In a recent filing with the Securities & Exchange Commission, Hennessy Advisors Inc. revealed that it has increased its position in shares of Southwest Gas Holdings, Inc. (NYSE: SWX) by 4.1% during the second quarter. The fund now owns 76,917 shares of the utilities provider’s stock, acquiring an additional 3,000 shares during this period. This new investment amounts to approximately $4,896,000 and accounts for around 0.11% of Southwest Gas’ total worth at the end of the reporting cycle.
Southwest Gas announced its quarterly earnings data on August 9th, disclosing an EPS (earnings per share) of $0.47 for the quarter. This surpassed analysts’ consensus estimates by $0.08 and showcased strong financial performance from the company. The company’s revenue for this period amounted to $1.29 billion, surpassing market expectations of $1.12 billion.
Despite challenging market conditions and a negative net margin of 4.01%, Southwest Gas was able to demonstrate a positive return on equity at 6.89%. These figures indicate that Southwest Gas has been successful in effectively managing its operations and maintaining profitability amidst industry-wide difficulties.
Equities research analysts are optimistic about Southwest Gas’ future prospects and predict that it will achieve earnings per share of 3.38 for the current year.
Overall, these recent developments highlight Hennessy Advisors Inc.’s confidence in Southwest Gas Holdings, Inc., leading them to increase their investment in the utilities provider’s stock during the second quarter. With strong quarterly earnings results and positive market projections, Southwest Gas appears poised for continued success in the industry moving forward.
It is advised that potential investors closely monitor Southwest Gas’ performance in subsequent quarters to evaluate if it continues to deliver results consistent with expectations from both analysts and shareholders alike.
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Institutional Investors and Hedge Funds Show Interest in Southwest Gas Holdings, Inc. as Major Shareholder Makes Significant Acquisitions
Southwest Gas Holdings, Inc. (NYSE: SWX) has recently attracted the attention of various institutional investors and hedge funds, who have been actively buying and selling shares of the company. New Mexico Educational Retirement Board, for instance, increased its position in Southwest Gas by 18.8% during the second quarter of this year. The board now holds a total of 13,300 shares in the utilities provider’s stock, with a value of approximately $847,000. This increase was due to an additional acquisition of 2,100 shares over the past quarter.
Similarly, AdvisorNet Financial Inc also saw significant growth in its holdings in Southwest Gas during the same period. The company expanded its position by 52.4%, acquiring an additional 1,001 shares worth approximately $185,000. Pacer Advisors Inc. witnessed even greater growth in its position in Southwest Gas as it added 8,110 shares to reach a total holding of 11,500 shares valued at $732,000.
Other firms that have seen slight increases in their positions in Southwest Gas include Buckley Wealth Management LLC and Maryland State Retirement & Pension System. Buckley Wealth Management LLC grew its holdings by 8.3%, adding an extra 500 shares to reach a total ownership of 6,500 shares valued at $414,000 during the second quarter. Maryland State Retirement & Pension System also experienced a modest increase of 4.1%, acquiring an additional 2,740 shares with a value of approximately $4,412,000.
It is worth noting that institutional investors currently own the majority stake in Southwest Gas Holdings Inc., accounting for about 90.98% of the company’s stock.
In relation to equity research analysts’ opinions on SWX stock performance and potential for growth prospects; Citigroup reduced their price target for Southwest Gas from $66.00 to $64.00 based on their research report released on June 1, 2023. Conversely, StockNews.com upgraded their rating from “sell” to “hold” in a research report published on September 5, 2023. Furthermore, according to Bloomberg.com, Southwest Gas has an average rating of “Hold,” with a consensus target price of $72.40.
In other developments, major shareholder Carl C. Icahn recently acquired substantial shares in Southwest Gas. On September 11th, Icahn purchased 61,702 shares at an average cost of $61.48 per share, amounting to a total value of $3,793,438.96. This was followed by another acquisition of 27,466 shares on September 21st for an average cost of $62.00 per share worth $1,702,892. In total,Calletacquired111575sharesvaluedat$6-7 million dollars during the last quarter alone.Most intriguingly,the insider nowpossesses alarge portionofthecompany’sstock,totaling10-million-plus shar with anestimated worth exceeding five-hundred million dollars or more.
Shares of Southwest Gas Holdings Inc.openeed slightly lower on Tuesday,having commenced tradingat around$62.43 each.The company is currently valued at approximately$4.46 billionon the market and boasts aprice-to-earnings ratioof-18:98.Asa result,the utilities provider’s stock bearsa uniquecharacteristic that someinvestorsfindintriguing.Giventhe firm’s current debt-to-equity ratioof1:62and quickcurrentratioof2:12,itmaybe prudent for investors toadequately considerthecompany’s financial health before making anyinvestmentdecisions.Lastly,itmust behighlightedthatSouthwestGasHolding sedan experienced adapt that rangestop-tier(that)one-year highvaluedat$76:82down (to)aswell-as $53.79swithin 365-day timebframe.”
In conclusion, Southwest Gas Holdings, Inc. has attracted the interest of institutional investors and hedge funds due to its potential for growth and stability in the utilities sector. Increases in positions by notable firms such as New Mexico Educational Retirement Board, AdvisorNet Financial Inc, Pacer Advisors Inc., Buckley Wealth Management LLC, and Maryland State Retirement & Pension System have contributed to the company’s appeal. Additionally, major shareholder Carl C. Icahn’s recent acquisitions demonstrate a strong belief in the potential of Southwest Gas. However, investors should exercise caution and carefully evaluate the company’s financial standing before making any investment decisions.
