Why Is Knight-Swift (KNX) Down 0.4% Since Last Earnings Report?

Core Viewpoint - Knight-Swift Transportation Holdings has experienced a decline in earnings and revenues in its recent fourth-quarter report, raising concerns about its future performance leading up to the next earnings release [2][3]. Financial Performance - The fourth-quarter 2025 adjusted earnings per share were 31 cents, missing the Zacks Consensus Estimate of 36 cents and declining 13.8% year over year [3]. - Total revenues for the quarter were $1.86 billion, falling short of the Zacks Consensus Estimate of $1.89 billion and decreasing by 0.4% year over year [3]. - Total operating expenses increased by 2.4% year over year to $1.83 billion [4]. Segment Results - Truckload segment revenues were $1.08 billion, down 2.4% year over year, with adjusted operating income falling 10.7% due to a 3.3% decline in loaded miles [5]. - The Less-Than-Truckload segment generated revenues of $298.50 million, up 7% year over year, but adjusted operating income decreased by 4.8% [6]. - Logistics segment revenues amounted to $159.97 million, down 4.8% year over year, with adjusted operating income decreasing by 36.6% [7]. - Intermodal revenues totaled $95.66 million, down 3.4% year over year, impacted by a 6% decrease in load count [8]. Liquidity and Guidance - Knight-Swift ended the fourth quarter with cash and cash equivalents of $220.42 million, an increase from $192.67 million in the prior quarter, while long-term debt decreased to $1.02 billion [9]. - For the first quarter of 2026, adjusted earnings per share are expected to be in the range of 28-32 cents, with truckload segment revenues anticipated to decline slightly [10]. - The logistics segment is expected to see low single-digit percent revenue decline year over year, while intermodal segment load count is expected to remain flat [11]. Market Sentiment and Estimates - Estimates for Knight-Swift have trended downward, with a consensus estimate shift of -7.16% over the past month [13]. - The company currently holds a Zacks Rank 4 (Sell), indicating expectations of below-average returns in the coming months [15]. Industry Comparison - In comparison, JB Hunt, a competitor in the same industry, reported revenues of $3.1 billion for the last quarter, reflecting a year-over-year change of -1.6%, and has gained 7.1% over the past month [16].