|Bid||0.00 x 1800|
|Ask||0.00 x 800|
|Day's Range||121.65 - 124.30|
|52 Week Range||94.80 - 128.70|
|PE Ratio (TTM)||22.88|
|Earnings Date||Oct 24, 2018|
|Forward Dividend & Yield||0.66 (0.53%)|
|1y Target Est||123.08|
SkyWest (SKYW) posts a decline in August block hours, in line with its fleet transition plans. Rise in the key metric, load factor, is another positive.
SkyWest (SKYW) awaits ratification of the provisional deal. Satisfied labor groups generally imply greater operational efficiency.
Of the 24 analysts covering J.B. Hunt Transport Services (JBHT) stock, seven recommend a “strong buy,” and five recommend a “buy.” Eleven analysts recommend a “hold,” and one analyst recommends a “sell.” Their target price of $134.15 per share was 9% higher than the September 5 closing price of $123.07. JBHT’s spectacular growth across all its business segments in the second quarter could be the key to the stock’s upward path going forward.
A tax deduction for capital expenditures according to the new Tax Cuts and Jobs Act is a boon for the transportation industry. Lower taxes also help increase free cash flow. Transportation (IYT) is a cyclical industry that was reeling under pressure due to lower freight volumes in recent years.
Truckload carriers and less-than-truckload carriers need to invest in terminals, fleet, network, other infrastructure, and, most importantly, technology. Usually, road carriers (XLI) that anticipate higher tonnage on their routes add trucks and trailers to their existing fleet. Capital expenditure is normally considered a percentage of total revenue.
The Dow Jones Transportation Average shot up 1.4% toward a record high in morning trade, with all 20 of its components gaining ground, led by trucking stocks. The index hit an all-time intraday high of 11,512.94 earlier in the session, and was well above the Aug. 21 record close of 11,436.36. The gainers were led by shares of truckers J.B. Hunt Transport Services Inc. , up 3.0%, and Landstar System Inc. , up 2.9%, followed by air carrier American Airlines Group Inc. , up 2.0%. Meanwhile, the Dow Jones Industrial Average was down 3 points, and was still 2.6% below its Jan. 26 record close of 26,616.71.
After reviewing the adjusted EPS of major US truckload (IYT) carriers, let’s turn now to their balance sheets to evaluate their debt levels. Net debt is the excess of total debt over cash and cash equivalents. As you can see in the above graph, Knight-Swift Transportation (KNX) has the highest net debt-to-forward EBITDA multiple of ~0.8x among the major truckload companies under discussion.
In this part, we’ll examine the YoY (year-over-year) changes in their second-quarter adjusted earnings. A quick look at the above graph shows that all the major US truckload carriers posted huge gains in their second-quarter adjusted EPS. Werner Enterprises (WERN) reported a whopping 90.6% YoY growth in its second-quarter earnings.
In the previous part of this series, we reviewed major US truckload transporters’ second-quarter revenue growth. Operating ratio is an important metric for transportation companies. It’s expressed as operating expenses as a percentage of revenue.
It was like déjà vu Thursday afternoon in the stock market as the Dow Jones industrial average held a small gain while the tech-heavy Nasdaq fell sharply.
Building up an investment case requires looking at a stock holistically. Today I’ve chosen to put the spotlight on Landstar System Inc (NASDAQ:LSTR) due to its excellent fundamentals in moreRead More...
Many transportation stocks have turned higher in recent weeks and should break out if Canada, Mexico and the United States complete a trilateral trade agreement that replaces NAFTA. It could also be strong enough to quicken the ascent of the S&P 500 toward 3,000, which could mark resistance for months to come.
The American Trucking Association says the United States needs 51,000 more drivers to fill the current deficit. It’s struggling to attract women drivers, which were thought of as a solution to the driver shortage problem. Currently, women make up 6% of the total driver workforce in the United States.
One Columbia Threadneedle fund likes midcap growth stocks the way Little Red Riding Hood liked a certain house owned by bears.
Let’s look now at Expeditor International of Washington’s (EXPD) Airfreight segment, its largest revenue contributor. The segment’s contribution to the company’s net revenue rose 1.8% to 32.4% in the second quarter, from 30.6% in Q2 2017.
In the second quarter, Expeditors International of Washington (EXPD) reported gross revenue of $1.95 billion, up 17% YoY (year-over-year) from $1.67 billion in Q2 2017. The logistics and freight forwarding giant were able to surpass analysts’ revenue estimates by 1.33%.
NEW YORK, Aug. 07, 2018-- In new independent research reports released early this morning, Fundamental Markets released its latest key findings for all current investors, traders, and shareholders of Genocea ...
In the second quarter, United Parcel Service (UPS) was able to exceed the Thomson Reuters–surveyed analysts’ revenue estimate of $17.3 billion. The company reported revenues of $17.4 billion, which beat analysts’ estimate by 0.70%. UPS’s second-quarter revenues were up 9.6% from $15.9 billion in the second quarter of 2017.
“We don't adjust for lumpy claims because it's part of the trucking business, but we note that operationally, Landstar's results are consistent with the generally robust freight environment that others are seeing, and management is doing a good job with the aspects of the business that it controls directly,” Chan wrote in a note. At the same time, revenue per load exceeded guidance, and recruitment for business capacity operators saw the highest ever year-over-year net increase. “Landstar is a solid operator with better access to capacity than most asset-light players in a historically tight market, in our view,” Chan said.
The title appears to be a homonymous play on the movie’s main character’s name, Lone Starr, and the optics that result in the movie when traveling at “ludicrous speed,” a pace which exceeds the speed of light in the Star Wars parody by Mel Brooks. “Landstar is a solid operator with better access to capacity than most asset-light players in a historically tight market, in our view,” wrote Chan. Landstar can distinguish itself from peers with its strong pipeline for new agents -- who ultimately drive volume through its network, wrote Chan.