Demystifying Hub Group: Insights From 10 Analyst Reviews

Ratings for Hub Group HUBG were provided by 10 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.

The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 3 0 7 0 0
Last 30D 0 0 1 0 0
1M Ago 1 0 1 0 0
2M Ago 1 0 0 0 0
3M Ago 1 0 5 0 0

Analysts' evaluations of 12-month price targets offer additional insights, showcasing an average target of $46.1, with a high estimate of $51.00 and a low estimate of $43.00. Marking an increase of 2.44%, the current average surpasses the previous average price target of $45.00.

price target chart

Breaking Down Analyst Ratings: A Detailed Examination

The standing of Hub Group among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Jonathan Chappell Evercore ISI Group Raises In-Line $43.00 $41.00
Bascome Majors Susquehanna Raises Neutral $50.00 $44.00
Christopher Kuhn Benchmark Maintains Buy $47.00 $47.00
J. Bruce Chan Stifel Lowers Buy $43.00 $45.00
Brian Ossenbeck JP Morgan Raises Neutral $51.00 $43.00
Thomas Wadewitz UBS Raises Neutral $48.00 $42.00
Bascome Majors Susquehanna Lowers Neutral $44.00 $45.00
Jason Seidl TD Cowen Lowers Hold $43.00 $50.00
Brian Ossenbeck JP Morgan Lowers Neutral $43.00 $44.00
Christopher Kuhn Benchmark Maintains Buy $49.00 $49.00

Key Insights:

  • Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Hub Group. This information offers a snapshot of how analysts perceive the current state of the company.
  • Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Hub Group compared to the broader market.
  • Price Targets: Analysts explore the dynamics of price targets, providing estimates for the future value of Hub Group's stock. This examination reveals shifts in analysts' expectations over time.

Assessing these analyst evaluations alongside crucial financial indicators can provide a comprehensive overview of Hub Group's market position. Stay informed and make well-judged decisions with the assistance of our Ratings Table.

Stay up to date on Hub Group analyst ratings.

Discovering Hub Group: A Closer Look

Hub Group ranks among the largest providers of rail intermodal service. Roughly 60% of revenue comes from Hub's intermodal and transportation solutions division. ITS includes its flagship intermodal operations, which use the Class I rail carriers for the underlying line-haul movement of containers, as well as its dedicated truckload shipping unit. Hub's logistics segment includes its asset light truck brokerage operations, along with its outsourced transportation management, warehousing and fulfillment, and heavy-goods final mile delivery offerings. Hub is somewhat acquisitive in that it often makes tuck-in acquisitions which expand its brokerage, last-mile, and dedicated offerings.

Hub Group's Economic Impact: An Analysis

Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.

Decline in Revenue: Over the 3 months period, Hub Group faced challenges, resulting in a decline of approximately -5.19% in revenue growth as of 30 June, 2024. This signifies a reduction in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Industrials sector.

Net Margin: Hub Group's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 2.94%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 1.78%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): Hub Group's ROA excels beyond industry benchmarks, reaching 1.01%. This signifies efficient management of assets and strong financial health.

Debt Management: Hub Group's debt-to-equity ratio is below the industry average at 0.32, reflecting a lower dependency on debt financing and a more conservative financial approach.

Understanding the Relevance of Analyst Ratings

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

Which Stocks Are Analysts Recommending Now?

Benzinga Edge gives you instant access to all major analyst upgrades, downgrades, and price targets. Sort by accuracy, upside potential, and more. Click here to stay ahead of the market.

This article was generated by Benzinga's automated content engine and reviewed by an editor.

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