The end of an earnings season can be a great time to discover new stocks and assess how companies are handling the current business environment. Let’s take a look at how Shyft (NASDAQ:SHYF) and the rest of the heavy transportation equipment stocks fared in Q4.
Heavy transportation equipment companies are investing in automated vehicles that increase efficiencies and connected machinery that collects actionable data. Some are also developing electric vehicles and mobility solutions to address customers’ concerns about carbon emissions, creating new sales opportunities. Additionally, they are increasingly offering automated equipment that increases efficiencies and connected machinery that collects actionable data. On the other hand, heavy transportation equipment companies are at the whim of economic cycles. Interest rates, for example, can greatly impact the construction and transport volumes that drive demand for these companies’ offerings.
The 14 heavy transportation equipment stocks we track reported a satisfactory Q4. As a group, revenues beat analysts’ consensus estimates by 1.5%.
Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 11.9% since the latest earnings results.
Notably receiving an order from FedEx for electric vehicles, Shyft (NASDAQ:SHYF) offers specialty vehicles and truck bodies for various industries.
Shyft reported revenues of $201.4 million, flat year on year. This print fell short of analysts’ expectations by 4.3%. Overall, it was a mixed quarter for the company with an impressive beat of analysts’ EBITDA estimates but a miss of analysts’ Fleet Vehicles revenue estimates.
“Our disciplined execution of Shyft’s operational framework drove meaningful adjusted EBITDA growth and margin improvement,” said John Dunn, President and CEO.
The stock is down 26.7% since reporting and currently trades at $9.19.
Read our full report on Shyft here, it’s free.
Offering the first full-electric North American fire truck, REV (NYSE:REVG) manufactures and sells specialty vehicles.
REV Group reported revenues of $525.1 million, down 10.4% year on year, outperforming analysts’ expectations by 6.5%. The business had an incredible quarter with a solid beat of analysts’ EPS estimates and an impressive beat of analysts’ EBITDA estimates.
The market seems happy with the results as the stock is up 11.9% since reporting. It currently trades at $30.53.
Is now the time to buy REV Group? Access our full analysis of the earnings results here, it’s free.
