- Knight-Swift beat second quarter expectations, but it was the Logistics and Intermodal businesses that drove the beat, as Trucking came up a bit short as capacity constraints outweighed strong demand.
- Driver shortages remain a key challenging for trucking companies, but may also end up pushing the cyclical peak out a bit.
- Knight-Swift has the largest and most profitable truckload fleet, and while there are still growth opportunities there, management is deploying capital to diversify its growth drivers.
- Knight-Swift shares don't look expensive assuming trucking remains strong through 2022, but buying into a cyclical downturn can be a brutal experience.
For further details see:
Knight-Swift Transportation Caught Between Demand And Supply, Cyclical Bulls And Bears