J.B. Hunt price target lowered to $173 from $188 at Stifel

Stifel lowered the firm’s price target on J.B. Hunt to $173 from $188 and keeps a Hold rating on the shares after the company reported Q1 EPS that was down 35% year-over-year and below the firm’s and the Street’s targets. The core intermodal segment saw weaker pricing with too much capacity in intermodal and the over-the-road trucking markets chasing trough demand, while dedicated also underperformed, the analyst tells investors. While management leaning into an oversupplied market with capacity growth as it seeks future share gain “could prove prudent in a few years,” the firm argues that “the journey there will be rough and near term estimates are coming down.”