Knight Transportation (KNX) AI Stock Analysis

• Market Cap: $7.58B
• Dividend Yield: 1.54%
• Average Volume (3M): 2.48M
• Price to Earnings (P/E): 50.3
• Beta (1Y): 1.16
• Revenue Growth: 1.16%
• EPS Growth: 36.33%
• Country: US
• Employees: 35,300
• Sector: Industrials
• Sector Strength: 89
• Industry: Trucking
• EPS (TTM): 0.28
• Shares Outstanding: 162,050,000
• 10 Day Avg. Volume: 2,515,119
• 30 Day Avg. Volume: 2,478,082
• PEG Ratio: 1.75
• Price to Book (P/B): 1.06
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 62.18
• Enterprise Value/Market Cap: 1.38
• Enterprise Value/Revenue: 0.35
• Enterprise Value/Gross Profit: 10.67
• Enterprise Value/Ebitda: 2.60
• 1Y Price Target: $52.13
• Price Target Upside: 15.66% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 15

• Rating: 67 Neutral
• Price Target: $49.00 ▲(8.72%Upside)

Knight Transportation's overall score reflects stable financial health and strategic improvements like the new credit facility. However, challenges such as valuation concerns and market uncertainties impact the overall outlook. The company's resilience in core operations and positive technical indicators contribute positively, while modest profitability and reduced guidance weigh on the score.

Positive Factors

Market Position

KNX is well-positioned to capitalize on a recovery in the TL market as the largest for-hire carrier.

Operational Efficiency

Margin upside is clear through self-help and the potential for operational leverage from a cyclical bounce.

Negative Factors

Cost Pressures

Costs remain elevated in the LTL segment, which could impact profitability.

Guidance Reduction

Management reduced 2Q25 guidance and declined to give guidance beyond that due to prevailing market and trade policy uncertainty.

Knight Transportation Business Overview & Revenue Model

Company Description

Knight Transportation (KNX) is a prominent American trucking company that operates primarily in the truckload transportation sector. Headquartered in Phoenix, Arizona, the company offers a range of services including dry van, temperature-controlled, and dedicated transportation services. With a focus on safety, efficiency, and customer satisfaction, Knight Transportation serves a wide array of industries, providing them with reliable logistics and transportation solutions.

How the Company Makes Money

Knight Transportation makes money through several key revenue streams centered around its core trucking and logistics services. The primary source of revenue is its truckload transportation services, where the company charges clients for moving freight across various distances and regions. Knight Transportation also generates income through its dedicated contract carriage, where it offers customized transportation solutions tailored to meet specific client needs on a long-term basis. Additionally, the company earns from ancillary services such as brokerage operations, which involve arranging transportation for customers through third-party carriers. Strategic partnerships and a focus on operational efficiency, including advanced logistics technology and fuel management, further contribute to the company's profitability.

Knight Transportation Financial Statement Overview

Summary

Knight Transportation's financials show stable revenue and cash flow generation with a strong equity base and prudent debt management. However, profitability and ROE are modest, indicating room for improvement in shareholder returns.

Income Statement

Knight Transportation's income statement showcases solid gross and net profit margins with a Gross Profit Margin of 18.2% and a Net Profit Margin of 2.0% for TTM (Trailing-Twelve-Months). Revenue growth appears stable, with a slight increase from the previous year, indicating consistent business performance. EBIT and EBITDA margins reflect steady operational efficiency, though there is a noticeable decline in EBIT margin from previous years. Overall, the income statement reflects a stable yet not exceptional profitability trajectory in a competitive trucking industry.

Balance Sheet

The balance sheet indicates a stable financial position with a Debt-to-Equity Ratio of 0.19, suggesting prudent financial leverage. Return on Equity (ROE) for TTM is modest at 2.1%, which is quite low and shows room for improvement in generating returns for shareholders. The Equity Ratio stands strong at 56.4%, indicating a robust equity base relative to total assets, providing a cushion against liabilities. Overall, the balance sheet reflects a sound financial structure but with modest shareholder returns.

