J.P. Morgan Lowering 1Q EPS On Pacer International

According to J.P. Morgan, Pacer International PACR 1Q EPS is lowered. J.P. Morgan reported that it is lowering our 1Q EPS estimate from $0.08 to $0.02 due to weaker than expected intermodal volume growth in 1Q, which it attributes to weather-related disruptions early in the quarter. “We believe that PACR has only a modest lag in its current fuel surcharge programs with its rail service providers. For the remainder of 2011, we believe intermodal volume and pricing growth is likely to be supported by further tightening of truckload capacity. We remain Neutral on PACR.” Pacer International closed yesterday at $5.27.