From Nasdaq: 2024-12-04 08:30:00

In November, the Dow Jones Transportation Average surged over 8.4%, reaching a new high with most components seeing gains. This signals good times for the transportation sector and the broader economy, with leading names showing high double-digit advances in the past 30 and 90 days. This aligns with Dow Theory, indicating a broad stock market rally fueled by economic health and policy tailwinds.

Avis Budget Group (NASDAQ: CAR) led the Dow Transports in November, rising 30% near a five-month high supported by critical moving averages. Analysts are optimistic about industry normalization in 2025, forecasting revenue growth of 2% and significant margin improvement. The consensus rating improved to Moderate Buy, with a price target reflecting a 20% upside within 12 months.

United Airlines (NASDAQ: UAL) stock soared nearly 30% in November and 125% for the year, driven by travel demand and expanding routes. Revenue is expected to rise by nearly 7% in 2025, with earnings growth approaching 20%. The company resumed share repurchases, boosting the stock price by nearly 50% in the last year based on bullish sentiment and revised price targets.

Ryder System’s (NYSE: R) stock price surged nearly 100% in the last year, with indicators suggesting the uptrend will continue. Critical resistance is near $170, while support is near $150. The uptrend is driven by growth resumption in 2024 and expectations for top-line growth of nearly 9% and earnings growth of 14% in 2025.



Read more at Nasdaq:: New Highs for Dow Transports: Top 3 Stocks Driving the Surge