Old Dominion Freight Line (NASDAQ:ODFL) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a report released on Wednesday.
According to Zacks, “Old Dominion Freight Line is being aided by its less-than-truckload (LTL) segment’s robust performance that accounts for bulk of the top line. Similar to the third quarter, we expect the LTL segment to perform well in the fourth quarter of 2018, thus boosting growth. We believe the new tax law is a boon for U.S.-based transportation companies like Old Dominion. Additionally, the company’s efforts to reward shareholders in the form of buybacks and dividends are noteworthy. Improvement in operating ratio is an added positive. However, rising capital expenditures are anticipated to dampen bottom-line growth in the final quarter. Despite current downtrend in oil prices, fuel costs are also expected to weigh on the bottom line results in the final quarter. Moreover, increasing operating expenses might pressurise the bottom line going forward. Shares of the company have declined 23% over the last six months.”
ODFL has been the subject of a number of other reports. Bank of America increased their price objective on shares of Old Dominion Freight Line from $139.00 to $143.00 and gave the company an “underperform” rating in a report on Thursday, August 30th. Buckingham Research cut their price objective on shares of Old Dominion Freight Line from $162.00 to $154.00 and set a “neutral” rating for the company in a report on Friday, October 12th. Morgan Stanley lowered shares of Old Dominion Freight Line from an “overweight” rating to an “equal weight” rating and cut their price objective for the company from $160.00 to $146.00 in a report on Monday, October 22nd. BidaskClub raised shares of Old Dominion Freight Line from a “strong sell” rating to a “sell” rating in a report on Friday, November 2nd. Finally, Argus cut their price objective on shares of Old Dominion Freight Line from $175.00 to $145.00 and set a “buy” rating for the company in a report on Monday, October 29th. One equities research analyst has rated the stock with a sell rating, nine have issued a hold rating and four have given a buy rating to the company’s stock. The stock has an average rating of “Hold” and an average price target of $144.58.
Old Dominion Freight Line (NASDAQ:ODFL) last released its earnings results on Thursday, October 25th. The transportation company reported $2.12 earnings per share (EPS) for the quarter, topping the Thomson Reuters’ consensus estimate of $1.97 by $0.15. The company had revenue of $1.06 billion during the quarter, compared to analyst estimates of $1.06 billion. Old Dominion Freight Line had a net margin of 16.47% and a return on equity of 22.13%. On average, analysts predict that Old Dominion Freight Line will post 7.19 EPS for the current year.
Hedge funds have recently bought and sold shares of the stock. Checchi Capital Advisers LLC purchased a new position in shares of Old Dominion Freight Line in the third quarter valued at $201,000. Scott & Selber Inc. purchased a new position in shares of Old Dominion Freight Line in the third quarter valued at $1,728,000. Carillon Tower Advisers Inc. grew its holdings in shares of Old Dominion Freight Line by 35.0% in the second quarter. Carillon Tower Advisers Inc. now owns 328,396 shares of the transportation company’s stock valued at $48,917,000 after purchasing an additional 85,156 shares in the last quarter. Raymond James & Associates grew its holdings in shares of Old Dominion Freight Line by 2.7% in the second quarter. Raymond James & Associates now owns 91,025 shares of the transportation company’s stock valued at $13,559,000 after purchasing an additional 2,374 shares in the last quarter. Finally, Royal London Asset Management Ltd. purchased a new position in shares of Old Dominion Freight Line in the second quarter valued at $13,838,000. 72.18% of the stock is owned by hedge funds and other institutional investors.
Old Dominion Freight Line Company Profile
Old Dominion Freight Line, Inc operates as a less-than-truckload (LTL) motor carrier in the United States and North America. It provides regional, inter-regional, and national LTL services, including ground and air expedited transportation, and consumer household pickup and delivery. The company also offers various value-added services comprising container drayage, truckload brokerage, supply chain consulting, and warehousing.
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