J.B. Hunt Transport Companies (JBHT) holds a Zacks Rank #5 (Robust Promote) and is a transportation and logistics firm providing a various array of providers designed to help companies with their delivery and provide chain necessities.
The corporate reported one other earnings miss, sustaining a development that has stored the inventory underneath strain lately.
With earnings estimates head decrease, is it time for buyers to search for a special participant within the sector?
Concerning the Firm
J.B. Hunt Transport Companies, Inc. gives a spread of floor transportation, supply, and logistics providers throughout the U.S. by 5 segments: Intermodal, Devoted Contract Companies, Built-in Capability Options, Ultimate Mile Companies, and Truckload.
The corporate presents freight options utilizing a fleet of owned and managed tools, together with tractors, trailers, and unbiased contractor vans. It serves a big selection of industries with transportation choices similar to dry-van, refrigerated, expedited, and flatbed freight, and operates a multimodal logistics market.
Based in 1961, J.B. Hunt is headquartered in Lowell, Arkansas. JBHT is valued at $17 billion and has a Ahead PE of 25. The inventory holds Zacks Model Scores of “D” in Worth, However “A” in Development.
Q3 Earnings
J.B. Hunt reported disappointing This fall earnings, lacking EPS by a 5.5%. Whereas earnings had been up 4.0% over final yr’s EPS of $1.47, it displays a troubling development of underperformance when in comparison with analyst projections. The income of $3.15 billion, although in keeping with estimates, represents a 4.77% lower year-over-year, signaling potential challenges in sustaining top-line development amid a shifting logistics panorama.
J.B. Hunt has missed earnings expectations eight out of the final 9 quarters, elevating issues in regards to the firm’s potential to navigate the present macroeconomic atmosphere. Traders reacted negatively, with shares dipping over 10% following the report.
Wanting on the broader image, J.B. Hunt’s $157.65 million income decline highlights the strain it’s going through, with weaker earnings suggesting that tightening financial circumstances might proceed to impression profitability and development.
Earnings Estimates
Estimates have seen important cuts throughout all time frames for the reason that earnings report final week
For the present quarter, forecasts have dropped 7% over the previous 7 days, from $1.46 to $1.36.
Seeking to subsequent quarter, estimates have declined 5% in that very same interval, down from $1.70 to $1.61.
For the total yr, projections have been adjusted downward by 3%, now at $7.01 from $7.25.
J.B. Hunt Transport Companies, Inc. Value and Consensus
J.B. Hunt Transport Services, Inc. price-consensus-chart | J.B. Hunt Transport Companies, Inc. Quote
Subsequent yr’s outlook follows a development of revision downward during the last 90 days. Estimates have fallen 3% over that time-frame, right down to $8.52 from $8.76.
Whereas many analysts are sustaining their bullish scores, they’ve lowered their worth targets:
Benchmark: Reiterates Purchase, maintains worth goal of $195.
JP Morgan: Maintains Obese, lowers worth goal to $200 (from $205).
Wells Fargo: Maintains Obese, lowers worth goal to $190 (from $200).
BofA Securities: Maintains Purchase, lowers worth goal to $189.
Technical Take
The current down transfer is threatening to interrupt some technical help, with the 200-day holding barely holding after earnings. If that $172 stage had been to interrupt, the 2024 lows at $155 could possibly be in play.
If the bulls can fill the earnings hole, it could be a optimistic sign, however till then the bears have management. Search for a transfer right down to $160 if the 200-day MA is damaged.
In Abstract
J.B. Hunt continues to face important headwinds, with persistent earnings misses, declining income, and downward earnings estimate revisions indicating a troublesome street forward.
Regardless of analysts sustaining bullish scores, their lowered worth targets replicate rising warning, and the inventory’s technical help is underneath growing strain.
Till the corporate reveals indicators of turning issues round, the bearish sentiment is more likely to persist. For these within the logistics area, a greater possibility is perhaps Knight-Swift Transportation (KNX). The inventory is a Zacks Rank #3 (Maintain) that’s coming off a 3% earnings beat and buying and selling larger up to now in 2025.
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J.B. Hunt Transport Services, Inc. (JBHT) : Free Stock Analysis Report
Knight-Swift Transportation Holdings Inc. (KNX) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the creator and don’t essentially replicate these of Nasdaq, Inc.
