ArcBest Set For Growth Amid Industry Changes: Analyst Raises Price Target
Portfolio Pulse from Nabaparna Bhattacharya
Stifel analyst J. Bruce Chan has reiterated a Buy rating on ArcBest Corporation (ARCB), raising the price target to $134 from $125. ArcBest is expected to benefit from the potential liquidation of industry peer Yellow Corporation (YELL). Despite recent Q2 results falling below consensus, the company's new 'dynamic pricing' freight strategy and industry tailwinds are expected to aid earnings growth and margin expansion.
August 04, 2023 | 10:12 am
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Ascending
NEGATIVE IMPACT
Yellow Corporation's imminent liquidation is expected to benefit ArcBest, potentially leading to an influx of freight for the latter.
The potential liquidation of Yellow Corporation is likely to have a negative impact on its stock in the short term. However, this could benefit ArcBest by leading to an influx of freight.
CONFIDENCE 80
IMPORTANCE 70
RELEVANCE 50
POSITIVE IMPACT
ArcBest's price target has been raised by Stifel analyst J. Bruce Chan, who expects the company to benefit from industry changes and its new freight strategy.
The raised price target and positive outlook from the Stifel analyst, along with the potential benefits from Yellow Corporation's liquidation and the company's new freight strategy, are likely to have a positive impact on ArcBest's stock in the short term.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100