Marten Transport's Q2 revenue edges past estimates

Overview

• Marten Transport Q2 revenue beats analyst expectations, per LSEG data

• EBIT for Q2 surpasses analyst estimates, per LSEG data

• Company earnings pressured by freight market recession and inflationary costs

Outlook

• Company focused on minimizing freight market impact and trade policy volatility

• Marten Transport investing in operations for profitable organic growth

• Company anticipates growth from industry capacity exits due to regulation

Result Drivers

• FREIGHT MARKET RECESSION - Earnings pressured by oversupply and weak demand in the freight market, per Executive Chairman Randolph L. Marten

• INFLATIONARY COSTS - Inflationary operating costs continue to impact earnings, according to Executive Chairman Randolph L. Marten

• FUEL SURCHARGE DECLINE - Decrease in fuel surcharge revenue contributed to lower operating revenue

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the ground freight & logistics peer group is "buy"

• Wall Street's median 12-month price target for Marten Transport Ltd is $15.50, about 15.3% above its July 15 closing price of $13.13

• The stock recently traded at 35 times the next 12-month earnings vs. a P/E of 29 three months ago

Press Release: ID:nGNX8SpcSB