Citizens Financial Group has reaffirmed its Market Outperform rating on ArcBest Corp (NASDAQ: ARCB) with a price target of $180, citing improving profitability across the trucking sector and sustained equipment demand.
The upgrade follows the 75th ACT Research Research Seminar, where analysts met with consultants, management teams and industry contacts to assess sector conditions. Citizens highlighted a gradual recovery in freight demand, supported by a Bank of America survey that showed the freight demand indicator rising from 56.1 to 57.4—though still below the historical growth threshold of 60.
The firm also reiterated Market Outperform ratings on Knight-Swift Transportation, Covenant Logistics, FedEx Freight and Wabash National, assigning respective price targets of $90, $60, $190 and $25. Knight-Swift received additional upward revisions from Stifel, which raised its price target from $85 to $88 while maintaining a Buy rating, and from Benchmark, which kept its $90 target alongside a Market Outperform classification.
Knight-Swift reported adjusted earnings per share of $0.63 in the second quarter of 2026, exceeding both Benchmark’s estimate of $0.49 and FactSet’s consensus of $0.51. Despite the positive earnings performance, InvestingPro data indicates the company is trading at a P/E ratio of 260, suggesting it may be overvalued relative to its fair value.
The broader trucking sector remains in a cycle approaching recovery phase, with Citizens emphasizing sustained demand for transportation equipment and improved operational efficiency as key drivers of the positive outlook.
