Covenant Logistics Group (NYSE:CVLG) Stock Jumps 10.3% - Here's What Happened

Key Points

• Covenant Logistics Group shares jumped 10.3% to $31.80, although trading volume was exceptionally light at roughly 3,119 shares versus an average of 187,326.
• The company’s latest quarterly results exceeded expectations, with earnings per share of $0.50 versus the $0.44 consensus estimate and revenue of $353.89 million.
• Analyst sentiment remains mixed but leans positive: the stock carries a “Moderate Buy” consensus rating and a $53.20 average price target, while institutional investors own 83.72% of shares.

Covenant Logistics Group, Inc. (NYSE:CVLG - Get Free Report)'s share price traded up 10.3% on Monday. The company traded as high as $31.80 and last traded at $31.80. Approximately 3,119 shares traded hands during mid-day trading, a decline of 98% from the average session volume of 187,326 shares. The stock had previously closed at $28.82.

Analyst Upgrades and Downgrades

Several research analysts recently issued reports on the company. Weiss Ratings cut Covenant Logistics Group from a "hold (c-)" rating to a "sell (d+)" rating in a research note on Friday, October 23rd. Citizens Jmp began coverage on Covenant Logistics Group in a research report on Wednesday, July 15th. They set a "market outperform" rating and a $60.00 price target on the stock. Citigroup initiated coverage on shares of Covenant Logistics Group in a research note on Wednesday, July 15th. They issued an "outperform" rating for the company. Zacks Research downgraded Covenant Logistics Group from a "strong-buy" rating to a "hold" rating in a report on Monday, September 7th. Finally, Wall Street Zen lowered shares of Covenant Logistics Group from a "buy" rating to a "hold" rating in a report on Saturday, August 8th. One research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat.com, Covenant Logistics Group has an average rating of "Moderate Buy" and a consensus target price of $53.20.

Covenant Logistics Group Stock Performance

The company has a current ratio of 1.14, a quick ratio of 1.10 and a debt-to-equity ratio of 0.55. The firm's 50-day moving average is $32.92 and its two-hundred day moving average is $33.94. The stock has a market cap of $847.69 million, a price-to-earnings ratio of 208.75 and a beta of 1.44.

Covenant Logistics Group (NYSE:CVLG - Get Free Report) last issued its quarterly earnings results on Thursday, October 29th. The company reported $0.50 EPS for the quarter, topping the consensus estimate of $0.44 by $0.06. Covenant Logistics Group had a return on equity of 9.64% and a net margin of 0.42%. The firm had revenue of $353.89 million during the quarter. As a group, sell-side analysts expect that Covenant Logistics Group, Inc. will post 1.55 earnings per share for the current year.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently modified their holdings of the company. Prescott Group Capital Management L.L.C. increased its holdings in shares of Covenant Logistics Group by 25.0% during the 3rd quarter. Prescott Group Capital Management L.L.C. now owns 20,000 shares of the company's stock worth $646,000 after buying an additional 4,000 shares during the last quarter. Vise Technologies Inc. boosted its position in Covenant Logistics Group by 30.7% in the 3rd quarter. Vise Technologies Inc. now owns 7,979 shares of the company's stock valued at $258,000 after buying an additional 1,875 shares during the period. Inspire Investing LLC boosted its holdings in Covenant Logistics Group by 26.5% in the third quarter. Inspire Investing LLC now owns 19,506 shares of the company's stock valued at $630,000 after purchasing an additional 4,083 shares during the period. Kings Path Partners LLC purchased a new stake in shares of Covenant Logistics Group during the third quarter worth approximately $275,000. Finally, Nisa Investment Advisors LLC increased its position in shares of Covenant Logistics Group by 100.3% in the 3rd quarter. Nisa Investment Advisors LLC now owns 3,299 shares of the company's stock valued at $107,000 after purchasing an additional 1,652 shares during the last quarter. Institutional investors and hedge funds own 83.72% of the company's stock.

About Covenant Logistics Group

Covenant Logistics Group, Inc is a transportation and logistics company headquartered in Chattanooga, Tennessee. Founded in 1986, the company provides freight transportation, supply chain management and related logistics services to customers across North America.

Its operations include expedited and dedicated truckload transportation, refrigerated and temperature-controlled freight, freight brokerage, managed transportation and warehousing. Covenant also provides final-mile delivery, cross-docking, fulfillment and other distribution services designed to support customers' supply chains.

The company serves a range of industries, including retail, consumer goods, food and beverage, automotive and manufacturing.

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