TD Cowen Issues Pessimistic Forecast for Saia (NASDAQ:SAIA) Stock Price

Key Points

• TD Cowen lowered Saia’s price target from $400 to $393 while maintaining a “hold” rating, implying approximately 14% upside from the stock’s $344.61 trading price.
• Analyst sentiment remains broadly positive but mixed: Saia has a “Moderate Buy” consensus rating and an average price target of $435.63, supported by 14 Buy, six Hold, and one Sell rating.
• Saia exceeded quarterly expectations, reporting $3.41 in EPS and $982.45 million in revenue, up 17% year over year; however, its operating ratio rose to 87.6%, highlighting ongoing margin pressure.

Saia (NASDAQ:SAIA - Get Free Report) had its price target lowered by stock analysts at TD Cowen from $400.00 to $393.00 in a research report issued on Friday, Benzinga reports. The firm currently has a "hold" rating on the transportation company's stock. TD Cowen's target price would indicate a potential upside of 14.04% from the company's current price.

Other equities research analysts have also issued reports about the company. UBS Group dropped their target price on Saia from $527.00 to $504.00 and set a "buy" rating on the stock in a research report on Friday, July 31st. Raymond James Financial reaffirmed an "outperform" rating and set a $410.00 price target on shares of Saia in a research note on Thursday, October 15th. Citigroup reiterated a "cautious" rating on shares of Saia in a research note on Wednesday, October 7th. Morgan Stanley decreased their price target on shares of Saia from $295.00 to $285.00 and set an "underweight" rating on the stock in a research note on Friday, July 31st. Finally, Jefferies Financial Group reaffirmed a "buy" rating on shares of Saia in a report on Thursday. Fourteen investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus price target of $435.63.

Saia Price Performance

Shares of SAIA traded up $1.54 during trading hours on Friday, reaching $344.61. 560,367 shares of the company traded hands, compared to its average volume of 463,559. Saia has a fifty-two week low of $249.32 and a fifty-two week high of $494.71. The stock has a fifty day simple moving average of $342.33 and a 200 day simple moving average of $387.61. The stock has a market capitalization of $9.19 billion, a PE ratio of 33.26, a price-to-earnings-growth ratio of 2.62 and a beta of 2.19. The company has a quick ratio of 1.58, a current ratio of 1.58 and a debt-to-equity ratio of 0.04.

Saia (NASDAQ:SAIA - Get Free Report) last released its earnings results on Thursday, October 29th. The transportation company reported $3.41 EPS for the quarter, beating the consensus estimate of $3.30 by $0.11. Saia had a return on equity of 10.21% and a net margin of 8.19%. The firm had revenue of $982.45 million during the quarter, compared to analyst estimates of $966.98 million. During the same period in the prior year, the firm posted $2.81 earnings per share. The business's quarterly revenue was up 17.0% compared to the same quarter last year. As a group, research analysts predict that Saia will post 11.43 EPS for the current fiscal year.

Institutional Trading of Saia

A number of institutional investors and hedge funds have recently made changes to their positions in SAIA. VIRGINIA RETIREMENT SYSTEMS ET Al boosted its position in shares of Saia by 83.7% in the third quarter. VIRGINIA RETIREMENT SYSTEMS ET Al now owns 3,160 shares of the transportation company's stock valued at $1,055,000 after acquiring an additional 1,440 shares during the period. Verdence Capital Advisors LLC bought a new stake in shares of Saia in the third quarter worth about $217,000. Signaturefd LLC raised its holdings in Saia by 117.2% in the 3rd quarter. Signaturefd LLC now owns 252 shares of the transportation company's stock worth $84,000 after purchasing an additional 136 shares in the last quarter. Tectonic Advisors LLC raised its holdings in Saia by 118.7% in the third quarter. Tectonic Advisors LLC now owns 7,243 shares of the transportation company's stock worth $2,417,000 after purchasing an additional 3,931 shares in the last quarter. Finally, Inspire Investing LLC boosted its position in shares of Saia by 8.8% in the 3rd quarter. Inspire Investing LLC now owns 2,603 shares of the transportation company's stock worth $869,000 after purchasing an additional 210 shares in the last quarter.

Key Stories Impacting Saia

Here are the key news stories impacting Saia this week:

• Positive Sentiment: Quarterly results exceeded expectations: Saia reported record third-quarter revenue of $982.5 million, up 17% year over year, and diluted EPS of $3.41, topping analyst estimates near $3.30–$3.31. Operating income rose 3.1% to $122.3 million. Saia Q3 earnings and revenues top estimates
• Positive Sentiment: Expansion is contributing to growth: Record LTL tonnage per workday increased 8.9%, while revenue per shipment excluding fuel surcharges rose 5.8%, suggesting network expansion, pricing and mix improvements are helping Saia gain volume and market share. Saia expansion terminals deliver improved Q3 results
• Positive Sentiment: $250 million buyback authorized: The repurchase program signals management’s confidence in Saia’s cash generation and could support per-share results. Year-to-date free cash flow exceeded $240 million, while the company ended the quarter with $202.5 million of cash and $100 million of debt. Saia reports Q3 revenue and announces repurchase program
• Neutral Sentiment: Board strengthened: Transportation and logistics veteran Todd C. Fowler joined Saia’s board and Audit Committee, adding capital-markets, autonomous-trucking and supply-chain expertise. Saia appoints Todd Fowler to board
• Negative Sentiment: Wells Fargo lowered its price target: The firm cut its target from $400 to $370 and assigned an “equal weight” rating, reflecting a more cautious view despite the remaining implied upside. Wells Fargo analyst recommendations
• Negative Sentiment: Margins remain a concern: The operating ratio increased to 87.6% from 85.9% a year earlier, indicating that costs are rising faster than operating income and could temper the benefit of strong revenue growth.

About Saia

Saia, Inc is a transportation and logistics company headquartered in Johns Creek, Georgia. Through its primary subsidiary, Saia LTL Freight, the company provides less-than-truckload transportation, moving palletized and other freight shipments that do not require a full trailer. Its services include standard and time-definite delivery, expedited transportation, guaranteed services, and shipment tracking.

Saia also provides non-asset-based logistics services through Saia Logistics Services, which helps customers arrange freight transportation using third-party carriers.

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