Looks like investors are too
Freight hauler Con-way CNW drove off interest Tuesday, falling 5.5% to $50.60 after stock analysts at Cowen & Co. and Robert W. Baird downgraded their ratings on the Texas-based company.
The move comes just days after Con-way’s 110 truck drivers at its Laredo terminal voted to unionize, which Baird’s Ben Hartford says could build cost pressures.
Hartford says while the likelihood of Con-way’s 19,000 freight at workers at 300 terminals fully unionizing is low, there is “incremental risk” in both investor sentiment and margins.
Hartford maintained his $55 price target, but downgraded his “outperform” rating to “neutral.”
Con-way, due to report third-quarter earnings Oct. 29, posted a 25% jump in second-quarter net income and an 8% rise in revenue. Year-to-date, shares are up 28%. And as of today 9-23 it's dropped to $48.73
Truckin? Investors cash in chips on Con-way | America's Markets