UBS thinks it’s time for investors to scoop up shares of Knight-Swift Transportation . The bank upgraded the transportation company, which provides truckload services, to buy from neutral. Analyst Thomas Wadewitz’s new 12-month price target of $66, up from $54, offers upside of 26%. Shares of Knight-Swift Transportation are flat on the year. Over the past 12 months, they have added 13%. KNX 1Y mountain KNX 1Y chart “Relative to the other truckload and related names we view KNX as providing the best leverage to rising truckload rates and upside to our PT is stronger for KNX while upside for other names would not justify a Buy rating,” Wadewitz wrote. The analyst said that one catalyst for the upgrade was growing visibility that there will be a supply reduction in the industry. “We are upgrading KNX to Buy due to rising visibility to attrition in truckload supply and elevated spot rates which reflect the resulting tightening in the market,” he wrote. “The acceleration in monthly attrition which commenced in October 2025 provides visibility to supply reduction while the step up in truckload spot rates from December 2025 also provides evidence of a tightening market.” As a result of this shrinking market, Wadewitz said that truckload pricing has strengthened. “TL spot rates have been tracking up about 15% y/y in 1QTD,” he said. “Truckload pricing is the most important lever for KNX’s EPS and we now forecast 15 pp of pricing gains over the two year period of 2026 / 2027 vs our prior expectation of 12 pp.” This price increase also warrants stronger earnings next year than previously expected, the analyst said. He lifted his 2027 earnings per share price target to $3.65 per share, up from $3.40. Shares rose more than 3% following the upgrade.
