UPDATE: J.P. Morgan Color On KNX Target Decrease

J.P. Morgan, which lowered its PT on shares of Knight Transportation Inc. (NYSE: KNX), is providing some color on the stock.

“KNX's 1Q11 EPS was significantly below expectations due to a combination of factors including softness in the Western truckload market, rising fuel prices, and a variety of cost pressure,” J.P. Morgan writes. “While we believe that a number of the headwinds during 1Q are likely to be short lived, it may take a few quarters for KNX to regain significant EPS momentum. We suspect that upside for KNX stock in the near term is likely to be muted.”

Knight Transportation closed Wednesday at $18.18.