Zacks Research Downgrades Knife River (NYSE:KNF) to Hold

Key Points

• Zacks Research downgraded Knife River from “strong buy” to “hold.” Despite the change, analysts’ overall consensus remains “Moderate Buy,” with an average target price of $97.14 versus the stock’s $69.04 price.
• Knife River’s quarterly revenue increased 12.6% year over year to $938.6 million, exceeding estimates, and the company raised its fiscal 2026 revenue outlook to $3.4 billion–$3.6 billion.
• Profitability was weaker than expected: earnings per share came in at $0.77, below the $1.13 consensus estimate and down from $0.89 a year earlier, while net income fell 13% to $43.9 million.

Knife River (NYSE:KNF - Get Free Report) was downgraded by stock analysts at Zacks Research from a "strong-buy" rating to a "hold" rating in a research report issued to clients and investors on Monday,Zacks.com reports.

KNF has been the subject of several other reports. Wells Fargo & Company lifted their price target on Knife River from $80.00 to $81.00 and gave the company an "underweight" rating in a research report on Wednesday, July 8th. Royal Bank Of Canada lowered their price objective on Knife River from $109.00 to $107.00 and set an "outperform" rating on the stock in a research report on Tuesday, June 30th. JPMorgan Chase & Co. raised their price objective on shares of Knife River from $90.00 to $95.00 and gave the stock a "neutral" rating in a research note on Wednesday, May 6th. Oppenheimer assumed coverage on shares of Knife River in a report on Thursday, May 28th. They set an "outperform" rating and a $95.00 target price for the company. Finally, Weiss Ratings upgraded shares of Knife River from a "hold (c-)" rating to a "hold (c)" rating in a research note on Wednesday, May 27th. Six investment analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $97.14.

Knife River Stock Performance

NYSE KNF opened at $69.04 on Monday. The firm has a market capitalization of $3.92 billion, a P/E ratio of 26.86, a PEG ratio of 1.41 and a beta of 0.42. The stock has a 50-day simple moving average of $80.38 and a two-hundred day simple moving average of $81.33. The company has a debt-to-equity ratio of 0.91, a quick ratio of 1.31 and a current ratio of 2.67. Knife River has a fifty-two week low of $58.72 and a fifty-two week high of $96.28.

Knife River (NYSE:KNF - Get Free Report) last issued its earnings results on Tuesday, August 4th. The company reported $0.77 EPS for the quarter, missing analysts' consensus estimates of $1.13 by ($0.36). The company had revenue of $938.57 million during the quarter, compared to analysts' expectations of $931.39 million. Knife River had a return on equity of 9.35% and a net margin of 4.58%.The firm's quarterly revenue was up 12.6% compared to the same quarter last year. During the same quarter in the previous year, the company earned $0.89 EPS. On average, equities analysts forecast that Knife River will post 3.32 earnings per share for the current year.

Hedge Funds Weigh In On Knife River

A number of hedge funds have recently bought and sold shares of the business. McMillan Office Inc. acquired a new stake in Knife River in the fourth quarter valued at approximately $36,000. Hantz Financial Services Inc. lifted its position in shares of Knife River by 66.3% during the 4th quarter. Hantz Financial Services Inc. now owns 567 shares of the company's stock valued at $40,000 after buying an additional 226 shares in the last quarter. Caitong International Asset Management Co. Ltd grew its position in shares of Knife River by 1,088.0% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 594 shares of the company's stock valued at $42,000 after purchasing an additional 544 shares during the period. Harbor Investment Advisory LLC purchased a new position in Knife River in the 2nd quarter valued at about $50,000. Finally, Larson Financial Group LLC raised its holdings in shares of Knife River by 198.5% during the fourth quarter. Larson Financial Group LLC now owns 806 shares of the company's stock valued at $57,000 after acquiring an additional 536 shares during the last quarter. Hedge funds and other institutional investors own 80.11% of the company's stock.

Knife River News Summary

Here are the key news stories impacting Knife River this week:

• Positive Sentiment: Second-quarter revenue rose 12.6% year over year to $938.6 million, exceeding analysts’ estimate of approximately $931 million. The company also raised its fiscal 2026 revenue outlook to $3.4 billion-$3.6 billion, compared with its prior range of $3.3 billion-$3.5 billion. Knife River Corporation Reports Second Quarter 2026 Financial Results
• Neutral Sentiment: Knife River’s earnings call provided additional commentary on the quarterly results and full-year outlook, which investors are evaluating for indications about construction demand, margins, backlog and the company’s ability to reach its guidance. Knife River Corporation Q2 2026 Earnings Call Transcript
• Neutral Sentiment: Institutional positioning was mixed, with some large investors adding shares while others reduced or exited positions. Analysts’ recent price targets remained generally above the market price, with a reported median target of $100, but these targets did not offset concerns about the quarterly results. Knife River Slides as Investors Appear Cautious Around Quarterly Update
• Negative Sentiment: Adjusted earnings came in at $0.77 per share, well below consensus estimates of $1.11-$1.13 and down from $0.89 a year earlier. Net income fell 13% to $43.9 million, while net margin declined to 4.7% from 6.1%, pointing to weaker profitability despite higher sales. Knife River Q2 Earnings Lag Estimates

Knife River Company Profile

Knife River Corporation, headquartered in Bismarck, North Dakota, is a leading integrated construction materials and contracting company in the western United States. The company specializes in producing and supplying aggregates, asphalt mix, ready-mixed concrete and other heavy construction materials used in highway, commercial and residential projects.

In addition to material production, Knife River offers a comprehensive suite of contracting services, including heavy civil construction, road building, underground and open-pit mining and logistics support.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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