What Happened?
Shares of freight delivery company Werner (NASDAQ: WERN) jumped 4.8% in the afternoon session after its peer, J.B. Hunt Transport Services, reported strong third-quarter results that surpassed expectations.
J.B. Hunt's stock jumped significantly after the freight company breezed past Wall Street's profit targets, reporting higher profits. The positive report from a major logistics firm appeared to boost investor confidence across the trucking sector. This suggested that the overall business conditions for companies like Werner might be better than previously thought, lifting the stock in response to the good news from its competitor.
After the initial pop the shares cooled down to $27.47, up 4.5% from previous close.
Is now the time to buy Werner? Access our full analysis report here.
What Is The Market Telling Us
Werner’s shares are not very volatile and have only had 9 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful, although it might not be something that would fundamentally change its perception of the business.
The previous big move we wrote about was 6 days ago when the stock dropped 5.3% as the U.S. threatened to impose "massive increases" to tariffs on China in response to new export controls from Beijing. The potential countermeasures follow China's decision to place new restrictions on the export of strategic minerals and related products, including rare earths, which are critical for the defense, semiconductor, and manufacturing industries. This escalation in the economic competition between the two largest global economies is fueling investor anxiety. The new tariff threats raise concerns about disruptions to global supply chains, increased material costs for manufacturers, and a potential drag on an already sluggish economy. Industrial companies are particularly sensitive to these developments as they are often cyclical and heavily reliant on international trade.
Werner is down 22.7% since the beginning of the year, and at $27.47 per share, it is trading 34.3% below its 52-week high of $41.80 from November 2024. Investors who bought $1,000 worth of Werner’s shares 5 years ago would now be looking at an investment worth $639.28.
Do you want to know what moves the business you care about? Add them to your StockStory watchlist and every time a stock significantly moves, we provide you with a timely explanation straight to your inbox. It’s free for active Edge members and will only take you a second.
