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What do the Fundamentals Predict for Knight-Swift Transportation Holdings Inc (KNX) Stock?

Monday, September 26, 2022 01:24 PM | InvestorsObserver Analysts

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What do the Fundamentals Predict for Knight-Swift Transportation Holdings Inc (KNX) Stock?

Knight-Swift Transportation Holdings Inc (KNX) receives a strong valuation ranking of 64 from InvestorsObserver data analysis. The proprietary ranking system focuses on the underlying health of a company through analysis of its stock price, earnings, and growth rate. KNX has a better value than 64% of stocks based on these valuation analytics. Investors primarily focused on buy-and-hold strategies will find the valuation ranking relevant to their goals when making investment decisions.

Valuation Rank - 64
KNX gets a 64 Valuation Rank today. Find out what this means to you and get the rest of the rankings on KNX!

Metrics Analysis

KNX has a trailing twelve month Price to Earnings (PE) ratio of 9. The historical average of roughly 15 shows a good value for KNX stock as investors are paying lower share prices relative to the company's earnings. KNX's low trailing PE ratio shows that the firm has been trading below its fair market value recently. Its trailing 12-month earnings per share (EPS) of 5.35 more than justifies the stock's current price. However, trailing PE ratios do not factor in the company's projected growth rate, resulting in many newer firms having high PE ratios due to high growth potential enticing investors despite inadequate earnings.
KNX has a 12 month forward PE to Growth (PEG) ratio of 0.6. Markets are overvaluing KNX in relation to its projected growth as its PEG ratio is currently above the fair market value of 1. 5.3499999's PEG comes from its forward price to earnings ratio being divided by its growth rate. PEG ratios are one of the most used valuation metrics due to its incorporation of more company fundamentals metrics and a focus on the firm's future rather than its past.

Summary

KNX' has a strong valuation at its current share price on account of a undervalued PEG ratio despite strong growth. KNX's PE and PEG are better than the market average leading to a above average valuation score. Click Here to get the full Report on Knight-Swift Transportation Holdings Inc (KNX) stock.

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