Knight-Swift Transportation (KNX) has indicated that it is too early to determine the impact of any improvement in truckload and less-than-truckload volumes, UBS Securities said in a note Thursday.

As further pressure is still expected on truckload capacity, the brokerage said the current upcycle could have a longer duration. Analysts said they expect pricing gains to build through 2027, with higher contract rates in 2027.

Considering the company's expectation for low double-digit contract rate increases and a strengthening bid cycle, with the normal truckload operating ratio expected to return to about 85%, the brokerage said it continues to believe that mid-cycle earnings per share could approach roughly $5 per share.

The brokerage expects EPS of $4.70 in 2027, based on realized pricing of 6.9% in 2026 and 15% in 2027, and a 2027 truckload operating ratio of 84.9%.

UBS Securities kept a buy rating on Knight-Swift Transportation, with a price target of $94.

Shares of the company were down 4.9% in Thursday trading.

Price: 72.36, Change: -3.69, Percent Change: -4.85