UPDATE: Goldman Sachs Initiates Old Dominion Freight Line at Buy; Valuation Discounted

Goldman Sachs initiated coverage on Old Dominion Freight Line ODFL with a Conviction List Buy rating and a $40 price target Goldman Sachs noted, "We initiate on ODFL shares with a Buy rating and add the stock to our Conviction List as we believe the company is a best-in-class LTL operator that deserves a valuation premium to peers that is not fully reflected at current levels. Given our assumption that the economy is likely to remain in a slow-growth phase over the next 1-2 quarters, we view ODFL as a lower-risk way to invest in an anticipated recovery in trucking that we expect in 2013, initially underpinned by re-stocking and then sustained by end demand growth." Old Dominion Freight Line closed at $32.15 on Friday.