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SWX
Upturn stock ratingUpturn stock rating

Southwest Gas Holdings Inc (SWX)

Upturn stock ratingUpturn stock rating
$71.92
Delayed price
upturn advisory
PASS
  • BUY Advisory
  • SELL Advisory (Profit)​
  • SELL Advisory (Loss)​
  • Profit
  • Loss
  • Pass (Skip investing)
Upturn Stock infoUpturn Stock info Stock price based on last close
*as per simulation
(see disclosures)
Time period over
  • ALL
  • YEAR
  • MONTH
  • WEEK

Upturn Advisory Summary

04/01/2025: SWX (1-star) is currently NOT-A-BUY. Pass it for now.

Upturn Star Rating

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Not Recommended Performance

These Stocks/ETFs, based on Upturn Advisory, consistently fall short of market performance, signaling caution before investing.

AI Based Fundamental Rating

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Moderate Performance

These Stocks/ETFs, based on Upturn Advisory, typically align with the market average, offering steady but unremarkable returns.

Analysis of Past Performance

Type Stock
Historic Profit 10.39%
Avg. Invested days 50
Today’s Advisory PASS
Upturn Star Rating Upturn stock ratingUpturn stock rating
Upturn Advisory Performance Upturn Advisory Performance 3.0
Stock Returns Performance Upturn Returns Performance 2.0
Upturn Profits based on simulationUpturn Profits based on simulation Profits based on simulation
Upturn Profits based on simulationUpturn Profits based on simulation Last Close 04/01/2025

Key Highlights

Company Size Mid-Cap Stock
Market Capitalization 5.17B USD
Price to earnings Ratio 26.06
1Y Target Price 78.14
Price to earnings Ratio 26.06
1Y Target Price 78.14
Volume (30-day avg) 448118
Beta 0.36
52 Weeks Range 62.73 - 79.64
Updated Date 04/1/2025
52 Weeks Range 62.73 - 79.64
Updated Date 04/1/2025
Dividends yield (FY) 3.45%
Basic EPS (TTM) 2.76

Analyzing Revenue: Products, Geography and Growth

Revenue by Products

Product revenue - Year on Year

Revenue by Geography

Geography revenue - Year on Year

Earnings Date

Report Date -
When -
Estimate -
Actual -

Profitability

Profit Margin 3.89%
Operating Margin (TTM) 14.57%

Management Effectiveness

Return on Assets (TTM) 2.62%
Return on Equity (TTM) 5.77%

Valuation

Trailing PE 26.06
Forward PE 19.12
Enterprise Value 9861869104
Price to Sales(TTM) 1.01
Enterprise Value 9861869104
Price to Sales(TTM) 1.01
Enterprise Value to Revenue 1.93
Enterprise Value to EBITDA 10.1
Shares Outstanding 71847904
Shares Floating 66631011
Shares Outstanding 71847904
Shares Floating 66631011
Percent Insiders 0.5
Percent Institutions 89.83

Analyst Ratings

Rating 3.5
Target Price 77.4
Buy -
Strong Buy 2
Buy -
Strong Buy 2
Hold 3
Sell 1
Strong Sell -
Strong Sell -

ai summary icon Upturn AI SWOT

Southwest Gas Holdings Inc

stock logo

Company Overview

overview logo History and Background

Southwest Gas Holdings, Inc. was founded in 1931 in Las Vegas, Nevada. Initially focused on providing natural gas service, it has grown through acquisitions and expansions. Notable milestones include diversifying into infrastructure services and expanding its service territory.

business area logo Core Business Areas

  • Natural Gas Operations: This segment distributes natural gas to residential, commercial, and industrial customers in Arizona, Nevada, and California.
  • Centuri Group: This segment provides infrastructure services to utilities, including pipeline construction, maintenance, and repair.

leadership logo Leadership and Structure

Karen Haller is the President and CEO. The company has a board of directors and is structured into operating segments.

Top Products and Market Share

overview logo Key Offerings

  • Natural Gas Distribution: Distribution of natural gas to over 2 million customers. Market share varies by region. Competitors include other regional gas utilities like SoCalGas and PG&E in overlapping regions and electrical utilities for heating purposes. Revenue for Natural Gas Operations = $3.663B (2023)
  • Infrastructure Services: Construction, maintenance, and repair of energy infrastructure. Centuri revenue for 2023 = $3.586B. Competitors include other infrastructure service providers like Primoris Services Corporation and MasTec.

