J.B. Hunt Transport Services (NASDAQ:JBHT) Shares Gap Up After Earnings Beat

Key Points

• J.B. Hunt Transport Services' stock opened at $162.99, a significant increase from the previous close of $138.83, following an earnings announcement that beat expectations with $1.76 EPS versus an anticipated $1.46 EPS.
• The company declared a quarterly dividend of $0.44, equating to an annualized dividend of $1.76 and a yield of 1.1%, with a modest payout ratio of 32%.
• Analysts have updated their price targets for J.B. Hunt, with Bank of America raising its target to $175.00, reflecting a generally positive sentiment towards the stock that currently has an average rating of "Moderate Buy."

J.B. Hunt Transport Services, Inc. (NASDAQ:JBHT - Get Free Report)'s stock price gapped up prior to trading on Thursday after the company announced better than expected quarterly earnings. The stock had previously closed at $138.83, but opened at $162.99. J.B. Hunt Transport Services shares last traded at $163.82, with a volume of 1,554,157 shares changing hands.

The transportation company reported $1.76 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.46 by $0.30. J.B. Hunt Transport Services had a net margin of 4.59% and a return on equity of 14.26%. The company had revenue of $3.05 billion during the quarter, compared to analysts' expectations of $3.02 billion. During the same period last year, the company posted $1.49 earnings per share. The firm's quarterly revenue was down .5% compared to the same quarter last year.

J.B. Hunt Transport Services Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, August 22nd. Stockholders of record on Friday, August 8th were issued a $0.44 dividend. This represents a $1.76 dividend on an annualized basis and a dividend yield of 1.1%. The ex-dividend date of this dividend was Friday, August 8th. J.B. Hunt Transport Services's payout ratio is 32.00%.

Analysts Set New Price Targets

A number of research firms have recently weighed in on JBHT. Truist Financial boosted their price target on J.B. Hunt Transport Services from $140.00 to $145.00 and gave the stock a "hold" rating in a report on Wednesday, July 16th. Weiss Ratings restated a "hold (c-)" rating on shares of J.B. Hunt Transport Services in a research report on Wednesday, October 8th. Robert W. Baird assumed coverage on shares of J.B. Hunt Transport Services in a research report on Tuesday, July 1st. They set an "outperform" rating and a $169.00 target price on the stock. Wells Fargo & Company raised their target price on shares of J.B. Hunt Transport Services from $160.00 to $170.00 and gave the stock an "overweight" rating in a research report on Thursday. Finally, Bank of America raised their target price on shares of J.B. Hunt Transport Services from $153.00 to $175.00 and gave the stock a "buy" rating in a research report on Thursday. One analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating and twelve have assigned a Hold rating to the stock. According to MarketBeat, J.B. Hunt Transport Services presently has an average rating of "Moderate Buy" and an average target price of $164.57.

Insider Transactions at J.B. Hunt Transport Services

In other news, EVP Eric Mcgee acquired 1,148 shares of the firm's stock in a transaction on Monday, August 4th. The stock was bought at an average cost of $140.76 per share, with a total value of $161,592.48. Following the transaction, the executive vice president directly owned 7,397 shares in the company, valued at approximately $1,041,201.72. This represents a 18.37% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, EVP David Keefauver sold 989 shares of the company's stock in a transaction dated Wednesday, July 23rd. The shares were sold at an average price of $151.97, for a total transaction of $150,298.33. Following the completion of the transaction, the executive vice president directly owned 946 shares of the company's stock, valued at approximately $143,763.62. The trade was a 51.11% decrease in their ownership of the stock. The disclosure for this sale can be found here. Corporate insiders own 2.30% of the company's stock.

Hedge Funds Weigh In On J.B. Hunt Transport Services

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Vanguard Group Inc. increased its position in shares of J.B. Hunt Transport Services by 2.0% in the 1st quarter. Vanguard Group Inc. now owns 10,048,462 shares of the transportation company's stock worth $1,486,670,000 after purchasing an additional 195,873 shares during the last quarter. JPMorgan Chase & Co. grew its position in shares of J.B. Hunt Transport Services by 14.6% during the 1st quarter. JPMorgan Chase & Co. now owns 4,853,092 shares of the transportation company's stock valued at $718,015,000 after buying an additional 616,986 shares during the last quarter. State Street Corp grew its position in shares of J.B. Hunt Transport Services by 7.1% during the 2nd quarter. State Street Corp now owns 4,122,669 shares of the transportation company's stock valued at $592,015,000 after buying an additional 272,594 shares during the last quarter. Geode Capital Management LLC grew its position in shares of J.B. Hunt Transport Services by 0.6% during the 2nd quarter. Geode Capital Management LLC now owns 2,072,500 shares of the transportation company's stock valued at $296,383,000 after buying an additional 11,637 shares during the last quarter. Finally, AQR Capital Management LLC grew its position in J.B. Hunt Transport Services by 411.5% in the 2nd quarter. AQR Capital Management LLC now owns 1,799,843 shares of the transportation company's stock worth $258,457,000 after purchasing an additional 1,447,993 shares during the last quarter. 74.95% of the stock is owned by hedge funds and other institutional investors.

J.B. Hunt Transport Services Trading Up 17.9%

The company has a current ratio of 0.87, a quick ratio of 0.87 and a debt-to-equity ratio of 0.28. The stock has a market cap of $15.85 billion, a P/E ratio of 29.79, a PEG ratio of 2.21 and a beta of 1.24. The firm's 50-day simple moving average is $140.05 and its 200 day simple moving average is $140.89.

J.B. Hunt Transport Services Company Profile

J.B. Hunt Transport Services, Inc provides surface transportation, delivery, and logistic services in the United States. It operates through five segments: Intermodal (JBI), Dedicated Contract Services (DCS), Integrated Capacity Solutions (ICS), Final Mile Services (FMS), and Truckload (JBT). The JBI segment offers intermodal freight solutions.

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