Price Target Increase#
TD Cowen has raised its price target for TFI International (NYSE:TFII) from $130 to $153 while maintaining a Buy rating on the stock. Currently, shares are trading at $138.33, close to their 52-week high of $140.07, reflecting an impressive 76.6% gain over the past year.
Improved Demand Trends#
The firm noted that demand trends have improved throughout the first quarter, with positive momentum continuing into April. Management pointed out that U.S. industrial activity is strengthening, with pricing trends falling within a high-single-digit to low-double-digit percentage range. This indicates a healthy demand for TFI's services.
Shipment Trends and Service Quality#
Less-than-truckload shipment trends suggest a strong start to the second quarter. However, TFI International still faces challenges regarding service quality and pricing compared to its U.S. competitors. TD Cowen views 2026 as a transition year for the company, emphasizing the need for improvements in these areas.
Recent Financial Performance#
In its recent financial results for the first quarter of 2026, TFI International reported a decrease in earnings per share (EPS) to $0.69, although this surpassed the Street estimate of $0.61. The company maintained stable revenue compared to the previous year. RBC Capital also raised its price target for TFI International to $158 from $137, keeping an Outperform rating. This marks the second consecutive quarter where TFI International has exceeded expectations, despite a slight dip in stock price following the earnings announcement. The company remains optimistic about a potential rebound in the upcoming quarters.