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Southwest Gas (SWX) Stock Analysis

Utilities Updated September 05, 2026
$88.06
52W $76.59 – $94.47
64/100
$6.42B
12.4
0.57
AI Committee Verdict
Buy
64/100
Conviction: Moderate · 67% agreement · 6 analysts
+1.5%
-4.7%
0.33:1
Moderate
Buy rating, but near-term risk/reward is unfavorable
The long-term recommendation is based on the composite investment score. The near-term risk/reward is based on nearby support and resistance levels. These can differ when a strong company trades close to resistance with support further below.

Is SWX Bullish or Bearish?

Bullish. Innellis AI committee rates Southwest Gas Corp (SWX) Buy with a composite score of 64/100 , based on 6 analysts with 67% agreement. Last updated September 05, 2026.

What Would Change This View

Upgrade to Strong Buy
Requires a committee score of 75.0 — +11.32 from today. Applies on the first day at or above the line; upgrades are never dampened.
Downgrade to Watch
Requires the score to fall below 55.0 — -8.68 from today. The band boundary is 60.0, but a one-step downgrade must clear a further margin first. A score oscillating around the line should not change the rating every night.

Executive Summary

The primary driver is p/e of 12.4 is inexpensive for the broad market. The main limiting factor is revenue declining -15.3% yoy -- this is not a growth story right now. The committee is constructive but not yet at full conviction.

Bull & Bear Case

Bull Case
  • P/E of 12.4 is inexpensive for the broad market — Value
  • Price-to-book of 1.5x is a discount to asset value — Value
  • Dividend yield of 4.1% pays you to wait — Value
  • EPS growing 166.8% YoY — Growth
  • News sentiment is positive (+0.50 across 2 articles, 14d) — News
Bear Case
  • Revenue declining -15.3% YoY -- this is not a growth story right now — Growth
  • Growth rate is decelerating quarter over quarter -- the trend line matters more than the level — Growth
  • MACD histogram negative -- bearish momentum — Technical
Both cases are generated from quantitative data signals, not qualitative or forward-looking judgement. They summarise what the numbers say today.
Price History (6M)

AI Investment Committee

Committee Consensus As of September 05, 2026
Overall Committee Score
64/100
Agreement
67%
Analysts
6
Conviction
Moderate
Sector Rank
Top 3%
of 56 Utilities peers
Value Analyst bullish
80 / 100 · Moderate confidence
Classic value case: cheap on multiples with earnings power to back it up
+ P/E of 12.4 is inexpensive for the broad market
Growth Analyst neutral
45 / 100 · High confidence
Moderate growth -- present but not remarkable
+ EPS growing 166.8% YoY
− Revenue declining -15.3% YoY -- this is not a growth story right now
Technical Analyst neutral
48 / 100 · High confidence
Mixed or range-bound price action
− MACD histogram negative -- bearish momentum
Risk Analyst bullish
70 / 100 · Low confidence
Risk profile is manageable -- leverage, volatility, and event exposure all look contained
Macro Analyst bullish
65 / 100 · Low confidence
Macro backdrop is supportive of risk assets generally, and this name's beta works in its favor
News Analyst bullish
74 / 100 · Low confidence
News flow and recent filings/analyst actions are net positive
+ News sentiment is positive (+0.50 across 2 articles, 14d)
Portfolio Manager neutral
45 / 100 · High confidence
Portfolio-level factors are mixed -- worth a deliberate sizing decision, not a default-size position
+ Portfolio position concentration is currently healthy
− Sector concentration is already high (HHI 3059.07)
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Investment Thesis Evolution

Committee score moved marginally from 63.7 to 63.7.

Comparing 2026-09-04 to 2026-09-05 (1 day apart).

Technical Analysis

RSI (14)
38.2
Neutral
MACD Histogram
-0.225
Bearish Momentum
Trend Direction
Sideways
Weekly: Uptrend
Market Structure
Mixed
Support
$84.51
Resistance
$89.98
Bollinger %B
0.18
Inside Bands
Price vs Moving Averages
EMA 9
$89.32 Below
EMA 21
$90.03 Below
EMA 50
$90.27 Below
EMA 200
$87.14 Above

Fundamental Analysis

Valuation
100
Growth
40
Profitability
72
Financial Health
54
Cash Flow
15
Valuation
P/E Ratio 12.4×
P/B Ratio 1.56×
PEG Ratio 0.07
Dividend Yield 2.85%
52W High $94.47
52W Low $76.59
Quality & Growth
ROE 1110.4%
ROA 421.7%
Gross Margin 5660.7%
Operating Margin 2868.3%
Revenue Growth YoY
Debt / Equity 0.85
AI Fundamental Assessment
P/E ratio of 12.4 (inexpensive relative to a 15-40x range); Price-to-book of 1.6x; PEG ratio of 0.1 (under 1.0 suggests growth is undervalued relative to price); Return on equity of 11.1%; Return on assets of 4.2%; Net margin of 29.8%; Gross margin of 56.6%; Current ratio of 1.12 (tight short-term liquidity); Debt-to-equity of 0.85; Free cash flow per share is negative (-11.44); Most recent quarter beat estimates by 27.4%; EPS growth decelerating (+40.4% -> -69.6% QoQ); Analyst estimates falling over recent quarters
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