NYSE:KNX

Stock Analysis Report

Knight-Swift Transportation Holdings

Executive Summary

Knight-Swift Transportation Holdings Inc., together with its subsidiaries, provides truckload transportation services in the United States, Mexico, and Canada.

Snowflake

Fundamentals

Adequate balance sheet and fair value.


Similar Companies

Share Price & News

How has Knight-Swift Transportation Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: KNX has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-1.3%

KNX

-0.2%

US Transportation

0.9%

US Market


1 Year Return

12.5%

KNX

18.7%

US Transportation

16.8%

US Market

Return vs Industry: KNX underperformed the US Transportation industry which returned 18.7% over the past year.

Return vs Market: KNX underperformed the US Market which returned 16.8% over the past year.


Shareholder returns

KNXIndustryMarket
7 Day-1.3%-0.2%0.9%
30 Day0.2%2.8%4.5%
90 Day8.5%3.1%6.2%
1 Year13.3%12.5%20.8%18.7%19.4%16.8%
3 Year7.2%5.0%67.8%59.8%47.5%38.0%
5 Year16.8%12.5%49.9%20.0%62.0%44.1%

Price Volatility Vs. Market

How volatile is Knight-Swift Transportation Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Knight-Swift Transportation Holdings undervalued compared to its fair value and its price relative to the market?

16.19x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: KNX ($36.91) is trading above our estimate of fair value ($31.03)

Significantly Below Fair Value: KNX is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: KNX is good value based on its PE Ratio (16.2x) compared to the Transportation industry average (18.9x).

PE vs Market: KNX is good value based on its PE Ratio (16.2x) compared to the US market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: KNX is poor value based on its PEG Ratio (3.2x)


Price to Book Ratio

PB vs Industry: KNX is good value based on its PB Ratio (1.1x) compared to the US Transportation industry average (2.3x).


Next Steps

Future Growth

How is Knight-Swift Transportation Holdings forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?

5.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KNX's forecast earnings growth (5.1% per year) is above the savings rate (2.7%).

Earnings vs Market: KNX's earnings (5.1% per year) are forecast to grow slower than the US market (14.4% per year).

High Growth Earnings: KNX's earnings are forecast to grow, but not significantly.

Revenue vs Market: KNX's revenue (1.2% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: KNX's revenue (1.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: KNX's Return on Equity is forecast to be low in 3 years time (6.8%).


Next Steps

Past Performance

How has Knight-Swift Transportation Holdings performed over the past 5 years?

39.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KNX has high quality earnings.

Growing Profit Margin: KNX's current net profit margins (7.8%) are lower than last year (13.5%).


Past Earnings Growth Analysis

Earnings Trend: KNX's earnings have grown significantly by 39.9% per year over the past 5 years.

Accelerating Growth: KNX's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: KNX had negative earnings growth (-45%) over the past year, making it difficult to compare to the Transportation industry average (-45%).


Return on Equity

High ROE: KNX's Return on Equity (7%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Knight-Swift Transportation Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: KNX's short term assets ($901.0M) exceeds its short term liabilities ($696.8M)

Long Term Liabilities: KNX's short term assets ($901.0M) do not cover its long term liabilities (2.0B)


Debt to Equity History and Analysis

Debt Level: KNX's debt to equity ratio (15.3%) is considered satisfactory.

Reducing Debt: KNX's debt to equity ratio has increased from 6.1% to 15.3% over the past 5 years.

Debt Coverage: KNX's debt is well covered by operating cash flow (106.3%).

Interest Coverage: KNX's interest payments on its debt are well covered by EBIT (19.2x coverage).


Balance Sheet

Inventory Level: KNX has a high level of physical assets or inventory.

Debt Coverage by Assets: KNX's debt is covered by short term assets (assets are 1x debt).


Next Steps

Dividend

What is Knight-Swift Transportation Holdings's current dividend yield, its reliability and sustainability?

0.65%

Current Dividend Yield


Upcoming Dividend Payment

Purchase Knight-Swift Transportation Holdings before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield vs Market

company0.6%marketbottom25%1.4%markettop25%3.7%industryaverage1.7%forecastin3Years0.7%

Current dividend yield vs market & industry

Notable Dividend: KNX's dividend (0.65%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.43%).

High Dividend: KNX's dividend (0.65%) is low compared to the top 25% of dividend payers in the US market (3.68%).


Stability and Growth of Payments

Stable Dividend: KNX is not paying a notable dividend for the US market, therefore no need to check if payments are stable.

Growing Dividend: KNX is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: KNX is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of KNX's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of Knight-Swift Transportation Holdings's salary, the management and board of directors tenure and is there insider trading?

2.8yrs

Average management tenure


CEO

Dave Jackson (43yo)

4.8yrs

Tenure

US$5,186,587

Compensation

Mr. David A. Jackson, also known as Dave, has been President and Chief Executive Officer at Swift Transportation Company since September 7, 2017. Mr. Jackson has been the Chief Executive Officer and Presid ...


CEO Compensation Analysis

Compensation vs Market: Dave's total compensation ($USD5.19M) is about average for companies of similar size in the US market ($USD6.77M).

Compensation vs Earnings: Dave's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Management Age and Tenure

2.8yrs

Average Tenure

46yo

Average Age

Experienced Management: KNX's management team is considered experienced (2.8 years average tenure).


