C.H. Robinson's Q2 Beat Moves Select Transports Up

C.H. Robinson Worldwide's CHRW second-quarter earnings beat moved the transportation sector broadly higher Wednesday.

The sector has proven rocky recently, with the Dow Jones Transportation Index down in four of the past five trading days.

In the bull market of the past five years, however, it has substantially outperformed the S&P 100, gaining 130 percent versus the S&P's 101 percent.

Bank of America upgraded C.H. Robinson to Neutral from Underperform and raised its target from $52 to $68.

"The trucking market is facing tight capacity and rising spot rates," Bank of America's Ken Hoexter said. "We expect truck pricing will continue to outpace costs given the tight market."

C.H. Robinson gained 6.4 percent Wednesday.

Roadrunner Transportation Systems RRTS is set to post earnings after the bell Wednesday, but rose 3.9 percent in the session.

Other issues gaining in the sector include Hub Group HUBG, up more than 2.01 percent; UTi Worldwide UTIW up 2.4 percent; and ArcBest ARCB up 3.4 percent.

The Dow Jones Transportation Average closed up 0.72 percent.