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Knight Transportation (KNX)
NYSE:KNX
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Knight Transportation (KNX) AI Stock Analysis

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KNX

Knight Transportation

(NYSE:KNX)

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Neutral 60 (OpenAI - 5.2)
Rating:60Neutral
Price Target:
$74.00
▲(2.07% Upside)
Action:Reiterated
Date:08/06/26
KNX scores a 60 primarily because strong cash generation and a manageable balance sheet are offset by materially compressed profitability/returns. The latest earnings call was a support (improving rates, better margins, and solid Q3 EPS guidance), but technicals remain weak-to-neutral and the very high P/E weighs on the valuation component.
Positive Factors
Strong cash generation
Sustained operating and free cash flow provides durable financial flexibility: supports dividend policy, debt paydowns, buybacks or targeted investments. Robust cash conversion cushions earnings volatility and funds capital allocation through cycles over the next several months.
Negative Factors
Compressed profitability and returns
Very thin margins and collapsed ROE indicate limited earnings power despite revenue resilience. Low operating leverage reduces capacity to absorb cost shocks, constrains reinvestment and dividend sustainability, and weakens return generation over the next several quarters absent sustained pricing gains.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong cash generation
Sustained operating and free cash flow provides durable financial flexibility: supports dividend policy, debt paydowns, buybacks or targeted investments. Robust cash conversion cushions earnings volatility and funds capital allocation through cycles over the next several months.
Read all positive factors

Knight Transportation (KNX) vs. SPDR S&P 500 ETF (SPY)

Knight Transportation Business Overview & Revenue Model

Company Description
Knight-Swift Transportation Holdings Inc. (KNX) stands as a prominent provider of transportation services, specializing in truckload freight solutions for clients throughout the United States, Mexico, and Canada. Its operational scope is segmented...
How the Company Makes Money
KNX primarily makes money by selling freight transportation capacity and logistics services to shippers. (1) Truckload (TL) revenue: The company generates revenue by hauling full trailer-load shipments using its company-operated fleet and equipmen...

Knight Transportation Earnings Call Summary

Earnings Call Date:Jul 22, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Oct 21, 2026
Earnings Call Sentiment Positive
The call emphasized strong earnings and margin improvement driven by pricing, network efficiencies and segment-level momentum (notably truckload and intermodal), alongside constructive capital markets action (convert issuance) and clear Q3 guidance. These positives are tempered by sector-specific challenges: logistics margin pressure, LTL volume softness earlier in the quarter, rising brokerage insurance costs after the Montgomery ruling, driver recruitment constraints and some one-time charges. Management has actions in place (targeted driver incentives, rate reviews, leveraging academies, disciplined bidding) to capture the tightening market and mitigate risks.
Positive Updates
Consolidated Earnings and Margin Improvement
Consolidated operating income grew $32.2M (44.4% YoY) and adjusted operating income grew $47.2M (45.5% YoY). GAAP EPS was $0.26 (up 23.8% YoY) and adjusted EPS was $0.63 (up 80% YoY). Consolidated adjusted operating ratio improved 240 basis points YoY to 91.4%.
Negative Updates
Logistics Margin Deterioration
Logistics gross margin declined to 15.4%, down 350 basis points YoY, and adjusted operating ratio degraded 160 basis points to 96.4%, driven by tight third-party carrier capacity despite revenue per load growth.
Read all updates
Q2-2026 Updates
Negative
Consolidated Earnings and Margin Improvement
Consolidated operating income grew $32.2M (44.4% YoY) and adjusted operating income grew $47.2M (45.5% YoY). GAAP EPS was $0.26 (up 23.8% YoY) and adjusted EPS was $0.63 (up 80% YoY). Consolidated adjusted operating ratio improved 240 basis points YoY to 91.4%.
Read all positive updates
Company Guidance
Management guided Q3 2026 adjusted EPS of $0.71–$0.77 and mid‑single‑digit year‑over‑year revenue growth (ex fuel), citing continued rate momentum that accelerated in June (truckload revenue per loaded mile +8.4% YoY in June; revenue per loaded mile +5.5% YoY for Q2; revenue per tractor +10.1% YoY) and ongoing contract wins; they expect truck count to be roughly stable sequentially but lower YoY, truckload adjusted operating ratio to be in the high‑80s, and noted Q3 risks including fuel as a potential quarter‑over‑quarter headwind and modest driver‑pay investments (to be offset by efficiency gains, volume recovery and pricing); for context Q2 results included adjusted EPS $0.63 and a consolidated adjusted operating ratio of 91.4%.

