Zacks Research Downgrades Hub Group (NASDAQ:HUBG) to Strong Sell

Key Points

• Zacks Research downgraded Hub Group to “strong sell” from “hold,” adding to recent analyst caution. Wells Fargo also cut its price target to $28, while the consensus rating remains “Hold” with a $40.46 target.
• Hub Group shares opened at $26.43, near their 52-week low of $26.19 and well below the 52-week high of $53.26. The company has a $1.62 billion market capitalization and a 15.28 price-to-earnings ratio.
• Institutional investors own 46.77% of Hub Group, with Wellington Management, River Road Asset Management and Bank of America among investors that recently increased their stakes.

Hub Group (NASDAQ:HUBG - Get Free Report) was downgraded by equities researchers at Zacks Research from a "hold" rating to a "strong sell" rating in a research report issued to clients and investors on Wednesday, Zacks reports.

Other equities analysts also recently issued research reports about the company. Wells Fargo & Company reaffirmed a "negative" rating and issued a $28.00 target price (down from $35.00) on shares of Hub Group in a research report on Tuesday. Stifel Nicolaus set a $29.00 target price on Hub Group and gave the company a "hold" rating in a research report on Thursday, October 1st. Weiss Ratings lowered Hub Group from a "hold (c)" rating to a "hold (c-)" rating in a report on Monday, September 21st. Barclays set a $30.00 price target on Hub Group and gave the company an "equal weight" rating in a research note on Monday, September 28th. Finally, Raymond James Financial decreased their target price on shares of Hub Group from $48.00 to $40.00 and set an "outperform" rating on the stock in a report on Thursday, September 17th. Five equities research analysts have rated the stock with a Buy rating, nine have given a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, Hub Group presently has an average rating of "Hold" and a consensus target price of $40.46.

Hub Group Stock Performance

Shares of HUBG stock opened at $26.43 on Wednesday. Hub Group has a 52 week low of $26.19 and a 52 week high of $53.26. The company has a market capitalization of $1.62 billion, a price-to-earnings ratio of 15.28 and a beta of 1.24. The company has a 50-day simple moving average of $36.77 and a 200 day simple moving average of $40.69.

Institutional Investors Weigh In On Hub Group

Institutional investors have recently added to or reduced their stakes in the business. Wellington Management Group LLP grew its stake in Hub Group by 7.1% in the second quarter. Wellington Management Group LLP now owns 7,446,774 shares of the transportation company's stock valued at $326,094,000 after acquiring an additional 491,130 shares during the period. River Road Asset Management LLC lifted its position in shares of Hub Group by 6.6% during the fourth quarter. River Road Asset Management LLC now owns 1,320,784 shares of the transportation company's stock valued at $56,279,000 after purchasing an additional 81,764 shares in the last quarter. Bank of America Corp DE lifted its position in shares of Hub Group by 8.1% during the 1st quarter. Bank of America Corp DE now owns 810,131 shares of the transportation company's stock worth $29,197,000 after buying an additional 61,025 shares in the last quarter. Principal Financial Group Inc. boosted its position in Hub Group by 2.0% in the first quarter. Principal Financial Group Inc. now owns 294,418 shares of the transportation company's stock worth $10,611,000 after purchasing an additional 5,731 shares during the last quarter. Finally, Edgestream Partners L.P. purchased a new position in shares of Hub Group in the 1st quarter worth about $8,069,000. 46.77% of the stock is owned by institutional investors.

About Hub Group

Hub Group, Inc NASDAQ: HUBG is a North American transportation and logistics company headquartered in Oak Brook, Illinois. The company helps businesses move goods through a combination of intermodal, truckload, less-than-truckload, final-mile and other transportation services.

Hub Group's intermodal operations coordinate freight shipments using rail and trucks, while its brokerage business connects shippers with third-party transportation providers. The company also provides dedicated transportation, managed transportation, logistics, warehousing and supply chain solutions designed to support customers' domestic freight and distribution needs.

Founded in 1971, Hub Group serves customers throughout the United States and maintains transportation capabilities extending into Canada and Mexico.

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