Knight-Swift Transportation HoldingsNYSE: KNX

I downgraded my rating for Knight-Swift Transportation Holdings from buy to hold due to weak macroeconomic conditions and poor 3Q24 performance. KNX's revenue fell by 7.1% y/y, with trucking revenue down 7.6% and logistic revenue down 10%, indicating near-term recovery is unlikely. The current 26x forward PE valuation is high, reflecting market optimism, but any negative macro data could significantly impact the stock price.

Knight-Swift Transportation Holdings Inc. (NYSE:KNX ) Q3 2024 Earnings Conference Call October 23, 2024 5:30 PM ET Company Participants Brad Stewart - Treasurer, SVP, IR Adam Miller - CEO Andrew Hess - CFO Conference Call Participants Jonathan Chappell - Evercore ISI Tom Wadewitz - UBS Daniel Imbro - Stephens, Inc. Ravi Shanker - Morgan Stanley Scott Group - Wolfe Research Ken Hoexter - Bank of America Chris Wetherbee - Wells Fargo Brian Ossenbeck - JPMorgan Eric Morgan - Barclays Bascome Majors - Susquehanna Operator Good morning. My name is Chloe and I will be your conference operator today.

While the top- and bottom-line numbers for Knight-Swift (KNX) give a sense of how the business performed in the quarter ended September 2024, it could be worth looking at how some of its key metrics compare to Wall Street estimates and year-ago values.

Knight-Swift Transportation Holdings (KNX) came out with quarterly earnings of $0.34 per share, beating the Zacks Consensus Estimate of $0.33 per share. This compares to earnings of $0.41 per share a year ago.

Get a deeper insight into the potential performance of Knight-Swift (KNX) for the quarter ended September 2024 by going beyond Wall Street's top -and-bottom-line estimates and examining the estimates for some of its key metrics.

Leasing and Service Agreement Expected to Provide Long-Term Recurring Revenue Stream to CleanCore Initial Implementation of CleanCore Products Expected to Drive Sustainability Across Key Knight-Swift Facilities Omaha, NE, Oct. 17, 2024 (GLOBE NEWSWIRE) -- CleanCore Solutions, Inc. (NYSE American: ZONE) (“CleanCore” or the “Company”), developer of patented technology that works as a safe and low-cost replacement for traditional cleaning chemicals, today announced that it has commenced the initial roll-out of its products at Knight-Swift Transportation Holdings Inc. (NYSE: KNX) facilities. Knight-Swift will implement various CleanCore products, including Fill Stations, Power Caddies, Commercial Laundry units, and Ice Machines, ensuring efficient and eco-friendly cleaning solutions across its headquarters and additional operational facilities.

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.

High costs related to driver wages, equipment, maintenance, fuel and other expenses do not bode well for KNX.

KNX's top line rises by 18.9% year over year second quarter of 2024, buoyed by strong segmental performance. However, weak liquidity is a major headwind.