UBS upgrades Expeditors to Buy on growth in Customs segment

UBS upgraded Expeditors (EXPD) to Buy from Neutral with a price target of $166, up from $138. The firm believes growth in the company’s Customs and other segment to offset pressure from lower ocean rates in 2026. Expeditors shares are not pricing in potential productivity gains, the analyst tells investors in a research note. UBS upped its 2026 earnings per share to $6.90 from $6.58 on productivity gains and believes lower ocean rates are already reflected in the stock’s valuation.