Latest Ratios: P/E Ratio 9.6x · EV/EBITDA 6.4x · ROE 16.6%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $3.9B | $4.2B | $4.2B | $2.3B | $836M | $2.0B | $2.0B | $3.3B | $2.4B | $2.8B | $1.9B |
| Enterprise Value | $6.3B | $6.5B | $6.7B | $5.3B | $4.3B | $5.1B | $5.3B | $6.6B | $5.2B | $5.3B | $4.3B |
| P/E Ratio → | 9.59 | 9.70 | 12.89 | 67.79 | 11.47 | 17.78 | — | 9.76 | 8.39 | 6.57 | — |
| P/S Ratio | 0.97 | 1.02 | 1.18 | 0.79 | 0.28 | 0.74 | 0.95 | 1.12 | 0.73 | 0.90 | 0.60 |
| P/B Ratio | 1.50 | 1.51 | 1.73 | 1.10 | 0.36 | 0.88 | 0.95 | 1.53 | 1.20 | 1.61 | 1.39 |
| P/FCF | 13.72 | 14.49 | 11.42 | 5.54 | — | 13.26 | 10.90 | 527.21 | — | — | — |
| P/OCF | 4.19 | 4.42 | 6.01 | 3.16 | 1.74 | 2.40 | 3.19 | 4.61 | 2.93 | 4.12 | 3.71 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 1.61 | 1.90 | 1.80 | 1.42 | 1.87 | 2.49 | 2.21 | 1.61 | 1.71 | 1.37 |
| EV / EBITDA | 6.44 | 6.67 | 7.62 | 10.82 | 7.42 | 7.10 | 9.08 | 7.47 | 6.41 | 7.82 | 38.08 |
| EV / EBIT | 10.24 | 9.77 | 12.25 | 30.79 | 19.46 | 18.57 | 45.75 | 11.46 | 10.93 | 13.72 | — |
| EV / FCF | — | 22.82 | 18.38 | 12.55 | — | 33.79 | 28.55 | 1044.83 | — | — | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 61.6% | 61.6% | 22.4% | 12.7% | 16.6% | 7.1% | -0.7% | 26.2% | 23.2% | 20.5% | 19.2% |
| Operating Margin | 15.2% | 15.2% | 14.0% | 3.5% | 6.0% | 10.2% | 5.1% | 17.2% | 14.7% | 12.4% | -5.5% |
| Net Profit Margin | 10.6% | 10.6% | 9.2% | 1.2% | 2.4% | 4.1% | -0.4% | 11.4% | 8.7% | 13.7% | -5.2% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 16.6% | 16.6% | 14.3% | 1.5% | 3.2% | 5.1% | -0.4% | 16.4% | 15.1% | 27.6% | -11.3% |
| ROA | 5.9% | 5.9% | 4.6% | 0.5% | 1.0% | 1.6% | -0.1% | 5.2% | 4.8% | 8.2% | -3.3% |
| ROIC | 9.2% | 9.2% | 7.4% | 1.4% | 2.4% | 3.8% | 1.5% | 7.5% | 7.9% | 7.3% | -3.7% |
| ROCE | 10.8% | 10.8% | 8.6% | 1.7% | 2.9% | 4.5% | 1.8% | 9.2% | 9.4% | 8.7% | -4.2% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.87 | 0.87 | 1.15 | 1.46 | 1.51 | 1.48 | 1.63 | 1.54 | 1.61 | 1.53 | 1.88 |
| Debt / EBITDA | 2.44 | 2.44 | 3.14 | 6.35 | 6.15 | 4.67 | 5.98 | 3.80 | 3.91 | 3.95 | 22.67 |
| Net Debt / Equity | — | 0.87 | 1.05 | 1.39 | 1.46 | 1.36 | 1.53 | 1.50 | 1.44 | 1.43 | 1.78 |
| Net Debt / EBITDA | 2.44 | 2.44 | 2.88 | 6.04 | 5.97 | 4.31 | 5.61 | 3.70 | 3.50 | 3.68 | 21.36 |
| Debt / FCF | — | 8.33 | 6.95 | 7.01 | — | 20.53 | 17.65 | 517.62 | — | — | — |
| Interest Coverage | 6.42 | 6.42 | 4.78 | 1.31 | 1.73 | 2.22 | 0.94 | 4.49 | 3.94 | 3.70 | -2.18 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.65 | 0.65 | 0.78 | 0.90 | 1.17 | 0.89 | 1.04 | 0.82 | 1.10 | 1.21 | 1.23 |
| Quick Ratio | 0.55 | 0.55 | 0.68 | 0.80 | 1.06 | 0.81 | 0.95 | 0.70 | 0.97 | 1.07 | 1.07 |
