Southwest Gas Holdings, Inc.

UNDERVALUEDSWX · NYSE · Utilities
SWX·NYSE·Utilities
UNDERVALUED
Southwest Gas Holdings, Inc.
23.2%upside
MARKET PRICE
$93.40
FAIR PRICE
$115.05
MARGIN
$21.65
UNDERVALUEDFAIROVERVALUED
P/E RATIO
14.3x
DIV. YIELD
3.41%
ROE
12.6%
MARKET CAP
$7B
FPI
fairpriceindex.com

FAIR PRICE VALUATION

23.2%upside

Updated daily

Model: DCF 50% · Relative 30% · Consensus 20%

MARKET PRICE

$93.40

FAIR PRICE

$115.05

MARGIN

$21.65

UNDERVALUEDFAIROVERVALUED

P/E Ratio

14.3x

What is P/E? →

Div. Yield

3.41%

ROE

12.6%

Average

Market Cap

$7B

Mid-cap

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FPI RATING

6.1/ 10

Consistent growth trajectory and low debt levels, but volatile earnings pattern.

Analytical data, not an investment recommendation. Updated daily.

How we calculate this ↗

MARGIN OF SAFETY

A 20% margin of safety below fair value — the conservative entry level for risk-aware investors.

$92.04CONSERVATIVE ENTRY
$115.05FAIR PRICE
$93.40MARKET PRICE

SAFETY MARGIN

20%

Below fair value

ENTRY LEVEL

$92.04

Fair price × 0.80

DISTANCE

1.5%

Price to entry level

At the current price of $93.40, SWX trades 1.5% above the conservative entry level of $92.04. This entry level represents a 20% margin of safety below the calculated fair price of $115.05 — a buffer that accounts for estimation uncertainty in the valuation model.

Margin of safety is a risk management concept, not an investment recommendation. The 20% threshold follows Benjamin Graham's value investing framework. Fair price and entry levels are model-based estimates updated daily. Learn more about Margin of Safety ↗

VALUATION HISTORY

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P/E RATIO HISTORY

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METHODOLOGY

How we calculate SWX's fair price

Southwest Gas Holdings, Inc.'s fair price of $115.05 is derived from a blended model that combines DCF analysis (50%), relative valuation against Utilities peers using metrics like P/E and EV/EBITDA (30%), and analyst consensus (20%). At the current market price of $93.40, SWX trades 23.2% below its calculated fair value.

DCF MODEL · 50%

Discounted free cash flow analysis based on projected cash flows, discounted at a rate reflecting SWX's risk profile.

RELATIVE · 30%

Comparing SWX's valuation multiples against Utilities peers to determine if the stock is over or undervalued relative to its industry.

ANALYST · 20%

Aggregated analyst price targets for SWX, weighted by recency and analyst accuracy.

TRY IT YOURSELF

Want to test your own assumptions? Use our free calculators to estimate SWX's fair value with your own inputs.

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FAQ

What is the fair price of SWX?+

Based on our blended model combining DCF analysis (50%), relative valuation against Utilities peers (30%), and analyst consensus (20%), the fair price for Southwest Gas Holdings, Inc. is $115.05. At the current market price of $93.40, SWX trades 23.2% below its calculated fair value.

Is SWX overvalued or undervalued?+

Southwest Gas Holdings, Inc. is currently undervalued based on our valuation model. The stock trades at $93.40, which is 23.2% below the fair price of $115.05. The P/E ratio of 14.3x is a key metric in the valuation.

What is the margin of safety for SWX?+

With a 20% margin of safety applied to the fair price of $115.05, the conservative entry level for SWX is $92.04. At the current market price of $93.40, the stock trades 1.5% above this entry level. Margin of safety is a risk management concept from Benjamin Graham's value investing framework, not an investment recommendation.

How often is SWX's fair price updated?+

We update fair price calculations for SWX daily after market close. The current fair price of $115.05 incorporates the latest market data and sector multiples.

What factors affect SWX's fair price calculation?+

SWX's fair price of $115.05 is derived from DCF analysis (50% weight), relative valuation against Utilities peers (30% weight), and analyst consensus (20% weight). Key metrics include P/E of 14.3x, ROE of 12.6%, and dividend yield of 3.41%.

Is SWX a good buy right now?+

At $93.40, SWX trades 23.2% below our fair value estimate of $115.05. The stock is currently undervalued. ROE stands at 12.6% (average). Fair Price Index provides valuation data — always do your own research before investing.

Does SWX pay dividends?+

SWX has a dividend yield of 3.41%.

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Fair Price Index is for informational purposes only and does not constitute investment advice. Fair value calculations are model-based estimates and may not reflect actual market conditions. Always conduct your own research before making investment decisions.