SkyWest Inc (NASDAQ:SKYW) Chief Commercial Officer Wade J. Steel recently sold 19,079 shares of the company, totaling approximately $1.99 million. The sale, which occurred on November 5, 2024, was executed at an average price of $104.48 per share, with actual sale prices ranging from $104.00 to $104.72.
Following this transaction, Steel holds 97,654 shares directly. Additionally, on November 6, 2024, Steel made a charitable gift of 1,818 shares, which did not involve any monetary consideration. After these transactions, Steel's direct ownership stands at 95,836 shares, with an additional 10,451 shares held indirectly through a 401K plan.
In other recent news, SkyWest Incorporated reported impressive earnings and revenue results, surpassing both TD (TSX:TD) Cowen's and consensus estimates. The company's earnings per share (EPS) stood at $2.16, with sales reaching approximately $913 million. SkyWest's management provided an optimistic outlook, revising upward the full-year 2024 EPS guidance while anticipating the full-year 2025 EPS to surpass previous consensus estimates. This positive outlook is attributed to increasing utilization rates as the company successfully addresses pilot staffing challenges.
TD Cowen reaffirmed its positive stance on SkyWest shares, raising the airline's price target to $120 from the previous $95 while maintaining a Buy rating. This upgrade follows SkyWest's recent financial performance and strategic positioning to capitalize on the growing demand for regional airline services.
In addition to strong financial performance, SkyWest has outlined plans for fleet expansion 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in maintenance expenses, SkyWest remains committed to growth, planning to reintroduce service to cities previously withdrawn and expecting significant growth in winter bookings for their charter operation.
InvestingPro Insights
SkyWest Inc (NASDAQ:SKYW) has been experiencing significant momentum in the market, as reflected in both its stock performance and financial metrics. According to InvestingPro data, the company's stock has shown remarkable returns, with a 154.61% price total return over the past year and a 113.74% return year-to-date. This aligns with the recent insider selling activity by Chief Commercial Officer Wade J. Steel, who may be capitalizing on the stock's strong performance.
The company's financial health appears robust, with revenue growing at 16.42% over the last twelve months to $3.33 billion. SkyWest's profitability is also noteworthy, with a gross profit margin of 31.34% and an operating income margin of 11.41%. These figures suggest that the company is effectively managing its costs while growing its top line.
InvestingPro Tips highlight that SkyWest's net income is expected to grow this year, and analysts predict the company will be profitable. This positive outlook may be contributing to investor confidence and the stock's recent price appreciation. However, it's worth noting that one InvestingPro Tip indicates the stock's RSI suggests it may be in overbought territory, which could be a factor in Steel's decision to sell a portion of his holdings.
For investors seeking a more comprehensive analysis, InvestingPro offers 13 additional tips for SkyWest, providing a deeper understanding of the company's financial position and market dynamics.
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