Benchmark has adjusted its price target for Saia (SAIA, Financial), lowering it from $450 to $325, although the Buy rating for the company remains intact. This decision follows a notably difficult quarter for Saia, impacted not only by adverse weather conditions—which affected the operating ratio by 25-75 basis points—but also by disappointing volume trends observed in March.
Despite some ongoing structural challenges within the less-than-truckload sector, the analyst emphasized that a sluggish industrial environment is largely responsible for stifling operational leverage. Economic downturns have compounded these challenges, leading to significant headwinds for Saia's business performance during the quarter.
