Hub Group (NASDAQ:HUBG) Shares Gap Down Following Analyst Downgrade

Shares of Hub Group, Inc. (NASDAQ:HUBG) gapped down prior to trading on Friday after Robert W. Baird downgraded the stock from an outperform rating to a hold rating. The stock had previously closed at $51.33, but opened at $37.72. Robert W. Baird now has a $29.00 price target on the stock. Hub Group shares last traded at $39.1750, with a volume of 590,763 shares trading hands.

Several other equities research analysts have also commented on HUBG. TD Cowen reissued a “hold” rating on shares of Hub Group in a report on Monday, January 12th. BMO Capital Markets lifted their target price on shares of Hub Group from $38.00 to $40.00 and gave the company a “market perform” rating in a research report on Monday, November 3rd. JPMorgan Chase & Co. boosted their target price on shares of Hub Group from $42.00 to $50.00 and gave the stock a “neutral” rating in a research note on Monday, January 12th. Barclays reaffirmed an “overweight” rating and issued a $48.00 price target (up from $38.00) on shares of Hub Group in a research note on Thursday, January 15th. Finally, Wolfe Research reiterated an “outperform” rating and set a $50.00 price objective on shares of Hub Group in a research note on Thursday, January 8th. Eight research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, Hub Group currently has an average rating of “Hold” and a consensus target price of $43.87.

Insider Transactions at Hub Group

In related news, Director Gary Yablon purchased 4,566 shares of Hub Group stock in a transaction dated Thursday, December 11th. The shares were acquired at an average price of $43.73 per share, for a total transaction of $199,671.18. Following the acquisition, the director directly owned 32,778 shares in the company, valued at approximately $1,433,381.94. The trade was a 16.18% increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Phillip D. Yeager sold 32,000 shares of the business’s stock in a transaction dated Thursday, December 11th. The shares were sold at an average price of $43.68, for a total transaction of $1,397,760.00. Following the transaction, the chief executive officer directly owned 168,315 shares in the company, valued at approximately $7,351,999.20. The trade was a 15.97% decrease in their position. The SEC filing for this sale provides additional information. Insiders own 3.48% of the company’s stock.

Hub Group News Roundup

Here are the key news stories impacting Hub Group this week:

• Positive Sentiment: Preliminary Q4 and full‑year 2025 results showed modest intermodal volume growth, a strong year‑end cash position (~$140M), ~ $194M operating cash flow for 2025 and initial 2026 revenue guidance of roughly $3.65B–$3.95B — underscores underlying business momentum despite the accounting issues. Hub Group Reports Select Preliminary Fourth Quarter and Full Year 2025 Results
• Positive Sentiment: Management touted record service levels and operational resilience amid market challenges on the Q4 earnings call — a positive operational signal if underlying financials are corrected and clarified. Q4 2025 Earnings Call Highlights
• Neutral Sentiment: Full earnings materials and call transcripts were posted; these provide detail investors will need to re‑assess once restated financials are released. Review the prepared remarks and transcript for operational context. Earnings Call Prepared Remarks Transcript
• Negative Sentiment: Hub Group disclosed an error that understated purchased transportation costs and accounts payable for part of 2025 and warned that recent quarterly reports “should no longer be relied upon,” prompting a dramatic stock drop and raising the prospect of restatements and regulatory scrutiny. Shares Crater Amid Admitted Improper Accounting
• Negative Sentiment: Multiple national law firms have opened securities‑fraud investigations and are soliciting shareholders (examples include Howard G. Smith, Faruqi & Faruqi, Scott+Scott and others), which typically indicates potential litigation risk and additional headline pressure until restatements and management explanations are complete. Law Offices of Howard G. Smith Investigation Notice

Institutional Trading of Hub Group

Institutional investors have recently made changes to their positions in the company. Torren Management LLC purchased a new position in Hub Group during the 4th quarter valued at about $31,000. Frazier Financial Advisors LLC acquired a new stake in shares of Hub Group during the third quarter worth about $35,000. Quarry LP boosted its stake in shares of Hub Group by 271.5% in the third quarter. Quarry LP now owns 1,107 shares of the transportation company’s stock valued at $38,000 after purchasing an additional 809 shares during the period. Smartleaf Asset Management LLC boosted its stake in shares of Hub Group by 33.4% in the second quarter. Smartleaf Asset Management LLC now owns 1,282 shares of the transportation company’s stock valued at $44,000 after purchasing an additional 321 shares during the period. Finally, NewEdge Advisors LLC grew its holdings in shares of Hub Group by 333.8% in the second quarter. NewEdge Advisors LLC now owns 1,488 shares of the transportation company’s stock valued at $50,000 after purchasing an additional 1,145 shares in the last quarter. Hedge funds and other institutional investors own 46.77% of the company’s stock.

Hub Group Stock Performance

The stock has a market capitalization of $2.57 billion, a PE ratio of 24.25, a P/E/G ratio of 1.20 and a beta of 1.13. The company has a debt-to-equity ratio of 0.09, a quick ratio of 1.47 and a current ratio of 1.47. The firm’s 50 day moving average is $44.96 and its two-hundred day moving average is $39.04.

Hub Group Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, December 17th. Stockholders of record on Friday, December 5th were paid a $0.125 dividend. This represents a $0.50 annualized dividend and a dividend yield of 1.2%. The ex-dividend date was Friday, December 5th. Hub Group’s dividend payout ratio (DPR) is presently 28.90%.

About Hub Group

Hub Group, Inc (NASDAQ: HUBG) is a leading supply chain solutions provider headquartered in Oak Brook, Illinois. Founded in 1971 as Hub City Terminals and renamed Hub Group in 1978, the company completed its initial public offering in 2007. Over the decades, Hub Group has developed a comprehensive multimodal transportation network, leveraging partnerships with major rail carriers and an extensive drayage fleet to offer cost-efficient, sustainable shipping alternatives.

The company operates through two primary segments: Intermodal and Transportation Management.