Universal Logistics (NASDAQ:ULH) Shares Gap Up Following Earnings Beat

Key Points

• Universal Logistics shares surged 25.9% after opening at $19.28 versus a prior close of $17.42, following a quarterly earnings beat.
• The transportation company reported EPS of $0.69, exceeding analysts’ $0.32 consensus, while revenue of $394.05 million modestly topped expectations of $390 million.
• Universal Logistics declared a quarterly dividend of $0.105 per share, equivalent to $0.42 annually and a 1.9% yield; despite the earnings beat, analysts’ average rating remains “Reduce” with a $15 price target.

Universal Logistics Holdings, Inc. (NASDAQ:ULH - Get Free Report)'s stock price gapped up before the market opened on Friday following a better than expected earnings announcement. The stock had previously closed at $17.42, but opened at $19.28. Universal Logistics shares last traded at $21.1650, with a volume of 17,414 shares trading hands.

The transportation company reported $0.69 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.32 by $0.37. The firm had revenue of $394.05 million for the quarter, compared to analysts' expectations of $390.00 million. Universal Logistics had a positive return on equity of 1.99% and a negative net margin of 3.16%.

Universal Logistics Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Wednesday, January 6th. Shareholders of record on Tuesday, December 1st will be given a dividend of $0.1050 per share. The ex-dividend date of this dividend is Tuesday, December 1st. This represents a $0.42 dividend on an annualized basis and a yield of 1.9%. Universal Logistics's dividend payout ratio is -22.83%.

Analyst Ratings Changes

Several research analysts have weighed in on ULH shares. Wall Street Zen upgraded Universal Logistics from a "hold" rating to a "buy" rating in a research report on Saturday, August 15th. Weiss Ratings reissued a "sell (d)" rating on shares of Universal Logistics in a research report on Monday, September 21st. Zacks Research raised shares of Universal Logistics from a "strong sell" rating to a "hold" rating in a research report on Monday, September 14th. Finally, Stifel Nicolaus dropped their price objective on shares of Universal Logistics from $17.00 to $15.00 and set a "hold" rating for the company in a research note on Wednesday, July 15th. Two investment analysts have rated the stock with a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, Universal Logistics currently has an average rating of "Reduce" and an average price target of $15.00.

Institutional Trading of Universal Logistics

A number of institutional investors and hedge funds have recently made changes to their positions in ULH. Archer Investment Corp bought a new position in Universal Logistics in the first quarter valued at approximately $48,000. Deutsche Bank AG acquired a new stake in Universal Logistics in the second quarter valued at approximately $75,000. Quantinno Capital Management LP boosted its position in Universal Logistics by 118.9% in the first quarter. Quantinno Capital Management LP now owns 37,766 shares of the transportation company's stock valued at $798,000 after buying an additional 20,511 shares in the last quarter. Empowered Funds LLC bought a new stake in shares of Universal Logistics during the second quarter worth $1,423,000. Finally, Bank of New York Mellon Corp acquired a new position in Universal Logistics in the 2nd quarter worth about $2,770,000. Institutional investors own 25.50% of the company's stock.

Universal Logistics Stock Up 25.9%

The company has a debt-to-equity ratio of 1.06, a current ratio of 1.20 and a quick ratio of 1.20. The stock has a market capitalization of $578.36 million, a P/E ratio of -11.91 and a beta of 0.74. The firm has a 50-day simple moving average of $17.72 and a 200 day simple moving average of $17.35.

About Universal Logistics

Universal Logistics Holdings, Inc provides transportation and logistics services throughout the United States, Canada and Mexico. The company serves automotive, industrial, retail and other commercial customers with customized supply-chain solutions designed to move freight and support manufacturing and distribution operations.

Its services include contract logistics, dedicated transportation, truckload and intermodal transportation, freight brokerage, drayage, and value-added services.

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