Covenant Logistics Group, Inc.
01/31/2023
The law firm of Kirby McInerney LLP is investigating potential claims against Covenant Logistics Group, Inc. (“Covenant” or the “Company”) (NASDAQ: CVLG). The investigation concerns whether Covenant and/or certain of its officers have violated the federal securities laws and/or engaged in other unlawful business practices.
Covenant Logistics Group, Inc. operates as a truckload carrier, with headquarters in Chattanooga, Tennessee.
On January 25, 2023, Covenant issued a press release announcing fourth-quarter financial and operating results. Among other items, Covenant reported non-GAAP earnings per share of $1.37, missing consensus estimates by $0.05. Covenant advised investors that the Company had “incurred unusual expense from two items: (i) an early lease abandonment and disposal charge and (ii) excess equipment due to delivery of a large number of new tractors combined with delays in removing existing leased tractors from operations.” On this news, the price of Covenant shares declined by $8.42 per share, or approximately 21.91%, from $38.43 per share to close at $30.01 on January 26, 2023.