Knight Transportation (KNX)
NYSE:KNX
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Knight Transportation
(NYSE:KNX)
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Rating:60Neutral
Price Target:
$56.00
▼(-10.36% Downside)
Action:ReiteratedDate:02/13/26
KNX scores as a moderate setup: strong 2025 cash-flow improvement and a generally sound balance sheet support the base case, while technicals are currently positive with the stock trading above key moving averages. The main constraints are weak recent profitability/returns and a very elevated P/E, with near-term guidance remaining cautious despite improving operational momentum.
Positive Factors
Strong free cash flow recovery
Material FCF and operating cash flow improvement in 2025 materially increases financial flexibility. Sustained cash generation supports capex, dividend increases, receivables refinancing and strategic investments without heavy reliance on external equity, improving resilience through industry cycles.
Negative Factors
Revenue decline and compressed profitability
A >10% revenue drop and collapse of net margin and ROE to near 1% reflect meaningful demand and pricing pressure. Sustained weak profitability limits reinvestment capacity, raises the hurdle for restoring historical returns, and makes earnings highly sensitive to modest adverse operating shifts.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong free cash flow recovery
Material FCF and operating cash flow improvement in 2025 materially increases financial flexibility. Sustained cash generation supports capex, dividend increases, receivables refinancing and strategic investments without heavy reliance on external equity, improving resilience through industry cycles.
Read all positive factors
Knight Transportation (KNX) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$10.15B
Dividend Yield1.34%
Average Volume (3M)2.91M
Price to Earnings (P/E)128.7
Beta (1Y)1.14
Revenue Growth>-0.01%
EPS Growth279.47%
CountryUS
Employees35,300
SectorIndustrials
Sector Strength72
IndustryTrucking
Share Statistics
EPS (TTM)0.31
Shares Outstanding162,425,830
10 Day Avg. Volume2,409,850
30 Day Avg. Volume2,910,156
Financial Highlights & Ratios
PEG Ratio-2.94
Price to Book (P/B)1.20
Price to Sales (P/S)1.14
P/FCF Ratio11.12
Enterprise Value/Market Cap1.24
Enterprise Value/Revenue1.68
Enterprise Value/Gross Profit5.94
Enterprise Value/Ebitda12.36
Forecast
1Y Price Target
$65.15Price Target Upside4.29% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering13
EPS Forecast (FY)1.93
Revenue Forecast (FY)$7.92B
Knight Transportation Business Overview & Revenue Model
Company Description
Knight-Swift Transportation Holdings Inc., together with its subsidiaries, provides truckload transportation services in the United States, Mexico, and Canada. The company operates through four segments: Trucking, Logistics, Less-than-truckload (L...
How the Company Makes Money
KNX primarily makes money by moving freight for customers and charging for those transportation services. Its revenue model is typically organized into (1) asset-based trucking and (2) asset-light logistics. In the asset-based trucking business (t...
Knight Transportation Earnings Call Summary
Earnings Call Date:Jan 21, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 22, 2026
Earnings Call Sentiment Neutral
The call conveyed a balanced message: the company is demonstrating meaningful operational progress (cost reductions, improved utilization levers, LTL revenue growth, Intermodal cost improvements and tech investments expected to deliver in 2026) and sees credible market tailwinds from capacity erosion and regulatory enforcement. However, these positives were offset in the quarter by a sizeable noncash impairment, modest consolidated revenue and adjusted income declines, margin pressures in Logistics and LTL as the network scales, a weakening secondary equipment market, and higher effective tax rates. Management offered cautious near-term guidance (Q1 2026 EPS $0.28–$0.32) while expressing confidence in margin recovery through cost actions and improving market dynamics later in 2026.Positive Updates
Full-Year Truckload Earnings Growth Despite Revenue Decline
For the full year 2025 the Truckload segment grew adjusted operating income by $28 million despite a $125 million decline in truckload revenue (excluding fuel surcharge); Truckload held 2025 cost per mile flat with 2024 despite miles declining ~3.6% year-over-year.
Negative Updates
Noncash Impairment and GAAP Loss
Q4 GAAP results included $52.9 million of noncash impairment charges (primarily combining Abilene into Swift), producing GAAP diluted loss per share of $0.04 versus prior-year GAAP EPS of $0.43.
Read all updates
Q4-2025 Updates
Positive
Negative
Full-Year Truckload Earnings Growth Despite Revenue Decline
For the full year 2025 the Truckload segment grew adjusted operating income by $28 million despite a $125 million decline in truckload revenue (excluding fuel surcharge); Truckload held 2025 cost per mile flat with 2024 despite miles declining ~3.6% year-over-year.
