Q: I am a bit concerned about TFI price action recently - its down over 15% from high- and barely positive on the year. Any insight on this and is it a falling knife or a buying opp??
5i Research Answer:
TFII had some price target cuts in recent weeks on concerns of near term headwinds due to weaker shipping volumes from competitors in August. We do not think it is a falling knife but it is a cyclical business. We are fine with adding some here as rate cutting should act as a tailwind, but would not be overly aggressive given the weaker shiiping volumes in August.