Schneider National (SNDR) Stock Forecast & Price Target

Schneider National's positive outlook is supported by notable revenue growth in key segments, with Truckload Network revenue per truck per week demonstrating sequential increases and positive contract price renewals for the first time in six quarters. Furthermore, intermodal volumes have shown a steady recovery, reaching levels close to pre-pandemic figures, bolstered by a year-over-year increase of 7% in total US loaded import volumes. Additionally, the uptick in empty container returns at major ports signals potential for enhanced transloading growth, indicating a strong logistical environment that bodes well for the company’s future performance.

Schneider National's outlook is hindered by downtrending freight metrics and persistent high truckload (TL) capacity, which limits the company's ability to raise TL contract rates significantly. Revenue has shown a decline of 5% in revenue per order alongside year-on-year flat volumes, which does not align with prior revenue expectations. Additionally, the company's revised FY 2024 EPS guidance of $0.80, which falls short of previous forecasts, reflects a broader concern about ongoing oversupply in the industry and low margins remaining below long-term targets.