SkyWest, Inc. (SKYW) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+21.4%

$99.19

vs $81.68 price

Levered DCF

$127.82

After debt service

Piotroski score

7 / 9

Strong

Altman Z-score

1.75

Distress zone

Rating

Overall 4 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	9.45×	12.49×	66.92×	11.47×	17.7×	-237.12×	9.68×	8.24×
P/B	1.47×	1.67×	1.09×	0.36×	0.87×	0.95×	1.51×	1.18×
P/S	1×	1.14×	0.78×	0.28×	0.73×	0.95×	1.11×	0.72×
EV / EBITDA	6.23×	7.06×	9.45×	6.96×	7.1×	8.97×	6.95×	6.35×
Gross margin	61.6%	22.4%	12.7%	16.6%	7.1%	-0.7%	26.2%	23.2%
Operating margin	15.2%	14.0%	3.5%	6.0%	10.2%	5.1%	17.2%	14.7%
Net margin	10.6%	9.2%	1.2%	2.4%	4.1%	-0.4%	11.4%	8.7%
Current ratio	0.65×	0.78×	0.9×	1.17×	0.89×	1.04×	0.82×	1.1×
Debt / equity	0.87×	1.15×	1.46×	1.51×	1.48×	1.63×	1.54×	1.61×
Interest coverage	5.92×	4.33×	0.79×	1.43×	2.24×	0.88×	4.01×	3.94×
Dividend yield	0.0%	0.0%	0.0%	0.0%	0.0%	0.6%	0.7%	0.9%
Payout ratio	0.0%	0.0%	0.0%	0.0%	0.0%	-153.4%	6.9%	7.0%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	15.6%	13.4%	1.6%	3.1%	4.9%	-0.4%	15.6%	14.3%
Return on invested capital	7.5%	5.9%	1.4%	2.0%	3.2%	1.6%	6.3%	6.3%
Return on assets	5.8%	4.5%	0.5%	0.9%	1.6%	-0.1%	5.1%	4.4%
Free cash flow yield	7.1%	9.0%	18.3%	-24.2%	7.6%	9.2%	0.2%	-14.6%
Earnings yield	10.6%	8.0%	1.5%	8.7%	5.7%	-0.4%	10.3%	12.1%
Enterprise value	$6.4B	$6.6B	$5.2B	$4.3B	$5.1B	$5.3B	$6.6B	$5.1B
Net debt / EBITDA	2.31×	2.72×	5.31×	5.6×	4.33×	5.55×	3.46×	3.5×
Cash conversion cycle (days)	54	-39	-38	-30	-48	-25	-17	-20