Knight Transportation Financial Statement Overview

Summary
Cash flow and the balance sheet are solid (strong TTM operating cash flow and free cash flow; manageable leverage with ~0.38 debt-to-equity), but profitability is currently weak (TTM net margin ~0.6% and operating margin ~2.9%) and returns have compressed (ROE ~0.6%), indicating challenged earnings power in the current cycle.
Income Statement
43
Neutral
Balance Sheet
72
Positive
Cash Flow
76
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue7.73B7.47B7.41B7.14B7.43B6.00B
Gross Profit1.91B2.11B1.80B1.96B2.41B1.97B
EBITDA991.06M1.05B1.03B1.01B1.66B1.47B
Net Income42.94M65.95M117.63M217.15M771.33M743.39M
Balance Sheet
Total Assets12.00B11.96B13.07B13.26B11.14B10.82B
Cash, Cash Equivalents and Short-Term Investments186.11M302.80M365.94M466.35M389.74M354.11M
Total Debt2.68B2.89B2.82B2.67B1.67B1.96B
Total Liabilities5.01B4.86B5.96B6.16B4.18B4.27B
Stockholders Equity6.98B7.08B7.11B7.09B6.95B6.53B
Cash Flow
Free Cash Flow1.14B763.23M-20.09M90.06M635.29M656.06M
Operating Cash Flow1.39B1.27B799.06M1.16B1.44B1.19B
Investing Cash Flow-587.84M-520.39M-759.12M-1.23B-646.18M-1.82B
Financing Cash Flow-880.53M-807.74M-139.40M150.69M-754.35M779.33M

Knight Transportation Technical Analysis

Technical Analysis Sentiment
Negative
Last Price72.50
Price Trends
50DMA
75.28
Negative
100DMA
68.71
Positive
200DMA
60.60
Positive
Market Momentum
MACD
-1.46
Positive
RSI
42.67
Neutral
STOCH
44.44
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KNX, the sentiment is Negative. The current price of 72.5 is below the 20-day moving average (MA) of 72.59, below the 50-day MA of 75.28, and above the 200-day MA of 60.60, indicating a neutral trend. The MACD of -1.46 indicates Positive momentum. The RSI at 42.67 is Neutral, neither overbought nor oversold. The STOCH value of 44.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for KNX.

Knight Transportation Risk Analysis

Knight Transportation disclosed 76 risk factors in its most recent earnings report. Knight Transportation reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Knight Transportation Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
65
Neutral
$9.72B34.2410.63%4.84%-4.34%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
61
Neutral
$6.25B55.093.68%1.06%6.25%-10.92%
60
Neutral
$11.40B255.850.61%1.05%4.07%-74.05%
58
Neutral
$3.08B196.331.26%0.31%3.70%-89.58%
52
Neutral
$2.25B-47.57-3.39%1.32%9.64%-190.02%
52
Neutral
$1.22B94.591.65%1.47%-6.87%-39.59%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
KNX
Knight Transportation
68.67
28.24
69.84%
MRTN
Marten Transport
14.68
3.31
29.07%
SAIA
Saia
355.77
74.28
26.39%
WERN
Werner Enterprises
36.68
11.10
43.37%
ARCB
ArcBest
137.43
69.03
100.92%
SNDR
Schneider National
35.26
11.96
51.36%

Knight Transportation Corporate Events

Business Operations and StrategyDividends
Knight Transportation Declares Quarterly Cash Dividend for Shareholders
Positive
Aug 6, 2026
Knight-Swift Transportation Holdings Inc. said its board of directors on August 5, 2026, declared a quarterly cash dividend of $0.20 per share of common stock. The payout will go to shareholders of record as of September 4, 2026, with the dividend...
Business Operations and StrategyExecutive/Board Changes
Knight-Swift Outlines Founder Retirement and Consulting Transition
Neutral
Jun 4, 2026
On June 3, 2026, company founder and former CEO Kevin P. Knight resigned as Executive Chairman and director of Knight-Swift Transportation Holdings Inc., with the board stating his departure did not stem from any disagreement over operations or po...
DividendsShareholder Meetings
Knight Transportation Board Declares Quarterly Cash Dividend
Positive
May 13, 2026
At its annual meeting of stockholders on May 12, 2026, Knight-Swift Transportation Holdings Inc. shareholders elected eleven directors to serve until the 2027 meeting and approved, on an advisory basis, the compensation of the company’s name...
Business Operations and StrategyPrivate Placements and Financing
Knight Transportation Completes Major Convertible Notes Offering
Positive
May 8, 2026
Knight-Swift Transportation Holdings Inc., on May 8, 2026, completed a private offering of $1.5 billion in 1.00% Convertible Senior Notes due 2031, including the full exercise of an additional $200 million option by initial purchasers. The notes, ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 06, 2026