Saia (NASDAQ:SAIA) Issues Earnings Results

Saia (NASDAQ:SAIA) released its quarterly earnings data on Thursday. The transportation company reported $3.41 EPS for the quarter, topping analysts’ consensus estimates of $3.30 by $0.11, FiscalAI reports. The firm had revenue of $982.45 million during the quarter, compared to the consensus estimate of $966.98 million. Saia had a net margin of 8.19% and a return on equity of 10.21%. The firm’s revenue was up 17.0% on a year-over-year basis. During the same quarter in the previous year, the company posted $2.81 earnings per share.

Here are the key takeaways from Saia’s conference call:

• Record third-quarter results: Revenue rose 17% to $982.5 million, tonnage increased 8.9%, operating income grew 17.5%, and adjusted diluted EPS increased 21.4% to $3.41. The 87.6% operating ratio was stable year over year despite typically unfavorable seasonal trends.
• Network investments and the REV initiative are improving service and density. Saia reported record-low cargo claims of 0.3%, a 15% increase in internal Net Promoter Score, improved handling efficiency, and faster transit times across more than 2,000 lanes.
• Management expects fourth-quarter operating-ratio deterioration from Q3 to be roughly 200 basis points, better than the historical 250–300 basis-point seasonal increase, implying more than 200 basis points of year-over-year improvement. Executives also see continued margin expansion into 2027 as newer terminals gain density.
• The board authorized up to $250 million in share repurchases, supported by more than $240 million of year-to-date free cash flow, $203 million in cash, only $100 million of debt, and moderating capital expenditures as the major network buildout concludes.
• Profitability remains exposed to mix and cost pressures. Heavier shipments increased network complexity and contributed to a 2.2% year-over-year decline in fuel-excluded yield, while wages, health insurance, purchased transportation, and fuel expenses continued to rise; newer terminals also remain below company-average profitability and the Los Angeles region remained weak.

Saia Stock Performance

Shares of SAIA stock traded down $0.19 on Friday, hitting $342.88. 129,818 shares of the stock were exchanged, compared to its average volume of 462,152. The firm’s 50 day moving average is $342.33 and its two-hundred day moving average is $387.61. Saia has a one year low of $249.32 and a one year high of $494.71. The firm has a market capitalization of $9.14 billion, a PE ratio of 33.14, a P/E/G ratio of 2.62 and a beta of 2.19. The company has a current ratio of 1.58, a quick ratio of 1.58 and a debt-to-equity ratio of 0.04.

Trending Headlines about Saia

Here are the key news stories impacting Saia this week:

• Positive Sentiment: Q3 earnings and revenue exceeded expectations. Saia reported diluted EPS of $3.41 versus the $3.30-$3.31 consensus and revenue of $982.5 million, ahead of estimates near $967 million. Revenue increased 17% year over year, while operating income rose 3.1% to $122.3 million. Saia Q3 Earnings and Revenues Top Estimates
• Positive Sentiment: Operating trends remained strong. Record LTL tonnage per workday rose 8.9%, shipments increased 0.8%, and revenue per shipment excluding fuel surcharges improved 5.8%, supporting management’s claims of market-share gains and better pricing and mix. Saia Expanded Terminal Network Delivers Record Revenue and Tonnage
• Positive Sentiment: The $250 million buyback authorization supports the stock. The program gives Saia flexibility to return capital to shareholders, while year-to-date free cash flow exceeded $240 million. The company ended the quarter with $202.5 million of cash and only $100 million of debt. Saia Q3 Revenue and Repurchase Program
• Positive Sentiment: Saia added transportation and logistics veteran Todd C. Fowler to its board and Audit Committee, strengthening expertise in capital markets, autonomous trucking and supply-chain technology. Saia Appoints Todd Fowler to Board
• Negative Sentiment: Profitability showed some pressure. The operating ratio increased to 87.6% from 85.9% a year earlier, indicating that expenses grew faster than revenue on a reported basis. Continued network, equipment and technology investment could also weigh on near-term margins.

Wall Street Analysts Forecast Growth

Several research firms have recently issued reports on SAIA. Sanford C. Bernstein assumed coverage on Saia in a research note on Thursday, September 10th. They set an “outperform” rating and a $439.00 price target for the company. TD Cowen reduced their target price on shares of Saia from $445.00 to $400.00 and set a “hold” rating on the stock in a research note on Friday, July 31st. Morgan Stanley dropped their price objective on Saia from $295.00 to $285.00 and set an “underweight” rating on the stock in a research note on Friday, July 31st. Stifel Nicolaus lowered their price objective on shares of Saia from $438.00 to $423.00 and set a “buy” rating on the stock in a report on Thursday, October 8th. Finally, Raymond James Financial restated an “outperform” rating and issued a $410.00 price target on shares of Saia in a research note on Thursday, October 15th. Fourteen investment analysts have rated the stock with a Buy rating, six have given a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, Saia has a consensus rating of “Moderate Buy” and an average target price of $437.58.

Saia Company Profile

Saia, Inc is a transportation and logistics company headquartered in Johns Creek, Georgia. Through its primary subsidiary, Saia LTL Freight, the company provides less-than-truckload transportation, moving palletized and other freight shipments that do not require a full trailer. Its services include standard and time-definite delivery, expedited transportation, guaranteed services, and shipment tracking.

Saia also provides non-asset-based logistics services through Saia Logistics Services, which helps customers arrange freight transportation using third-party carriers.