Hub Group upgraded to Outperform from Market Perform at Raymond James

Raymond James analyst Patrick Tyler Brown upgraded Hub Group (HUBG) to Outperform from Market Perform with a $40 price target. The company is “uniquely positioned” to benefit from the Union Pacific (UNP), Norfolk Southern (NSC) merger as Hub is the largest intermodal marketing company that has both rails as its primary partners, affording network density synergies and outsized intermodal conversion opportunities, the analyst tells investors in a research note. Raymond James believes Hub’s near-term yield pressure and brokerage headwinds are well understood and priced into shares at this point.