MarketWatch reported yesterday that trucking stocks fell as broker Bear Stearns predicted slower growth, an increase in capacity and higher costs.
Marketwatch said Bear Stearns reduced ratings on Heartland Express Inc., Covenant Transport Inc., Werner Enterprises Inc. and Knight Transportation Inc. and reiterated an “underperform” rating on Swift Transportation Co.
According to MarketWatch, freight demand has been uneven, with an unexpected lull in March followed by better volume in April but another decline in May.
Carriers are facing increased maintenance costs for engines made after October 2002, said Bear Stearns. The company predicted another round of driver wage increases before the end of the year, taking wage increases to 10%-15% above 2004.
Marketwatch said Bear Stearns reduced ratings on Heartland Express Inc., Covenant Transport Inc., Werner Enterprises Inc. and Knight Transportation Inc. and reiterated an “underperform” rating on Swift Transportation Co.
According to MarketWatch, freight demand has been uneven, with an unexpected lull in March followed by better volume in April but another decline in May.
Carriers are facing increased maintenance costs for engines made after October 2002, said Bear Stearns. The company predicted another round of driver wage increases before the end of the year, taking wage increases to 10%-15% above 2004.
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