Marten Transport slightly beats Q4 revenue expectations

Overview

• U.S.-based truckload carrier's Q4 revenue slightly beat analyst expectations

• Net income for Q4 declined compared to the previous year

• Company noted sequential improvements in profitability and operational metrics

Outlook

• Company focuses on minimizing freight market impact with data-driven efficiencies and cost controls

• Company sees immigration enforcement efforts as positive for growth opportunities

Result Drivers

• FREIGHT MARKET RECESSION - Co cited historic freight market recession with oversupply and weak demand as pressure on earnings

• OPERATIONAL IMPROVEMENTS - Co reported sequential increases in revenue per tractor, rate per mile, and miles per tractor

• IMMIGRATION ENFORCEMENT IMPACT - Co expects stricter immigration enforcement to positively impact growth opportunities

Key Details

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 3 "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 $11.50, about 7.9% below its January 26 closing price of $12.48

• The stock recently traded at 41 times the next 12-month earnings vs. a P/E of 28 three months ago

Press Release: ID:nGNX4Pzg9r

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