Read all positive updates
Company Guidance
Knight‑Swift guided first‑quarter 2026 adjusted EPS of $0.28–$0.32, noting that this outlook assumes current conditions remain stable, typical seasonal truckload weakening and seasonal LTL recovery; management called for a strong bounce back in the "all‑other" category after its Q4 seasonal trough and said it has materially narrowed its expected gain‑on‑sale range given a weaker secondary equipment market (gains on sale ran roughly $4 million below the prior quarter). The company also flagged continued cost progress (truckload cost per mile was flat year‑over‑year in 2025 despite miles declining ~3.6% and CFOs expect further cost‑per‑mile improvement in Q1), expects LTL to return closer to a ~20% share next quarter, and tied the guidance to improving capacity dynamics (higher rejection rates and a tighter spot vs. contract spread exiting 2025) while warning results could vary if market conditions change.Knight Transportation Financial Statement Overview
Summary
Income Statement
44
Neutral
Balance Sheet
62
Positive
Cash Flow
71
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 7.47B | 7.41B | 7.14B | 7.43B | 6.00B |
| Gross Profit | 2.11B | 1.80B | 1.96B | 2.41B | 1.97B |
| EBITDA | 1.05B | 1.03B | 1.01B | 1.66B | 1.47B |
| Net Income | 65.95M | 117.63M | 217.15M | 771.33M | 743.39M |
Balance Sheet | |||||
| Total Assets | 11.96B | 13.07B | 13.26B | 11.14B | 10.82B |
| Cash, Cash Equivalents and Short-Term Investments | 302.80M | 365.94M | 466.35M | 389.74M | 354.11M |
| Total Debt | 2.89B | 2.82B | 2.67B | 1.67B | 1.96B |
| Total Liabilities | 4.86B | 5.96B | 6.16B | 4.18B | 4.27B |
| Stockholders Equity | 7.08B | 7.11B | 7.09B | 6.95B | 6.53B |
Cash Flow | |||||
| Free Cash Flow | 763.23M | -20.09M | 90.06M | 635.29M | 656.06M |
| Operating Cash Flow | 1.27B | 799.06M | 1.16B | 1.44B | 1.19B |
| Investing Cash Flow | -520.39M | -759.12M | -1.23B | -646.18M | -1.82B |
| Financing Cash Flow | -807.74M | -139.40M | 150.69M | -754.35M | 779.33M |
Knight Transportation Technical Analysis
Positive
62.47
Price Trends
57.78
Positive
54.47
Positive
48.89
Positive
Market Momentum
0.76
Negative
68.55
Neutral
89.05
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KNX, the sentiment is Positive. The current price of 62.47 is above the 20-day moving average (MA) of 55.61, above the 50-day MA of 57.78, and above the 200-day MA of 48.89, indicating a bullish trend. The MACD of 0.76 indicates Negative momentum. The RSI at 68.55 is Neutral, neither overbought nor oversold. The STOCH value of 89.05 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for KNX.
Knight Transportation Risk Analysis
Knight Transportation disclosed 38 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
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
68 Neutral | $10.68B | 34.23 | 10.30% | ― | 1.96% | -24.55% | |
66 Neutral | $4.99B | 44.87 | 3.44% | 1.40% | 5.46% | 2.31% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
60 Neutral | $10.15B | 128.70 | 0.93% | 1.34% | >-0.01% | 279.47% | |
56 Neutral | $2.42B | -51.41 | 4.61% | 0.62% | -5.34% | -48.16% | |
54 Neutral | $1.15B | 53.18 | 2.27% | 2.07% | -9.74% | -42.57% | |
49 Neutral | $1.90B | -126.32 | -1.03% | 1.84% | -3.42% | -43.86% |
* Industrials Sector Average
KNX
Knight Transportation
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56.23%
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Knight Transportation Corporate Events
DividendsFinancial Disclosures
Knight-Swift Boosts Quarterly Dividend, Signals Strong Cash Flow
Positive
Feb 12, 2026
On February 11, 2026, Knight-Swift Transportation Holdings Inc.’s board of directors approved an increase in its quarterly cash dividend on common stock to $0.20 per share, up from $0.18. The move, announced on February 12, 2026, signals a h...
Business Operations and StrategyExecutive/Board ChangesPrivate Placements and Financing
Knight Transportation executes new receivables facility and leadership change
Positive
Jan 2, 2026
On December 31, 2025, Knight-Swift Transportation Holdings Inc., through its wholly owned subsidiary Swift Receivables Company II, LLC, entered into a new $575 million Receivables Purchase Agreement that replaces its prior receivables financing ar...
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.