Saia price target lowered to $580 from $676 at JPMorgan

JPMorgan analyst Brian Ossenbeck lowered the firm’s price target on Saia to $580 from $676 and keeps an Overweight rating on the shares. The analyst says the “contagion” from soft freight market conditions creates a bigger than expected headwind for the company’s less-than-truckload volume growth. Start-up costs contributed to the sub-seasonal margin guidance in Q2, but that should fade throughout the year as new capacity ramps up, the analyst tells investors in a research note. More importantly, Saia is executing well through a volatile freight market while also expanding its operating footprint, contends JPMorgan.