What Happened?

Shares of freight delivery company Knight-Swift Transportation (NYSE:KNX) jumped 6.4% in the pre-market session after the company reported impressive fourth-quarter results, which beat analysts' EPS expectations. Its EPS guidance for next quarter also came in higher than Wall Street's estimates. On the other hand, its EBITDA missed significantly, and its revenue fell slightly short of Wall Street's estimates. The revenue shortfall was largely expected due to operating challenges from hurricanes and port strike disruptions. Overall, this was a mixed quarter. However, the market seems to be focused on the positive aspect, especially the strong earnings guidance.

After the initial pop the shares cooled down to $57.54, up 4.7% from previous close.

Is now the time to buy Knight-Swift Transportation? Access our full analysis report here, it’s free.

What The Market Is Telling Us

Knight-Swift Transportation’s shares are not very volatile and have only had 2 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful, although it might not be something that would fundamentally change its perception of the business.

Knight-Swift Transportation is up 9.1% since the beginning of the year, and at $57.54 per share, it is trading close to its 52-week high of $60.31 from February 2024. Investors who bought $1,000 worth of Knight-Swift Transportation’s shares 5 years ago would now be looking at an investment worth $1,534.

Unless you’ve been living under a rock, it should be obvious by now that generative AI is going to have a huge impact on how large corporations do business. While Nvidia and AMD are trading close to all-time highs, we prefer a lesser-known (but still profitable) semiconductor stock benefiting from the rise of AI. Click here to access our free report on our favorite semiconductor growth story.