Covenant Logistics (CVLG) Q4 Earnings: What To Expect

Freight and logistics provider Covenant Logistics (NASDAQ:CVLG) will be reporting earnings this Thursday afternoon. Here’s what to expect.

Covenant Logistics met analysts’ revenue expectations last quarter, reporting revenues of $296.9 million, up 3.1% year on year. It was a strong quarter for the company, with a solid beat of analysts’ adjusted operating income estimates and a decent beat of analysts’ EBITDA estimates.

Is Covenant Logistics a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.

This quarter, analysts are expecting Covenant Logistics’s revenue to grow 7.9% year on year to $299.2 million, improving from the 1.2% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.33 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Covenant Logistics has missed Wall Street’s revenue estimates six times over the last two years.

Looking at Covenant Logistics’s peers in the transportation and logistics segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Knight-Swift Transportation posted flat year-on-year revenue, missing analysts’ expectations by 2.4%, and FedEx reported revenues up 6.8%, topping estimates by 3%. Knight-Swift Transportation traded up 2.6% following the results while FedEx’s stock price was unchanged.

Read our full analysis of Knight-Swift Transportation’s results here and FedEx’s results here.

There has been positive sentiment among investors in the transportation and logistics segment, with share prices up 9.3% on average over the last month. Covenant Logistics is up 15.4% during the same time and is heading into earnings with an average analyst price target of $32 (compared to the current share price of $25.89).

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