Analyst Christian Wetherbee from Wells Fargo maintained a Buy rating on JB Hunt (JBHT – Research Report) and keeping the price target at $150.00.
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Christian Wetherbee has given his Buy rating due to a combination of factors that suggest a positive outlook for J.B. Hunt. The company’s intermodal volumes have remained steady, and the rail service, particularly in the East, has been reliable, enabling J.B. Hunt to offer a strong service product. This stability, coupled with potential cost savings from modal share opportunities, positions the company well for consistent volume and improved margins in the latter half of the year.
Furthermore, J.B. Hunt is adopting a comprehensive approach to cost management, focusing on reducing driver and maintenance costs to enhance margins during the ongoing downturn. The trucking supply and demand dynamics are nearing equilibrium, with capacity adjustments and increased enforcement potentially tightening supply further. Additionally, while pricing for intermodal and highway services is expected to remain flat to slightly up, dedicated contract pricing is anticipated to rise, aligning with inflation indicators. These strategic initiatives and market conditions underpin Wetherbee’s optimistic Buy rating for J.B. Hunt.
In another report released on May 30, Raymond James also reiterated a Buy rating on the stock with a $155.00 price target.
JBHT’s price has also changed moderately for the past six months – from $182.280 to $145.180, which is a -20.35% drop .