Old Dominion cut to Hold at Argus on valuation

Argus downgraded Old Dominion (ODFL) to Hold from Buy. The company is among the most efficient operators in the trucking industry, which has been a consistent market share leader compared to other transport options for the past 20 years, but it has been hurt by unfavorable market conditions that have lowered volumes, revenue, and EPS growth, the analyst tells investors in a research note. The stock is also trading at 41-times the firm’s 2024 estimate, compared to a five-year historical range of 21- to 33-times, which is also above 34-times for its “close peer”, Argus adds.