Shares of Expeditors International of Washington surged 5.02% during intraday trading on Tuesday, driven by a powerful second-quarter earnings report that significantly exceeded Wall Street expectations.

The global logistics provider reported diluted earnings per share of $2.03, a 51% increase from $1.34 a year earlier and well above the analyst consensus estimate of $1.69. Revenue jumped 32% to $3.5 billion, beating the consensus estimate of $2.89 billion. The strong results were fueled by elevated airfreight demand and rates, with airfreight tonnage increasing 14% year-over-year. Demand remained robust from AI hyperscalers and e-commerce, while tight capacity related to the Middle East conflict kept air rates elevated.

Additionally, the company announced a strategic restructuring expected to lower its annual cost structure by approximately $50 million, and it returned $461 million to shareholders during the quarter through dividends and share repurchases. Following the results, Baird raised its price target on the stock to $190 from $157, further supporting the positive momentum.