Werner Enterprises (NASDAQ:WERN) Shares Gap Down on Disappointing Earnings

Werner Enterprises, Inc. (NASDAQ:WERN) shares gapped down prior to trading on Friday following a dissappointing earnings announcement. The stock had previously closed at $37.87, but opened at $34.40. Werner Enterprises shares last traded at $35.0660, with a volume of 144,720 shares changing hands.

The transportation company reported $0.05 earnings per share for the quarter, missing the consensus estimate of $0.09 by ($0.04). Werner Enterprises had a negative net margin of 0.48% and a positive return on equity of 0.04%. The business had revenue of $737.64 million for the quarter, compared to analyst estimates of $767.51 million. During the same quarter in the prior year, the business earned $0.08 earnings per share. The firm’s revenue was down 2.3% on a year-over-year basis.

Werner Enterprises Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, January 21st. Shareholders of record on Monday, January 5th were issued a dividend of $0.14 per share. This represents a $0.56 annualized dividend and a yield of 1.6%. The ex-dividend date of this dividend was Monday, January 5th. Werner Enterprises’s dividend payout ratio (DPR) is currently 136.59%.

Werner Enterprises News Roundup

Here are the key news stories impacting Werner Enterprises this week:

• Positive Sentiment: Wells Fargo raised its price target to $39 and set an “equal weight” rating, signaling conviction in near‑term upside tied to execution and the company’s strategy. Wells Fargo raises PT
• Positive Sentiment: TD Cowen raised its target to $39 and kept a “hold” rating, another vote that the stock has upside if integration and dedicated business growth play out. TD Cowen raises PT
• Positive Sentiment: Company commentary and the Business Wire release highlight growth in dedicated revenue and the strategic rationale for the FirstFleet acquisition, which management says should support longer‑term stable revenue. Company Q4 release
• Neutral Sentiment: Q4 earnings call transcript is available for investors seeking detail on guidance, cost trends and fleet/dedicated integration plans — useful for assessing execution risk. Earnings call transcript
• Neutral Sentiment: Industry coverage notes the FirstFleet buy is a strategic bet that could spark consolidation in dedicated trucking; outcome depends on scale and margin improvements. FirstFleet M&A context
• Negative Sentiment: JPMorgan cut its price target to $28 and moved to “underweight” — the most bearish broker action today and a major contributor to selling pressure. JPMorgan cuts PT
• Negative Sentiment: Citigroup reaffirmed a “sell” rating with a $34 target, keeping downside risk from some institutional desks.
• Negative Sentiment: Werner missed Q4 estimates: $0.05 EPS vs. $0.09 expected and revenue of ~$737.6M vs. $767.5M consensus — disappointing results that directly pressure the stock. Earnings miss
• Negative Sentiment: News that a long‑running drivers’ lawsuit has a settlement ready raises potential cash/legal overhang and investor concern about contingency costs. Lawsuit settlement

Analyst Ratings Changes

Several research analysts have recently commented on the stock. JPMorgan Chase & Co. decreased their price target on shares of Werner Enterprises from $30.00 to $28.00 and set an “underweight” rating for the company in a report on Friday. Citigroup reiterated a “sell” rating and set a $34.00 price objective on shares of Werner Enterprises in a research note on Friday. Barclays lifted their price target on shares of Werner Enterprises from $28.00 to $33.00 and gave the stock an “equal weight” rating in a research report on Thursday, January 15th. TD Cowen raised their price objective on shares of Werner Enterprises from $31.00 to $39.00 and gave the stock a “hold” rating in a research note on Friday. Finally, Wall Street Zen lowered shares of Werner Enterprises from a “hold” rating to a “sell” rating in a research note on Saturday, November 8th. Two analysts have rated the stock with a Buy rating, eight have given a Hold rating and five have issued a Sell rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of “Reduce” and a consensus price target of $32.57.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in WERN. Covestor Ltd lifted its position in shares of Werner Enterprises by 28.3% during the 4th quarter. Covestor Ltd now owns 3,261 shares of the transportation company’s stock worth $98,000 after buying an additional 719 shares during the period. PNC Financial Services Group Inc. increased its holdings in shares of Werner Enterprises by 41.3% in the fourth quarter. PNC Financial Services Group Inc. now owns 2,324 shares of the transportation company’s stock valued at $70,000 after purchasing an additional 679 shares in the last quarter. ProShare Advisors LLC increased its stake in shares of Werner Enterprises by 6.2% in the 4th quarter. ProShare Advisors LLC now owns 11,642 shares of the transportation company’s stock valued at $349,000 after buying an additional 683 shares during the period. Thrivent Financial for Lutherans raised its holdings in Werner Enterprises by 17.6% during the 4th quarter. Thrivent Financial for Lutherans now owns 205,654 shares of the transportation company’s stock worth $6,172,000 after purchasing an additional 30,812 shares during the last quarter. Finally, State of New Jersey Common Pension Fund D raised its stake in shares of Werner Enterprises by 20.0% during the fourth quarter. State of New Jersey Common Pension Fund D now owns 90,777 shares of the transportation company’s stock worth $2,724,000 after buying an additional 15,108 shares during the last quarter. Institutional investors own 89.32% of the company’s stock.

Werner Enterprises Stock Down 8.2%

The firm’s 50-day simple moving average is $31.96 and its 200 day simple moving average is $28.81. The company has a market cap of $2.08 billion, a P/E ratio of -144.83, a PEG ratio of 0.87 and a beta of 1.08. The company has a debt-to-equity ratio of 0.52, a quick ratio of 1.59 and a current ratio of 1.62.

Werner Enterprises Company Profile

Werner Enterprises, Inc, founded in 1956 by Clarence L. “Chris” Werner, is a leading transportation and logistics provider based in Omaha, Nebraska. The company began as a one‐truck operation and has since grown into one of North America’s largest carriers, offering an array of services to support diverse supply chains.

Werner’s core business activities include full truckload dry van services, dedicated contract carriage, intermodal transport and brokerage solutions. The company also provides value-added services such as warehousing, freight management and fleet maintenance through its network of terminals and service centers.