ArcBest (NASDAQ:ARCB) Trading 5.4% Higher After Analyst Upgrade

ArcBest Corporation (NASDAQ:ARCB)’s stock price rose 5.4% during trading on Thursday after Truist Financial raised their price target on the stock from $145.00 to $165.00. Truist Financial currently has a buy rating on the stock. ArcBest traded as high as $156.66 and last traded at $155.5030. 13,825 shares changed hands during mid-day trading, a decline of 96% from the average session volume of 367,386 shares. The stock had previously closed at $147.47.

Several other brokerages also recently weighed in on ARCB. Wells Fargo & Company upped their target price on ArcBest from $130.00 to $150.00 and gave the stock an “equal weight” rating in a research report on Friday, June 5th. Wall Street Zen upgraded ArcBest from a “hold” rating to a “buy” rating in a report on Saturday, May 9th. Bank of America boosted their price target on ArcBest from $138.00 to $160.00 and gave the stock a “neutral” rating in a research report on Friday, June 5th. Citigroup began coverage on ArcBest in a report on Wednesday. They issued a “market outperform” rating for the company. Finally, The Goldman Sachs Group increased their price objective on shares of ArcBest from $117.00 to $165.00 and gave the company a “buy” rating in a research report on Tuesday, June 23rd. Two research analysts have rated the stock with a Strong Buy rating, seven have given a Buy rating and six have assigned a Hold rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $151.85.

Key ArcBest News

Here are the key news stories impacting ArcBest this week:

• Positive Sentiment: ArcBest announced a simplified brand structure, consolidating MoLo Solutions, Panther Premium Logistics and ArcBest Technologies under the ArcBest name starting Aug. 1, a move aimed at improving efficiency and long-term growth. Article Title
• Positive Sentiment: The company also announced broader operational streamlining, including cutting about 2% of its workforce and eliminating certain open roles, which could support margins and earnings power if execution goes well. Article Title
• Positive Sentiment: Truist raised its price target on ArcBest to $165 from $145 and kept a buy rating, while Citizens JMP initiated coverage with a $180 target and outperform rating, signaling analyst confidence in the company’s outlook. Article Title
• Neutral Sentiment: Recent screening and commentary from Zacks highlighted ArcBest’s strong momentum and relatively attractive valuation, reinforcing the view that investor expectations have improved. Article Title
• Negative Sentiment: The workforce reduction and terminal closures indicate ArcBest is still facing pressure to reduce costs and reorganize parts of its less-than-truckload network, which may reflect a tougher operating backdrop. Article Title

Institutional Trading of ArcBest

A number of hedge funds and other institutional investors have recently modified their holdings of ARCB. Federated Hermes Inc. lifted its stake in shares of ArcBest by 126.6% in the fourth quarter. Federated Hermes Inc. now owns 1,015 shares of the transportation company’s stock worth $75,000 after acquiring an additional 567 shares in the last quarter. Hantz Financial Services Inc. boosted its holdings in ArcBest by 507.6% in the fourth quarter. Hantz Financial Services Inc. now owns 1,118 shares of the transportation company’s stock valued at $83,000 after purchasing an additional 934 shares during the last quarter. Canada Pension Plan Investment Board acquired a new stake in ArcBest during the 2nd quarter valued at approximately $85,000. Assetmark Inc. grew its stake in ArcBest by 5,940.0% during the 4th quarter. Assetmark Inc. now owns 1,208 shares of the transportation company’s stock valued at $90,000 after purchasing an additional 1,188 shares in the last quarter. Finally, KBC Group NV increased its holdings in ArcBest by 69.4% during the 4th quarter. KBC Group NV now owns 1,299 shares of the transportation company’s stock worth $96,000 after purchasing an additional 532 shares during the last quarter. 99.27% of the stock is owned by hedge funds and other institutional investors.

ArcBest Stock Up 6.9%

The firm has a fifty day simple moving average of $141.81 and a 200-day simple moving average of $114.30. The company has a market capitalization of $3.51 billion, a PE ratio of 64.86, a P/E/G ratio of 0.64 and a beta of 1.57. The company has a debt-to-equity ratio of 0.10, a quick ratio of 0.93 and a current ratio of 0.93.

ArcBest (NASDAQ:ARCB) last released its earnings results on Tuesday, April 28th. The transportation company reported $0.32 EPS for the quarter, beating the consensus estimate of $0.27 by $0.05. ArcBest had a return on equity of 6.15% and a net margin of 1.38%.The company had revenue of $998.79 million during the quarter, compared to analysts’ expectations of $999.07 million. During the same period in the prior year, the business posted $0.51 EPS. The business’s revenue was up 3.3% on a year-over-year basis. Equities research analysts anticipate that ArcBest Corporation will post 6.11 EPS for the current fiscal year.

ArcBest Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, May 22nd. Investors of record on Friday, May 8th were issued a $0.12 dividend. The ex-dividend date of this dividend was Friday, May 8th. This represents a $0.48 annualized dividend and a yield of 0.3%. ArcBest’s dividend payout ratio is currently 19.75%.

ArcBest Company Profile

ArcBest Corporation (NASDAQ: ARCB) is a transportation and logistics company that offers comprehensive freight and supply chain solutions across North America. Founded in 1923 as Arkansas Best Freight System, the company has evolved into a diversified service provider with both asset-based and asset-light operations. Its core businesses include less-than-truckload (LTL) shipping through ABF Freight, expedited full-truckload services via Panther Premium Logistics, and a range of logistics and supply chain management services under its ArcBest Integrated Logistics division.

The company’s asset-based operations also encompass FleetNet America, a provider of emergency roadside assistance and maintenance services for heavy-duty vehicles.