Southwest Gas (NYSE:SWX) Reaches New 1-Year High – What’s Next?

Southwest Gas Corporation (NYSE:SWX)’s share price hit a new 52-week high during mid-day trading on Thursday . The company traded as high as $81.21 and last traded at $80.13, with a volume of 14810 shares traded. The stock had previously closed at $80.12.

Wall Street Analyst Weigh In

SWX has been the topic of a number of recent analyst reports. Wall Street Zen raised shares of Southwest Gas from a “hold” rating to a “buy” rating in a report on Friday, June 27th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Southwest Gas in a research report on Friday. Zacks Research raised shares of Southwest Gas from a “strong sell” rating to a “hold” rating in a research report on Monday, October 20th. Bank of America raised shares of Southwest Gas from a “neutral” rating to a “buy” rating and raised their target price for the stock from $76.00 to $84.00 in a research report on Friday, August 29th. Finally, Jefferies Financial Group raised their target price on shares of Southwest Gas from $82.00 to $88.00 and gave the stock a “buy” rating in a research report on Wednesday, September 10th. One equities research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating and three have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, Southwest Gas presently has an average rating of “Moderate Buy” and an average price target of $82.33.

Southwest Gas Stock Performance

The company has a market capitalization of $5.91 billion, a PE ratio of 30.61, a PEG ratio of 2.31 and a beta of 0.55. The business’s 50-day moving average is $78.52 and its 200-day moving average is $75.62. The company has a debt-to-equity ratio of 1.07, a quick ratio of 0.94 and a current ratio of 1.01.

Southwest Gas (NYSE:SWX) last issued its quarterly earnings results on Wednesday, August 6th. The utilities provider reported $0.53 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.42 by $0.11. Southwest Gas had a net margin of 4.06% and a return on equity of 6.98%. The company had revenue of $1.12 billion during the quarter, compared to analysts’ expectations of $1.17 billion. During the same period last year, the company posted $0.25 EPS. Southwest Gas’s revenue was down 5.2% on a year-over-year basis. On average, research analysts anticipate that Southwest Gas Corporation will post 3.03 earnings per share for the current year.

Southwest Gas Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Monday, December 1st. Investors of record on Monday, November 17th will be given a dividend of $0.62 per share. This represents a $2.48 dividend on an annualized basis and a yield of 3.0%. The ex-dividend date of this dividend is Monday, November 17th. Southwest Gas’s dividend payout ratio (DPR) is 92.54%.

Insider Transactions at Southwest Gas

In related news, major shareholder Carl C. Icahn sold 1,500,000 shares of Southwest Gas stock in a transaction dated Thursday, September 25th. The shares were sold at an average price of $77.91, for a total transaction of $116,865,000.00. Following the completion of the transaction, the insider directly owned 6,032,604 shares of the company’s stock, valued at $470,000,177.64. This trade represents a 19.91% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. 0.39% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the company. Private Trust Co. NA purchased a new position in Southwest Gas in the second quarter worth about $25,000. EverSource Wealth Advisors LLC raised its holdings in Southwest Gas by 223.5% in the second quarter. EverSource Wealth Advisors LLC now owns 440 shares of the utilities provider’s stock worth $33,000 after buying an additional 304 shares during the last quarter. Simplex Trading LLC purchased a new position in Southwest Gas in the second quarter worth about $36,000. Headlands Technologies LLC raised its holdings in Southwest Gas by 144.0% in the first quarter. Headlands Technologies LLC now owns 510 shares of the utilities provider’s stock worth $37,000 after buying an additional 301 shares during the last quarter. Finally, Golden State Wealth Management LLC raised its holdings in Southwest Gas by 1,001.8% in the first quarter. Golden State Wealth Management LLC now owns 606 shares of the utilities provider’s stock worth $44,000 after buying an additional 551 shares during the last quarter. 92.77% of the stock is owned by hedge funds and other institutional investors.

Southwest Gas Company Profile

Southwest Gas Holdings, Inc, through its subsidiaries, distributes and transports natural gas in Arizona, Nevada, and California. The company operates through Natural Gas Distribution, Utility Infrastructure Services, and Pipeline and Storage segments. It also provides trenching, installation, and replacement of underground pipes, as well as maintenance services for energy distribution systems.