What's in the Cards for Knight-Swift (KNX) in Q2 Earnings?
Knight-Swift Transportation Holdings Inc. (KNX) is scheduled to report second-quarter 2023 results on Jul 20, after market close.
Let’s see how things have shaped up for Knight-Swiftthis earnings season.
Q2 Expectations
The Zacks Consensus Estimate for Knight-Swift’s second-quarter 2023 revenues is pegged at $1.60 billion, indicating a 18.67% decline year over year. The top line is expected to have been weighed down due to soft freight demand.
Moreover, driver shortage continues to be a major challenge facing the trucking industry. As old drivers retire, trucking companies find it difficult to hire drivers since the job does not appeal to the younger generation. Further, escalating operating expenses, led by high fuel costs, are likely to have dented the prospects of the truck transport providers.
High costs related to driver wages, equipment, maintenance, fuel and other expenses are likely to have restricted Knight-Swift’s bottom-line growth. Notably, the Zacks Consensus Estimate for KNX’s second-quarter 2023 earnings per share (EPS) has been revised downward by 37.1% in the past 90 days to 61 cents.
What Our Model Says
Our proven model does not conclusively predict an earnings beat for Knight-Swift this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Knight-Swift has an Earnings ESP of -19.08% and a Zacks Rank #3.
Knight-Swift Transportation Holdings Inc. Price and EPS Surprise
Knight-Swift Transportation Holdings Inc. price-eps-surprise | Knight-Swift Transportation Holdings Inc. Quote
Highlights of Q1
Knight-Swift's first-quarter 2023 EPS (excluding 9 cents from non-recurring items) of 73 cents missed the Zacks Consensus Estimate of 83 cents and fell 45.9% year over year.
Total revenues of $1,636.9 million also underperformed the Zacks Consensus Estimate of $1,656.3 million. The top line plunged 10.4% year over year due to soft freight demand.
Stocks to Consider
Here are a few stocks from the broader Zacks Transportation sector that investors may consider, as our model shows that these have the right combination of elements to beat on their second-quarter 2023 earnings:
Copa Holdings, S.A. (CPA) has an Earnings ESP of +0.82% and a Zacks Rank #2. CPA will release results on Aug 9. You can see the complete list of today’s Zacks #1 Rank stocks here.
Copa Holdings has an expected earnings growth rate of more than 100% for second-quarter 2023. CPA delivered a trailing four-quarter earnings surprise of 14.60%, on average.
The Zacks Consensus Estimate for CPA’s second-quarter 2023 earnings has been revised upward by 94% in the past 90 days.
American Airlines (AAL) has an Earnings ESP of +0.53% and a Zacks Rank #3. AAL will release results on Jul 20.
American Airlines has an expected earnings growth rate of more than 100% for second-quarter 2023. AAL delivered a trailing four-quarter earnings surprise of 12.90%, on average.
The Zacks Consensus Estimate for AAL’s second-quarter 2023 earnings has been revised upward by 50.9% in the past 90 days.
Alaska Air (ALK) has an Earnings ESP of +0.72% and a Zacks Rank #3. ALK will release results on Jul 25.
Alaska Air has an expected earnings growth rate of 21% for second-quarter 2023.
The Zacks Consensus Estimate for ALK’s second-quarter 2023 earnings has been revised upward by 36.1% in the past 90 days.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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Knight-Swift Transportation Holdings Inc. (KNX) : Free Stock Analysis Report
Copa Holdings, S.A. (CPA) : Free Stock Analysis Report
American Airlines Group Inc. (AAL) : Free Stock Analysis Report
Alaska Air Group, Inc. (ALK) : Free Stock Analysis Report