Board Age and Tenure

10.3yrs

Average Tenure

61yo

Average Age

Experienced Board: KNX's board of directors are seasoned and experienced ( 10.3 years average tenure).


Insider Trading

Insider Buying: KNX insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$119,81124 Oct 19
Cary Flanagan
EntityIndividual
Role
Chief Accounting Officer
Chief Accounting Officer
Shares3,196
Max PriceUS$37.49
SellUS$58,09616 Sep 19
James Fitzsimmons
EntityIndividual
Shares1,582
Max PriceUS$36.79
SellUS$156,87812 Aug 19
Kevin Quast
EntityIndividual
Role
Senior Key Executive
Chief Operating Officer of Swift
Shares4,703
Max PriceUS$33.36
SellUS$34,82015 Mar 19
Shannon Breen
EntityIndividual
Role
Senior Key Executive
Senior Vice President of Logistics & Intermodal
Shares1,000
Max PriceUS$34.82
SellUS$292,50712 Mar 19
James Updike
EntityIndividual
Role
Senior Key Executive
Executive Vice President of Sales & Marketing of Knight
Shares8,750
Max PriceUS$33.43
SellUS$5,983,78608 Mar 19
Gary Knight
EntityIndividual
Role
Vice Chairman
Executive Vice Chairman
Shares180,368
Max PriceUS$33.21
SellUS$3,450,86108 Mar 19
Kevin Knight
EntityIndividual
Role
Chairman of the Board
Executive Chairman
Shares104,040
Max PriceUS$33.17
SellUS$4,858,85806 Mar 19
Kevin Knight
EntityIndividual
Role
Chairman of the Board
Executive Chairman
Shares145,960
Max PriceUS$34.08
SellUS$29,318,52631 Dec 18
Cactus Holding Company III, Llc
EntityCompany
Shares1,173,680
Max PriceUS$24.98
BuyUS$99,90917 Dec 18
Roberta Shank
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares3,661
Max PriceUS$27.29
BuyUS$28,83013 Dec 18
Robert Synowicki
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,000
Max PriceUS$28.83

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Kevin Knight (62yo)

    Executive Chairman

    • Tenure: 20.5yrs
    • Compensation: US$6.16m
  • Gary Knight (67yo)

    Executive Vice Chairman

    • Tenure: 15.8yrs
    • Compensation: US$1.92m
  • Dave Jackson (43yo)

    President

    • Tenure: 4.8yrs
    • Compensation: US$5.19m
  • Mike Liu (46yo)

    Executive Vice President of Operations of Knight

    • Tenure: 2.8yrs
  • Todd Carlson (59yo)

    General Counsel & Secretary

    • Tenure: 0yrs
  • Cary Flanagan (46yo)

    Chief Accounting Officer

    • Tenure: 2.2yrs
  • Kevin Quast (53yo)

    Chief Operating Officer of Swift

    • Tenure: 0yrs
    • Compensation: US$1.19m
  • James Updike (46yo)

    Executive Vice President of Sales & Marketing of Knight

    • Tenure: 0yrs
    • Compensation: US$482.14k
  • Adam Miller (38yo)

    CFO & Treasurer

    • Tenure: 7.5yrs
    • Compensation: US$3.01m
  • Shannon Breen (38yo)

    Senior Vice President of Logistics & Intermodal

    • Tenure: 1.2yrs

Board Members

  • Robert Synowicki (60yo)

    Independent Director

    • Tenure: 3.8yrs
    • Compensation: US$189.98k
  • Kevin Knight (62yo)

    Executive Chairman

    • Tenure: 20.5yrs
    • Compensation: US$6.16m
  • Gary Knight (67yo)

    Executive Vice Chairman

    • Tenure: 15.8yrs
    • Compensation: US$1.92m
  • Kathy Munro (70yo)

    Lead Independent Director

    • Tenure: 0yrs
    • Compensation: US$164.98k
  • Mike Garnreiter (67yo)

    Independent Director

    • Tenure: 16.2yrs
    • Compensation: US$144.98k
  • Dave Jackson (43yo)

    President

    • Tenure: 4.8yrs
    • Compensation: US$5.19m
  • Sissie Shank (52yo)

    Independent Director

    • Tenure: 3.8yrs
    • Compensation: US$140.00k
  • Dave Ploeg (60yo)

    Independent Director

    • Tenure: 0yrs
    • Compensation: US$139.99k

Company Information

Knight-Swift Transportation Holdings Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Knight-Swift Transportation Holdings Inc.
  • Ticker: KNX
  • Exchange: NYSE
  • Founded: 1989
  • Industry: Trucking
  • Sector: Transportation
  • Market Cap: US$6.299b
  • Shares outstanding: 170.65m
  • Website: https://knight-swift.com

Number of Employees


Location

  • Knight-Swift Transportation Holdings Inc.
  • 20002 North 19th Avenue
  • Phoenix
  • Arizona
  • 85027
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
KSXDB (Deutsche Boerse AG)YesClass A Common StockDEEUROct 1994
KNXNYSE (New York Stock Exchange)YesClass A Common StockUSUSDOct 1994

Biography

Knight-Swift Transportation Holdings Inc., together with its subsidiaries, provides truckload transportation services in the United States, Mexico, and Canada. The company operates through six segments: Kn ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/20 00:41
End of Day Share Price2019/11/19 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.