| Cash Ratio | 0.42 | 0.42 | 0.56 | 0.67 | 0.89 | 0.72 | 0.88 | 0.56 | 0.75 | 0.83 | 0.74 |
| Asset Turnover | — | 0.55 | 0.49 | 0.42 | 0.38 | 0.38 | 0.29 | 0.45 | 0.51 | 0.57 | 0.62 |
| Inventory Turnover | 9.25 | 9.25 | 19.70 | 20.16 | 20.34 | 24.21 | 23.48 | 19.86 | 19.38 | 20.74 | 21.29 |
| Days Sales Outstanding | — | 14.37 | 12.82 | 10.45 | 13.41 | 8.79 | 6.59 | 11.56 | 10.21 | 5.62 | 6.30 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | 0.6% | 0.7% | 0.8% | 0.5% | 0.5% |
| Payout Ratio | — | — | — | — | — | — | — | 6.9% | 7.0% | 3.5% | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 10.4% | 10.3% | 7.8% | 1.5% | 8.7% | 5.6% | — | 10.2% | 11.9% | 15.2% | — |
| FCF Yield | 7.3% | 6.9% | 8.8% | 18.0% | — | 7.5% | 9.2% | 0.2% | — | — | — |
| Buyback Yield | 2.2% | 2.0% | 1.0% | 12.5% | 0.0% | 0.0% | 1.0% | 2.8% | 2.3% | 0.7% | 0.0% |
| Total Shareholder Yield | 2.2% | 2.0% | 1.0% | 12.5% | 0.0% | 0.0% | 1.6% | 3.6% | 3.2% | 1.2% | 0.5% |
| Shares Outstanding | — | $41M | $42M | $45M | $51M | $51M | $50M | $51M | $53M | $53M | $52M |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying SKYW stock.
SkyWest, Inc.'s current P/E ratio is 9.6x. The historical average is 15.8x. This places it at the 19th percentile of its historical range.
SkyWest, Inc.'s current EV/EBITDA is 6.4x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 8.2x.
SkyWest, Inc.'s return on equity (ROE) is 16.6%. The historical average is 8.5%.
Based on historical data, SkyWest, Inc. is trading at a P/E of 9.6x. This is at the 19th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
SkyWest, Inc. has 61.6% gross margin and 15.2% operating margin. Operating margin between 10-20% is typical for established companies.
SkyWest, Inc.'s Debt/EBITDA ratio is 2.4x, indicating moderate leverage. A ratio between 2-4x is manageable but warrants monitoring.
Key Metrics
Top Statement Risk
Pilot shortage and wage inflation
Metrics are mathematically derived from official filings.
Discounted as a Cyclical, Priced as a Utility
SkyWest trades at 9.77x trailing earnings and 6.52x EV/EBITDA, per reported multiples, a discount to the broader market but a premium to its regional peers, reflecting its infrastructure-like cash flow stability.
The market appears to value SkyWest as a hybrid: the low P/E and EV/EBITDA suggest skepticism about earnings durability, yet the P/B of 1.52 and forward P/E of 9.27 imply modest growth expectations. Given the contractual CPA model and the recent earnings miss, the valuation seems to price in a deceleration in block hour growth, but not a structural decline. Investors should monitor whether the E175 expansion and pilot cost pressures justify the current multiple relative to the sector's historical range.
