Analyst Ravi Shanker from Morgan Stanley maintained a Hold rating on JB Hunt (JBHT – Research Report) and keeping the price target at $160.00.
Ravi Shanker has given his Hold rating due to a combination of factors surrounding J.B. Hunt’s recent performance and market conditions. The company reported a first-quarter performance that exceeded expectations, particularly in the Intermodal segment, which saw significant growth. However, despite these positive results, there are concerns about the sustainability of earnings, given the competitive pressures and excess capacity in the market.
Shanker noted that while customer activity remains stable, there is a lack of visibility on future trends, and shippers are adopting a cautious approach due to ongoing uncertainties such as tariffs. Additionally, although the stock price reflects a reasonable valuation based on current earnings estimates, there are still unresolved questions about the company’s long-term earnings potential. As a result, while the recent performance is supportive, there may be more attractive investment opportunities elsewhere, leading to the Hold recommendation.
In another report released today, Barclays also maintained a Hold rating on the stock with a $135.00 price target.
Based on the recent corporate insider activity of 58 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of JBHT in relation to earlier this year.