Carrier Predicted to Surge as Pricing Improves
It’s already been noted that the American Trucking Associations reported 2017 is looking to be a great year for trucking. With pricing and demand both expected to improve next year, many carriers are looking to the future with hope. Some carriers are already expecting a large surge, with some even predicting just how much improvement they may see.
Swift Transportation is expected to enjoy a greater level of success in the coming year. JPMorgan recently raised its rating on the carrier from neutral to overweight. The company reportedly offers one of the most promising outlooks for the industry recovery in 2017, with 29% growth expected.
Brain Ossenbeck, an analyst, said: “We are upgrading SWFT based on our view that the stock provides the most attractive risk/reward in a group already anticipating a turn in the TL cycle. Truckload carriers stand to gain from a turn in the TL cycle, as reduced capacity plus improved demand bring realized rates positive in 2017 with further growth in 2018.”
The Phoenix, Arizona-based carrier has over 16,000 trucks in its fleet and is the largest common carrier in the country. The company was founded in 1966 and went public again in 2010.
Swift Transportation shares are currently up by 80% this year.