Market Dynamics

industry overview logo Industry Overview

The natural gas distribution industry is mature and regulated, with stable demand. The infrastructure services sector is growing due to aging infrastructure and new construction.

Positioning

Southwest Gas Holdings is a major player in natural gas distribution in the Southwest U.S. and a significant infrastructure service provider.

Total Addressable Market (TAM)

TAM for US Gas Distribution is estimated at hundreds of billions. The infrastructure services market is also large, with significant growth potential. SWX is a relevant player in both markets.

Upturn SWOT Analysis

Strengths

  • Stable revenue from regulated natural gas distribution
  • Diversified business model with infrastructure services
  • Strong presence in growing regions of the Southwest
  • Experienced management team

Weaknesses

  • Exposure to regulatory risks
  • Dependence on commodity prices
  • Debt Load post Questar acquisition
  • Capital expenditure intensive business

Opportunities

  • Expansion of natural gas infrastructure in growing regions
  • Increased demand for infrastructure services
  • Acquisition opportunities
  • Investment in renewable natural gas and hydrogen

Threats

  • Increasing competition from alternative energy sources
  • Rising interest rates
  • Environmental regulations
  • Economic downturns

Competitors and Market Share

competitor logo Key Competitors

  • SO
  • CNP
  • OKE

Competitive Landscape

Southwest Gas competes with other large utilities and infrastructure service providers. It has a competitive advantage in its service territory due to regulated monopolies in some areas.

Major Acquisitions

Questar Pipelines

  • Year: 2021
  • Acquisition Price (USD millions): 1975
  • Strategic Rationale: Expanded SWX's infrastructure footprint and diversified its earnings.

Growth Trajectory and Initiatives

Historical Growth: Historical growth has been driven by acquisitions and organic growth in natural gas distribution and infrastructure services.

Future Projections: Analysts project continued revenue growth, driven by infrastructure investments and population growth in the Southwest. EPS growth is expected to be slower due to higher interest expenses and increased expenses.

Recent Initiatives: Focus on infrastructure upgrades and modernization, expansion of renewable natural gas initiatives, and cost management efforts.

Summary

Southwest Gas Holdings is a stable utility company with a growing infrastructure services business. While it benefits from regulated natural gas distribution and expansion opportunities, its high debt levels and regulatory environment pose challenges. Recent acquisitions have boosted revenue but increased financial risks. SWX needs to focus on debt reduction and operational efficiency.

Similar Companies

  • SO
  • CNP
  • OKE
  • MDU

Sources and Disclaimers

Data Sources:

  • Company filings (10-K, 10-Q), Investor presentations, Analyst reports, Market research reports

Disclaimers:

This analysis is for informational purposes only and should not be considered financial advice. Investment decisions should be based on individual circumstances and consultation with a qualified financial advisor. Market share data is based on publicly available estimates and may not be precise.

Upturn AI SummarizationUpturn AI Summarization AI Summarization is directionally correct and might not be accurate.

Upturn AI SummarizationUpturn AI Summarization Summarized information shown could be a few years old and not current.

Upturn AI SummarizationUpturn AI Summarization Fundamental Rating based on AI could be based on old data.

Upturn AI SummarizationUpturn AI Summarization AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.

About Southwest Gas Holdings Inc

Exchange NYSE
Headquaters Las Vegas, NV, United States
IPO Launch date 1987-12-30
President, CEO & Director Ms. Karen S. Haller
Sector Utilities
Industry Utilities - Regulated Gas
Full time employees 11122
Full time employees 11122

Southwest Gas Holdings, Inc., through its subsidiaries, purchases, distributes, and transports natural gas for residential, commercial, and industrial customers in Arizona, Nevada, and California. The company operates through two segments, Natural Gas Distribution and Utility Infrastructure Services. It offers tariff sales and transportation services. The company also provides installation, replacement, repair, and maintenance of energy distribution systems, as well as undertakes gas construction works in North America. Southwest Gas Holdings, Inc. was incorporated in 1931 and is headquartered in Las Vegas, Nevada.

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