Saia price target lowered to $455 from $500 at BofA

BofA analyst Ken Hoexter lowered the firm’s price target on Saia to $455 from $500 on Friday and kept a Buy rating on the shares. Saia won the battle for Yellow’s volume in the market, the firm says. It posted tons/day and shipments/day growth 1000+ bps above the less-than-truckload group average in Q3. However, with great growth came rapid hiring and extra resources. While revenues significantly topped BofA’s targets, given additional volumes, the higher costs nearly matched the gain, lifting its operating ratio to 83.4%, 30 bps worse than its target.