Why Is J.B. Hunt Stock Surging Premarket On Wednesday?

J.B. Hunt Transport Services, Inc. (NASDAQ:JBHT) shares are trading higher after the company reported third-quarter results.

Operating revenue fell 3% Y/Y to $3.07 billion, beating the consensus of $3.02 billion. Revenue declined mainly due to a 5% Y/Y drop in gross revenue per load in Intermodal (JBI) and a 6% Y/Y decrease in Truckload (JBT).

Additionally, load volumes fell by 10% in Integrated Capacity Solutions (ICS) and 6% in Dedicated Contract Services (DCS), along with 6% fewer stops in Final Mile Services (FMS).

Total operating revenue, excluding fuel surcharge revenue, decreased by less than 1% Y/Y in the quarter.

Operating income dipped 7% Y/Y to $224.1 million due to decreased revenue across all segments except JBI, along with rising expenses related to personnel, insurance, claims, and equipment.

EPS of $1.49 surpassed the consensus of $1.47.

As of September 30, the company had cash and cash equivalents of about $120 million.

In the third quarter of 2024, the company repurchased shares worth around $200 million. As of September 30, J.B. Hunt had around $967 million remaining under its share repurchase authorization.

Investors can gain exposure to the stock via IShares Trust IShares U.S. Transportation ETF (BATS:IYT) and ETF Opportunities Trust Tuttle Capital Shareholders First Index ETF (BATS:ESGX).

Price Action: JBHT shares are up 7.12% at $187.09 premarket at the last check Wednesday.

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