SkyWest, Inc (SKYW)

From July 2025 to January 2026, SkyWest, Inc.'s stock experienced a decline of 10.7%, with downward revisions in earnings estimates for 2025 and 2026. Operating expenses increased by 12% during Q3 2025, driven by a 15% year-over-year increase in block hours, and the current ratio fell to 0.71. SkyWest announced profits for both the second and third quarters of 2025 and entered into a strategic investment agreement with Maeve Aerospace on September 15, 2025. As of September 30, 2025, SkyWest maintained $753 million in cash and marketable securities, and its total debt decreased from $2.7 billion to $2.4 billion. An analysis in November 2025 suggested that SKYW was undervalued, trading at nine times its expected 2025 earnings.

SkyWest anticipates a return to typical airline seasonality, with the second and third quarters generally being stronger revenue periods compared to the first and fourth quarters, linked to improved fleet utilization during the summer months. The reduction in SkyWest Charter (SWC) aircraft was partly due to seasonal demand shifts and the need to meet higher demand at SkyWest Airlines during the summer.

SkyWest, Inc. is an airline services company and the largest regional airline in North America, operating as a holding company for SkyWest Airlines, SkyWest Charter (SWC), and SkyWest Leasing. It provides scheduled passenger services through capacity purchase agreements with major airlines, leases regional jet aircraft and spare engines, and offers on-demand charter, airport customer, and ground handling services. The company's fleet primarily consists of regional jets, including Embraer E175 and Canadair CRJ series aircraft.

SkyWest operates an extensive network across 258 cities in the United States, Canada, and Mexico, connecting passengers between smaller airports and the major hubs of its partner airlines. Its operations are supported by code-share agreements and are conducted from key airports in cities like Chicago, Dallas, Denver, and Los Angeles. SkyWest also offers commercial air services in the Caribbean.

SkyWest has received positive recognition for its brand reputation, being named one of America's Best Midsize Companies by TIME Magazine and Statista, and one of America's Greatest Workplaces for Diversity and Women by Newsweek. Strategic moves, such as the purchase of a 25% ownership stake in Contour Airlines, and a firm order for 60 new Embraer E175 aircraft, demonstrate a commitment to fleet modernization and a positive long-term outlook. The company anticipates a 14% increase in block hours for 2025, driven by improved fleet utilization and sustained strong demand.

SkyWest, Inc. is predominantly owned by institutional shareholders, who collectively hold 85% of the company. Major institutional investors include BlackRock, Inc., The Vanguard Group, Inc., and AllianceBernstein L.P. Individual investors hold about 13% ownership, with Sidney J. Atkin and Jerry C. Atkin being the largest individual shareholders.