60 new aircraft by the end of 2026. The company also plans to repay over $400 million in debt in 2024 and forecasts capital expenditures of $320-$350 million. Despite projected increases in maintenance expenses by $40 million in the second half of 2024, SkyWest remains committed to growth in underserved markets and increasing aircraft utilization.
InvestingPro Insights
SkyWest Inc. (NASDAQ:SKYW) has been experiencing significant growth and strong market performance, which provides context for CFO Robert J. Simmons' recent stock sale. According to InvestingPro data, SkyWest's revenue grew by 16.42% over the last twelve months, reaching $3.33 billion. This growth is complemented by an impressive EBITDA growth of 60.14% during the same period.
The company's stock has shown remarkable performance, with a 154.61% price total return over the past year. This aligns with an InvestingPro Tip indicating that SkyWest has delivered a high return over the last year. Additionally, the stock has gained 58.37% in the last three months alone, reflecting strong short-term momentum.
Despite the recent insider sale, SkyWest's financial metrics remain robust. The company's P/E ratio stands at 18.66, suggesting a reasonable valuation relative to its earnings. Moreover, an InvestingPro Tip notes that net income is expected to grow this year, which could further support the stock's performance.
Investors considering SkyWest should be aware that InvestingPro offers 13 additional tips for this stock, providing a more comprehensive analysis of the company's prospects and potential risks. These insights can be valuable for understanding the full picture beyond insider transactions.
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