Analyst Fadi Chamoun of BMO Capital maintained a Buy rating on JB Hunt, retaining the price target of $172.00.
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Fadi Chamoun has given his Buy rating due to a combination of factors that suggest significant upside potential for JB Hunt’s stock. The company’s earnings are expected to surpass $10 per share in the mid-cycle, which forms a strong foundation for a positive outlook. Additionally, JB Hunt’s robust cost management, highlighted by a new $100 million cost savings plan, enhances the visibility of improved performance in its Intermodal and Dedicated segments in the latter half of fiscal 2025 and into 2026.
Moreover, the company’s disciplined capital allocation is evident through record share buybacks, which have been substantial in the first half of fiscal 2025. Despite a slight shortfall in revenue expectations, JB Hunt’s earnings before interest and taxes (EBIT) exceeded forecasts due to effective cost control. The successful conclusion of the bid season is also expected to lead to better network balance and volume growth, positioning JB Hunt well for future gains. These factors collectively reinforce Chamoun’s confidence in the stock’s potential.
In another report released today, Citi also maintained a Buy rating on the stock with a $170.00 price target.