Bank of America Securities analyst Ken Hoexter reiterated a Hold rating on Old Dominion Freight (ODFL – Research Report) yesterday and set a price target of $167.00.
Ken Hoexter has given his Hold rating due to a combination of factors affecting Old Dominion Freight Line’s financial performance. The company reported a first-quarter earnings per share that slightly exceeded expectations, driven by better-than-anticipated tons per day figures. However, the overall revenue declined by 6% year-over-year, and the operating income also saw a decrease, reflecting ongoing challenges in the freight sector.
Despite achieving some operational efficiencies, Old Dominion Freight Line faces macroeconomic uncertainties that are expected to result in sub-seasonal margin gains in the first and second quarters. The company’s revenue projections for the upcoming quarters are conservative, with anticipated declines in revenue per day. Consequently, Ken Hoexter has adjusted the price objective for the stock to $167, reflecting a cautious outlook amidst extended freight recession concerns.
In another report released today, Barclays also maintained a Hold rating on the stock with a $170.00 price target.
ODFL’s price has also changed moderately for the past six months – from $188.670 to $153.230, which is a -18.78% drop .