Southwest Gas Holdings, Inc. (SWX) — Fundamental Analysis & Key Financial Ratios

Kaplio overview: Southwest Gas Holdings, Inc.

Market cap $7B · 52 weeks $79 – $94 (0 % below the high) · P/E 12.9× · 2027 expected P/E 18.5× · Dividend 2.7 % · Next earnings November 4, 2026 · expected EPS $0.14 · Closing price, Oct 29 · accounts published Aug 5.

• Valuation: P/E 12.9× (fairly priced).
• Business: ROE 12.9 % (fair).
• Balance sheet: Net debt/EBITDA 3.4× (solid).
• Earnings: 5 of 8 (uneven).

What would it be worth at its usual multiples?

On those earnings: at the decade median (21.6×) $108 (+17 %); at its sector median (20.7×) $104 (+12 %). Implied price from applying the reference multiples to today's earnings (or book value, or FFO) per share. Not a fair value: it is where the stock would trade at its usual multiples.

Note: earnings per share over the last twelve months ($7.17) are far from the consensus for 2027 ($5.00); that is why this range uses expected earnings.

What matters in utilities: 3 of 6 pass

• 5y EPS growth 8.0 %, fails.
• Interest coverage 2.3×, fails.
• Regulated ROE (8-12%) 12.9 %, borderline.
• 10y dividend growth 4.6 %, passes.
• Net debt / EBITDA 3.4×, passes.
• Payout Ratio 40.6 %, passes.

Against its peers (reference peers) — Southwest Gas Holdings, Inc.: P/E 12.9×; EV/EBITDA 11.4×; ROIC 62.3 %; $6.7B. UGI Corporation (P/E 12.9×; EV/EBITDA 9.4×; ROIC 6.4 %; $8.3B), New Jersey Resources Corporation (P/E 14.7×; EV/EBITDA 11.6×; ROIC 5.6 %; $5.4B), Spire Inc. (P/E 9.5×; EV/EBITDA 14.2×; ROIC 3.1 %; $5.1B).

Expensive or cheap against its last ten years?

P/E at each close: today 12.9× · median 21.6× · minimum 11.5× · maximum 36.7× · cheap below 18.3× · expensive above 27.8×. Earnings over the last 12 months are distorted: today's P/E compared with its history is not representative.

Dividend

tight · Yield 2.7 % ($2.47 per share in 2025) · 5-year growth +2 % a year · Free cash flow coverage -0.4× · With $1,000 invested today you'd collect $27.20 a year ($2.27 a month).