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Morgan Stanley upgrades Saia to Equal Weight with stock ‘reset to fair value’

As previously reported, Morgan Stanley upgraded Saia (SAIA) to Equal Weight from Underweight with a price target of $250, down from $270. Saia’s Q1 was “a significant miss” and elevated consensus earnings expectations are likely to gap lower after management indicated that the Q1 operating ratio is the new baseline, the analyst tells investors. While the firm cut its FY25, FY26 and FY27 EPS estimates to $11.36, $13.95 and $15.72 from $15.19, $17.06 and $18.11, respectively, today’s move lower brings the stock closer to fair value, the analyst argues.

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