Southwest Gas (NYSE:SWX) Hits New 12-Month High – Should You Buy?

Southwest Gas Corporation (NYSE:SWX)’s stock price hit a new 52-week high during trading on Friday . The company traded as high as $80.57 and last traded at $80.27, with a volume of 23948 shares traded. The stock had previously closed at $79.33.

Analyst Upgrades and Downgrades

Several equities analysts recently issued reports on the stock. Wall Street Zen raised shares of Southwest Gas from a “hold” rating to a “buy” rating in a report on Friday, June 27th. Jefferies Financial Group lifted their price objective on shares of Southwest Gas from $82.00 to $88.00 and gave the company a “buy” rating in a report on Wednesday, September 10th. Bank of America raised shares of Southwest Gas from a “neutral” rating to a “buy” rating and lifted their price objective for the company from $76.00 to $84.00 in a report on Friday, August 29th. Finally, Weiss Ratings reissued a “hold (c)” rating on shares of Southwest Gas in a report on Wednesday. One research analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating and two have assigned a Hold rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $82.33.

Southwest Gas Trading Down 1.1%

The company has a market capitalization of $5.65 billion, a price-to-earnings ratio of 29.28, a P/E/G ratio of 2.03 and a beta of 0.55. The company has a quick ratio of 0.94, a current ratio of 1.01 and a debt-to-equity ratio of 1.07. The company’s 50 day simple moving average is $78.50 and its two-hundred day simple moving average is $75.08.

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

Southwest Gas Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Monday, December 1st. Shareholders of record on Monday, November 17th will be paid a $0.62 dividend. This represents a $2.48 annualized dividend and a yield of 3.2%. The ex-dividend date is Monday, November 17th. Southwest Gas’s dividend payout ratio (DPR) is 92.54%.

Insider Activity at Southwest Gas

In other news, major shareholder Carl C. Icahn sold 1,500,000 shares of Southwest Gas stock in a transaction on 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 sale, the insider directly owned 6,032,604 shares in the company, valued at approximately $470,000,177.64. The trade was a 19.91% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Insiders own 0.39% of the company’s stock.

Institutional Investors Weigh In On Southwest Gas

Institutional investors and hedge funds have recently made changes to their positions in the stock. Private Trust Co. NA acquired a new stake in shares of Southwest Gas during the second quarter worth $25,000. Farther Finance Advisors LLC lifted its stake in shares of Southwest Gas by 1,055.0% during the first quarter. Farther Finance Advisors LLC now owns 462 shares of the utilities provider’s stock worth $33,000 after buying an additional 422 shares during the period. EverSource Wealth Advisors LLC lifted its stake in shares of Southwest Gas by 223.5% during 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 period. Simplex Trading LLC acquired a new stake in shares of Southwest Gas during the second quarter worth $36,000. Finally, Headlands Technologies LLC lifted its stake in shares of Southwest Gas by 144.0% during 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 period. 92.77% of the stock is currently owned by institutional investors and hedge funds.

About Southwest Gas

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.