Pass-Through Distortions Mask Stable Core Margins
Gross margin swung from 172.6% to 21.0% in consecutive quarters, per reported data, but operating margin held near 14-16%, indicating that pass-through accounting inflates revenue and gross margin without affecting underlying profitability.
The extreme gross margin volatility is a function of reimbursable expenses, not operational efficiency. The more reliable metric is operating margin, which has remained in a tight band of 12.4% to 16.6% over the past ten quarters, suggesting a stable cost structure despite pilot wage inflation. However, the Q2 2026 operating margin of 14.1% is below the 16.6% peak in Q3 2025, hinting that labor costs may be eroding the fee-per-block-hour economics. Analysts should focus on revenue excluding pass-throughs to gauge true earning power.
Returns on Capital Grind Higher on Deleveraging
ROIC improved from 1.5% in Q1 2024 to 2.8% in Q2 2026, per reported figures, while ROE rose from 2.8% to 3.7%, indicating gradual compounding despite a capital-intensive fleet expansion.
The improvement in ROIC is modest but consistent, driven by margin stability and a shrinking equity base from buybacks, rather than a surge in asset efficiency. Asset turnover has remained flat at 0.13-0.15, underscoring that returns are being generated through financial leverage reduction and cost control, not operational intensity. The E175 expansion may lift returns if the new aircraft generate higher margins, but the capital outlay could temporarily depress ROIC before the benefits materialize.
Working Capital Efficiency Hides in Negative DIO
SkyWest's cash conversion cycle turned positive to 80 days in Q2 2026, per reported data, driven by a negative DIO of -21 days, which suggests aircraft are 'sold' to partners before cash is paid, a unique feature of the CPA model.
The negative days inventory outstanding is an artifact of the business model: aircraft are deployed to generate revenue, not held as inventory, so DIO is not a meaningful metric. The more relevant trend is DPO, which has been consistently around 65-68 days, indicating SkyWest uses supplier credit to fund operations. The spike in CCC to 80 days in Q2 2026 is due to a temporary DPO of -86 days, which may reflect a timing mismatch in payables; investors should watch if this normalizes, as it could signal a strain on supplier relationships.
Leverage Declines Despite Debt Spike
Debt-to-equity fell from 1.38 in Q1 2024 to 0.83 in Q2 2026, per reported balance sheet data, even as total debt jumped to $2.3B, indicating a temporary financing event rather than a strategic shift.
The sequential debt increase of $1.6B in Q2 2026 appears to be a short-term drawdown, possibly for aircraft deliveries, but the D/E ratio remains low relative to the industry. Interest coverage has improved from 3.69x in Q1 2024 to 5.91x in Q2 2026, suggesting debt service is becoming more comfortable. However, the D/EBITDA of 9.25x in Q2 2026 is elevated, reflecting the debt spike; if this persists, it could pressure credit metrics, though the company's cash flow generation appears sufficient to service the debt.
Thin Liquidity Buffer Raises Caution
Current ratio fell to 0.57 in Q2 2026 from 0.81 in Q1 2024, per reported data, while cash dropped to $81.4M, indicating a tight short-term liquidity position that relies on credit availability.
The current ratio below 1.0 suggests SkyWest may struggle to cover short-term obligations with current assets alone, but this is common in capital-intensive industries where companies rely on revolving credit. The quick ratio of 0.46 further underscores the lack of liquid assets, yet the company's strong operating cash flow (OCF/NI of 2.1x) provides a buffer. Investors should monitor whether the debt spike is reversed and whether cash rebuilds, as a prolonged low cash balance could increase refinancing risk if credit markets tighten.
Misapplied Metric: Gross Margin
Gross margin is the most misapplied ratio for SkyWest, as reported figures swing wildly due to pass-through accounting, obscuring the true profitability of flying operations.
Analysts often compare SkyWest's gross margin to mainline carriers, but the 61.58% reported figure is meaningless because it includes reimbursable expenses that have no margin impact. The correct approach is to analyze operating margin or net margin, which have remained stable in the mid-teens, or to adjust revenue to exclude pass-throughs. Using gross margin as a profitability gauge would lead to erroneous conclusions about cost efficiency and competitive positioning.