Cash Flow

Cash flow analysis shows a Free Cash Flow to Net Income Ratio of 0.81 for TTM, indicating a robust cash generation relative to net income, though the Free Cash Flow Growth Rate shows volatility over the years. The Operating Cash Flow to Net Income Ratio is high at 5.77, highlighting strong cash conversion efficiency. However, capital expenditures have been significant, impacting free cash flow. The cash flow statement presents a stable cash-generating capability but with potential pressure from capital investments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	7.41B	7.41B	7.14B	7.43B	6.00B	4.67B
Gross Profit	979.80M	1.03B	1.25B	1.77B	1.41B	969.12M
EBITDA	1.04B	1.11B	1.13B	1.77B	1.62B	1.17B
Net Income	150.90M	117.63M	217.15M	771.33M	743.39M	410.00M
Balance Sheet
Total Assets	12.61B	12.70B	12.87B	10.95B	10.66B	8.47B
Cash, Cash Equivalents and Short-Term Investments	344.63M	218.26M	168.54M	196.77M	261.00M	156.70M
Total Debt	3.21B	3.28B	3.20B	2.09B	2.24B	817.08M
Total Liabilities	5.48B	5.58B	5.77B	4.00B	4.11B	2.60B
Stockholders Equity	7.11B	7.11B	7.09B	6.95B	6.53B	5.87B
Cash Flow
Free Cash Flow	121.92M	-20.09M	90.06M	635.29M	656.06M	398.58M
Operating Cash Flow	871.22M	799.06M	1.16B	1.44B	1.19B	919.64M
Investing Cash Flow	-673.59M	-759.12M	-1.23B	-646.18M	-1.82B	-480.71M
Financing Cash Flow	-193.48M	-139.40M	150.69M	-754.35M	779.33M	-443.88M

Knight Transportation Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 45.07
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KNX, the sentiment is Negative. The current price of 45.07 is below the 20-day moving average (MA) of 45.41, above the 50-day MA of 44.51, and below the 200-day MA of 49.11, indicating a neutral trend. The MACD of 0.69 indicates Positive momentum. The RSI at 48.37 is Neutral, neither overbought nor oversold. The STOCH value of 22.12 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for KNX.

Knight Transportation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SAIA	74 Outperform	$7.72B	23.84	14.63%	―	8.95%	-13.23%
ARCB	69 Neutral	$1.82B	10.47	14.25%	0.60%	-5.69%	51.78%
Sector *	67 Neutral	£2.83B	10.45	4.69%	3.54%	2.40%	-24.48%
KNX	67 Neutral	$7.58B	50.32	2.13%	1.54%	1.16%	36.33%
SNDR	66 Neutral	$4.54B	36.58	4.20%	1.51%	-0.30%	-20.76%
WERN	59 Neutral	$1.77B	100.84	1.21%	1.95%	-7.66%	-78.26%
MRTN	58 Neutral	$1.07B	51.17	2.72%	1.83%	-11.77%	-52.06%

Knight Transportation Corporate Events

Knight Transportation Secures New $2.5 Billion Credit Facility

On July 8, 2025, Knight-Swift Transportation Holdings Inc. entered into a new $2.5 billion unsecured credit facility, replacing its previous $2.3 billion credit facility and $250 million term loan. This new agreement includes a $1.5 billion revolving line of credit and two term loans, with varying maturity dates extending to 2030. The new credit facility is expected to streamline the company’s financial structure by consolidating its debt under more favorable terms, potentially enhancing its operational flexibility and financial stability.

The most recent analyst rating on (KNX) stock is a Buy with a $62.00 price target. To see the full list of analyst forecasts on Knight Transportation stock, see the KNX Stock Forecast page.

Knight Transportation Holds Annual Stockholders Meeting

On May 13, 2025, Knight-Swift Transportation Holdings Inc. held its Annual Meeting of Stockholders, where several key decisions were made. The stockholders elected twelve directors to serve one-year terms, approved executive compensation on an advisory basis, ratified the appointment of Grant Thornton LLP as the independent registered public accounting firm for 2025, and voted against a proposal for transparency in political spending. These decisions reflect the company’s strategic priorities and governance approach, potentially impacting its operational focus and stakeholder relations.

The most recent analyst rating on (KNX) stock is a Buy with a $62.00 price target. To see the full list of analyst forecasts on Knight Transportation stock, see the KNX Stock Forecast page.