1、Airfreight&Surface TransportationAirfreight&Logistics-Market WeightRailroads-Market OverweightTrucking-Market WeightTransport Earnings Mash-UpAugust 1,2024XPO,KEX,MATX,HUBG,SNDR&CVLG The Wolfe ByteIn todays 30-page note,we update our models and discuss key earnings takeaways for XPO,KEX,MATX,HUBG,SN

2、DR&CVLG following their 2Q reports.See pages 2-3 for our EPS changes.XPO 2Q Beat with Strong KPIs.XPO reported a 2Q beat with better LTL tonnage and slightly better marginsthan we expected and pricing trends well above peers.Contract renewals(8%)remained strong and claimscontinued to improve(down to

3、 0.2%).Our 2H:24 and C25 EPS estimates are largely unchanged with a few movingparts,and we remain 7%above Consensus next year.Comps are getting tougher,but XPO is well positioned tokeep narrowing the margin gap vs.peers.Maintain Outperform.KEX Strong Pricing and Margin Momentum Continues.KEX fell 7.

4、5%today despite beating 2Q Consensus by9%.Inland margins improved 300bp y/y on 17%yield growth,while Coastal margins improved over 1,000bp y/yon 27%yield growth.Spot rates continued to move higher and KEX expects further sequential pricing and marginimprovement in 3Q and into next year as barge indu

5、stry supply remains tight.The only negative was a sequentialstep-down in Power Gen revenue.We have raised our C24-25 EPS estimates by 1%and 5%with visibility tocontinued earnings momentum into next year.Reiterate Outperform.MATX Small Beat.MATX reported a small 2Q beat after the close and raised its

6、 guidance for the secondconsecutive quarter.MATX should increasingly benefit from higher ocean spot rates as long as current ratespersist.But beyond near-term EPS upside,MATX has a story beyond the cycle with improving expedited oceandemand and robust free cash flow for buybacks.With its attractive