Hub Group Posts Solid 3Q Earnings

JP Morgan has published a research report on Hub Group

following solid 3Q earnings by the company driven by improvements in net revenue margins. In the report, JP Morgan writes “After the close on Tuesday, HUBG reported solid 3Q:10 earnings of $0.34/ share (in line with our forecast and above Consensus of $0.33). On their earnings call, HUBG's management team conveyed a positive outlook on peak season demand for intermodal services which is in contrast to recent commentary from the TL providers on truck demand. Although we are maintaining our EPS forecasts, we believe HUBG's commentary was constructive and supports our positive thesis on the intermodal market.” JP Morgan maintains its Overweight and $36 price target. Hub Group closed yesterday at $29.34.