Knight-Swift (KNX) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
KNX is hurt by escalated operating expenses related to driver wages, equipment, maintenance, fuel and other expenses.
Knight-Swift Transportation, Inc. maintains stable profitability despite weaker revenues due to operational efficiency and prudent pricing strategies. The company boasts excellent liquidity, young tractors and trailers, and strategic capacity changes, positioning it well for market recovery and potential expansion. E-commerce growth and potential delays in OPEC oil supply hikes could bolster demand and fuel surcharge revenues for KNX.
Knight-Swift (KNX) reported earnings 30 days ago. What's next for the stock?
KNX's fourth-quarter 2024 earnings improve year over year while revenues decrease.
I upgraded my rating for Knight-Swift Transportation Holdings to buy, as 4Q24 results indicate the start of a recovery phase. KNX's TL segment shows early signs of stabilization and improved operational efficiency, with a 2.2% y/y decline in adj operating expenses per mile. The LTL segment demonstrates robust growth, with a 20% y/y revenue increase, supported by both volume and pricing improvements.
Now that the first quarter of the new year is underway, investors might look for the best potential plays in the stock market. Having the confidence and financial momentum to start the year can give portfolios the room—and safety—to look for exposure to the more aggressive growth plays later in the year.
Knight-Swift Transportation Holdings Inc. (NYSE:KNX ) Q4 2024 Earnings Conference Call January 22, 2025 4:30 PM ET Company Participants Brad Stewart - Treasurer, SVP, IR Adam Miller - CEO Andrew Hess - CFO Conference Call Participants Tom Wadewitz - UBS Ken Hoexter - Bank of America Ravi Shanker - Morgan Stanley Scott Group - Wolfe Research Chris Wetherbee - Wells Fargo Jon Chappell - Evercore ISI Daniel Imbro - Stephens, Inc. David Hicks - Raymond James Brian Ossenbeck - JPMorgan Bascome Majors - Susquehanna Operator Good Morning. My name is Andrew, and I will be your conference operator for today.
The headline numbers for Knight-Swift (KNX) give insight into how the company performed in the quarter ended December 2024, but it may be worthwhile to compare some of its key metrics to Wall Street estimates and the year-ago actuals.
Knight-Swift Transportation Holdings (KNX) came out with quarterly earnings of $0.36 per share, beating the Zacks Consensus Estimate of $0.33 per share. This compares to earnings of $0.09 per share a year ago.
KNX's fourth-quarter 2024 performance is expected to have been weighed down by high costs related to driver wages, equipment, maintenance, fuel, and other expenses.
I am downgrading Knight-Swift Transportation Holdings stock to a ‘hold' due to declining revenue, profits, and cash flows, despite previous optimism. Revenue fell from $7.43 billion to $7.14 billion, with significant declines in the Logistics and Intermodal segments, impacting overall profitability. Despite some growth in the Truckload and LTL segments, the company's financial health remains weak, with net income and adjusted profits plummeting.