Goldman Sachs has upgraded Schneider National (NYSE: SNDR) from Neutral to Buy, lifting its price target from $24 to $32. This shift reflects a renewed confidence in the trucking sector, particularly as the company demonstrates strong operational momentum and strategic resilience.
📌 Schneider’s Q1 2025 results highlighted a 47% increase in adjusted income from operations, signaling an efficient cost structure and improved execution. Both the Truckload and Intermodal segments posted better operating ratios, indicating tighter performance controls and profitability improvements.
📌 The firm’s updated $32 target price is built on a mid-cycle EPS estimate of $1.93 and a conservative 16.5x P/E multiple, adjusted down from 18.0x. This recalibration reflects a balanced approach—acknowledging current economic uncertainties while recognizing Schneider’s earnings potential.
📌 Schneider’s focused investments in dedicated contract truckload services and its strong U.S./Mexico cross-border presence are key differentiators as freight markets begin to stabilize. These advantages are likely to translate into sustained revenue and earnings momentum as macro conditions improve.
💲 Dividend Fundamentals:
✅ Schneider offers a dividend yield of approximately 1.64%, with a quarterly payout of $0.095 per share.
✅ The payout ratio stands at 53.5%, providing a solid mix of shareholder returns and reinvestment.
✅ Since initiating dividends in 2017, annual payouts have grown from $0.20 to $0.38 per share—an annualized growth rate near 8.4%.
For income-focused investors seeking exposure to a rebound in logistics and trucking, Schneider National offers a combination of growth potential and dependable dividends.