Rails Back On Track: Analyst Upgrades Union Pacific And Norfolk Southern, Predicts Strong Intermodal Recovery
2
0
Bernstein analyst David Vernon upgraded the rating of some rail stocks, given the U.S. rail industry outlook for FY24.
The analyst says that the spot truck market has been in a correction for around 21 months, with the contract market declining in the last 12 months and running ~5% below the long-term trend.
While Vernon writes that the end of the downturn in truck pricing is nearing, the exact timing of an inflection in contract rates is unknown.
The analyst says the normal second-quarter seasonal uptick in freight demand should bring contract truck rates to an inflationary state by the third quarter. Vernon expects the next peak to …
Full story available on Benzinga.com
Visited 2 times, 1 visit(s) today