Con-Way Lowered to “Hold” at Wunderlich (CNW)
Con-Way (NYSE:CNW) was downgraded by research analysts at Wunderlich from a “buy” rating to a “hold” rating in a report released on Wednesday, TheFlyOnTheWall.com reports. They currently have a $40.00 price objective on the stock, down from their previous price objective of $49.00. Wunderlich’s target price would indicate a potential upside of 6.35% from the company’s current price.
The analysts wrote, “We are transferring coverage of Con-way (CNW) with a Hold rating and $40 price target. Con-way’s 4Q13 results came in slightly ahead of lowered expectations following a negative preannouncement (January 16), but the prospect of challenging winter weather remains an overhang for 1Q14. Last year saw the implementation of major initiatives that targeted yield enhancement (lane-based pricing) and efficiency (linehaul optimization). While these programs are starting to show signs of progress, operational hiccups (such as weather in 4Q13) are inhibiting results. With a dramatic and much-anticipated margin ramp now expected in late FY14 or FY15, we prefer the near-term prospects for other LTL names.”
Shares of Con-Way (NYSE:CNW) traded down 1.42% during mid-day trading on Wednesday, hitting $37.075. 167,220 shares of the company’s stock traded hands. Con-Way has a 1-year low of $31.18 and a 1-year high of $46.52. The stock has a 50-day moving average of $39.29 and a 200-day moving average of $41.62. The company has a market cap of $2.108 billion and a price-to-earnings ratio of 21.74.
Con-Way (NYSE:CNW) last released its earnings data on Tuesday, February 4th. The company reported $0.23 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.39 by $0.16. The company had revenue of $1.36 billion for the quarter, compared to the consensus estimate of $1.37 billion. During the same quarter in the previous year, the company posted $0.26 earnings per share. The company’s quarterly revenue was down .4% on a year-over-year basis. On average, analysts predict that Con-Way will post $2.18 earnings per share for the current fiscal year.
The company also recently announced a quarterly dividend, which is scheduled for Friday, March 14th. Stockholders of record on Friday, February 14th will be paid a dividend of $0.10 per share. This represents a $0.40 annualized dividend and a dividend yield of 1.06%. The ex-dividend date is Wednesday, February 12th.
Other equities research analysts have also recently issued reports about the stock. Analysts at Deutsche Bank cut their price target on shares of Con-Way from $45.00 to $43.00 in a research note on Friday, February 7th. Separately, analysts at JPMorgan Chase & Co. cut their price target on shares of Con-Way from $45.00 to $40.00 in a research note on Friday, January 17th. Finally, analysts at Zacks upgraded shares of Con-Way from an “underperform” rating to a “neutral” rating in a research note on Tuesday, January 14th. They now have a $42.70 price target on the stock. Two research analysts have rated the stock with a sell rating, six have given a hold rating and six have assigned a buy rating to the company. The stock currently has a consensus rating of “Hold” and a consensus price target of $41.06.
Con-way Inc and its subsidiaries (NYSE:CNW) provides transportation, logistics and supply-chain management services for a range of manufacturing, industrial and retail customers.
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