Baird analyst Garrett Holland maintains $Old Dominion Freight Line (ODFL.US)$ with a buy rating, and adjusts the target price from $204 to $200.
According to TipRanks data, the analyst has a success rate of 53.0% and a total average return of 3.2% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Old Dominion Freight Line (ODFL.US)$'s main analysts recently are as follows:
Old Dominion's Q3 operating results were slightly below expectations, influenced by persistent demand softness and ongoing cost inflation.
After Old Dominion's quarterly results showed a 3% decline in revenue compared to the previous year, the company faced pressure on results due to negative fixed cost leverage, leading to a 72.7% operating ratio. This ratio increased by 210 basis points year-over-year and was 30 basis points higher than anticipated. Furthermore, earnings per share estimates for the fourth quarter, as well as for 2024 and 2025, have been revised downwards. Nevertheless, the company is well-positioned with 30% excess capacity, which could provide a significant advantage in case of a freight market rebound.
Old Dominion's third-quarter results were marginally lower than expected on an EBIT basis, yet it continues to distinguish itself as a top-tier transportation entity, recognized for its exceptional operational execution. Although well-placed for a future upcycle, the visibility on this remains somewhat obscure. Furthermore, in light of the cyclical challenges leading to negative de-leveraging, there is a revision in the forecasted earnings per share for the fiscal years ahead.
Note:
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