SkyWest Going Into Q1: Buy Thesis Still Looks Strong

Motti Sapir1.35K FollowersFollow5ShareSavePlay(8min)CommentsSummarySkyWest remains a Buy as fundamentals outpace its flat share price and the market underappreciates its operational momentum.SKYW delivered 15% revenue growth and 33% charter/prorate revenue gains, with net income up to $428.3M and robust free cash flow.Long-term contract visibility, disciplined CapEx, and a decade-low leverage position underpin confidence in sustained shareholder returns.Valuation is compelling at 8.3x forward earnings and 5.7x EV/EBITDA, with deferred revenue and block hour growth providing further upside. Boarding1Now/iStock Editorial via Getty Images SkyWest (SKYW) heads into Q1 with a lot of momentum behind it. That backs up my earlier Buy call. Since my last check-in, the stock’s up just 0.68%, from $93.67 to $94.91, basically flat, and it’s still well offThis article was written byMotti Sapir1.35K FollowersFollowWith over 15 years of experience in the markets and a degree in economics, I focus on breaking down companies with clarity and discipline. My goal is to give individual investors a straightforward, honest view—what’s working, what isn’t, and where the risks and opportunities actually are. I don’t chase narratives. I follow the numbers and the business underneath.Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.