C.H. Robinson added to Analyst Focus List at JPMorgan

JPMorgan added C.H. Robinson (CHRW) to the firm’s Analyst Focus List while keeping an Overweight rating on the shares. The Supreme Court’s Montgomery vesus Caribe Transport ruling exposes brokers to the same negligent hiring liability as carriers, the analyst tells investors in a research note. The firm believes smaller truckload carriers and brokers will exit the market over time as this expanded liability will generate higher compliance and insurance costs. JPMorgan believes the market is underappreciating C.H. Robinson’s structural advantages of scale in a post-Montgomery environment.